OpenAI CEO Sam Altman has data centers full of memory, but seemingly it's the 32GB of RAM in your desktop that's the problem. In an interview over beers with the YouTube channel Cheeky Pint, Altman said that local inference, and, by extension, people having DRAM in computers at home, is "quite terrible."

When discussing local inference on home computers with open-source models, Altman discussed the assumption that people will be able to run local AI on their own computers, the ones they may already own or want to build. Then he explained why that's a bad idea (at the 29-minute mark):

"From a global allocation perspective, actually, it's quite terrible to have everybody have a bunch of the world's limited supply of DRAM sitting in their own computer and being used 5% of the time," Altman said. "You want maximum utilization in the cloud if you're trying to deal with this very supply-constrained environment. And somehow many people's intuition is the opposite of that."

While OpenAI does have some open-source models, its primary business is in closed-source models that run in data centers, so he's really defending the company's business model.

OpenAI isn't exactly threatened by some laptops and gaming rigs just yet, but local AI could mean people one day paying less for subscriptions to models like GPT-6 Luna if they have the power to run them at home. Altman's talk suggests that the company would prefer that more RAM go to OpenAI's data centers rather than home computers, which also sparks enthusiast fears of not being able to own your own hardware or software, but rather rent an agent and a computer in the cloud.

Some of what Altman is saying is based on an idea that data center buildouts won't slow down. It also assumes that RAM being used in AI data centers 24/7 is more worthwhile than RAM that is used for spreadsheets, web browsing, gaming, and maybe even local AI occasionally.

The rest of the wide-ranging interview includes talk of this week's PHP vulnerabilities, sandboxing models in training, and OpenAI's research in mathematics.

A criminal investigation into the environmental damage caused by Google’s Finnish subsidiary has been launched. Tuike Finland Oy is being investigated after five complaints were received regarding the Muhos data center project, according to an official police statement published today [machine translation].

The police say that the investigation is backed by Finland’s Licensing and Supervision Authority (LVV). Google/Tuike Finland Oy is accused of suspected breaches of environmental law and environmental damage. Other lesser criminal offenses related to ambiguities and shortcomings in the drainage and water management are also being investigated.

Since Google representatives have previously publicly apologized for the unauthorized forest clearings near Muhos, which have turned 816 acres of forest into an expanse of mud, there seems little doubt it is guilty of some wrongdoing. Rather, it is the scale of the punishment and any proposed remedies that will probably be of most concern to execs from the tech giant now.

As well as the awful mess Google has made near Muhos, it seems to have also jumped the gun and plowed ahead with data center development by clearing 500 acres of forest near Otanmäki.

Though the horse has already bolted, Reuters reports that a Google rep said the company would cooperate with the ⁠police investigation and continue to focus on maintaining compliance at its sites. Maintaining?

Last week we reported that wolves had descended on Finnish villages after their habitats had been destroyed to make way for the Google AI data centers. Data center developments were already a thorny issue with locals. Potential construction and operating noise, pollution, utility competition, and environmental damage concerns were overshadowed – for some – by the presence of wild animals that had moved out of the forest.

Google sees Finland as an attractive location for data center development with its cool climate, affordable power, and government endorsement of AI projects. It has also benefitted from being able to develop in low population density areas and from a populace with a low propensity for protest. However, Google is testing the Finnish public with its trampling of the environment. The wolves, pollution, potentially 40% higher electricity bills, and other impacts weren’t helping its case, even before this criminal investigation.

Finnish government representatives have yet to comment on the case.

SpaceXSI, Elon Musk’s data center business powering Grok, is reportedly buying 418 properties in Colonial Hills, Southaven, which sits about half a mile from the powerplant that the company will use to power its data centers in the area. According to The Guardian, real estate agents have been going door to door, offering owners deals on behalf of the company provided that they do not join a class-action lawsuit over the noise pollution coming from the gas turbines that power its GPUs.

MZX, the SpaceXSI subsidiary that operates the Colossus II site, circulated an open letter to nearby residents, saying that it “requires property for its business purposes,” with Southaven mayor Darren Musselwhite saying that they will be used to house SpaceXSI staff that the company will need as it expands operations. Musk himself is reportedly staying in the area in an Airstream trailer four nights per week to personally oversee the data center build-out needed to power Grok AI.

The bigger issue here, though, is the requirement that sellers must sign an agreement that prevents them from joining the ongoing case against the company for noise pollution. The Colossus 1 and 2 sites have been in hot water since they started operating, primarily for their use of unpermitted turbines and the air pollution that they bring. SpaceXSI has since promised that it will remove all its unpermitted turbines in a year, especially as its 1.2-gigawatt powerplant comes online. However, this apparently hasn’t resolved the noise pollution issue that the community has been complaining about.

“It sounds like an airplane engine but it’s continuous, it’s incredibly loud. I’ve been woken up at 2am by it, I’ve been woken up at 3am by it. I sometimes have to just get away from it because it makes me so angry,” piano teacher Elizabeth Rose, who lives a couple of miles from the site, told the publication. One of the plaintiffs in the class-action, Jason Haley, also said to The Guardian, “There’s a high-pitched hum and then another sound like an airplane over your house. It’s been so torturous I can’t sleep; I just leave the house or turn on some music until I fall asleep completely exhausted. It drives you insane. You also lose hope because you’re being ignored or dismissed. There’s no escape.”

The company has denied all the allegations against it, saying that it has adjusted its power output and installed sound-dampening walls to reduce the impact on the neighborhood. Musselwhite also said that city monitors have not detected the site breaching the local ordinance limit of 70 decibels, although some experts say that persistent noise as low as 50 decibels could have adverse health impacts.

Opposition against the noise pollution and Musk’s purchases aren’t unanimous, though. Some residents aren’t as affected by the noise pollution, while local businesses are experiencing increased activity. Other people have also agreed to sell just so they could get away from the noise. The mayor says that the buyout isn’t intended to turn Colonial Hills into a company town. “The buyout has multiple purposes which are to provide homes for some employees and a goodwill gesture from a good corporate citizen for those who perceive the industrial development near them as negative,” Musselwhite said.

Concerns have been mounting everywhere about the environmental impact of data centers, with alarms ringing at various environmental think tanks. The Sierra Club, one of the oldest environmental preservation organizations in the U.S., has now put forth an estimate that by 2030, U.S. data center buildouts will be outputting as much carbon dioxide as the entirety of Mexico, pushing back progress on greenhouse gas reduction by 15 years, Bloomberg reports.

The Club's principal advisor for climate and energy, Jeremy Fusher, puts it plainly: "the numbers continue to sort of boggle our minds." He's referring to an estimate that with the output from pending data center builds, the output from the U.S. power sector is set to put 2.1 billion metric tons of CO2 in the atmosphere by the end of the decade, an uptick of 42% compared to 2025 figures. The researchers' previous estimates were between a quarter and half of the current projections.

An increasing number of countries and states are enacting laws demanding that new data center builds have a large portion of their power generated by green sources. However, those laws rarely apply retroactively, and oftentimes have a phase-in period. Even the Irish law on the matter demanding that new data centers be fed by 80% of renewable power only requires that that happens six years after they're powered up.

In the current AI-driven market, speed of construction is king. Roughly 40% of U.S. data centers are fed by natural gas turbines, and the situation doesn't look like it'll be changing much. It'll likely get worse, as the addition of green sources almost assuredly won't keep up with demand. Much like RAM, GPUs, and storage, turbines were all slurped up by data centers. Their prices have risen by 50%, and production is backlogged for years, with one maker stating it's opening slots for production in 2032.

Having said all that, Brendan Pierpont from Energy Innovation, another climate-concerned organization, points out that although the current path looks dangerous for the environment, it's hard to make a hard prediction of how the situation will play out. He justifies his position with common data center roadblocks: the availability of turbines, delays in grid connections, and other delay factors.

Truth be told, at this point it's hard to predict how many data centers will actually reach completion, given that requests for permits far exceed available grid capacity across the U.S., and a sizable number of buildouts are encountering strong opposition. Plus, although the AI bubble is still alive and well, concerns started to arise about the economics of hyperscalers, indicating some may go the way of the dodo — and their projects along with them.

Fujifilm plans to boost production of magnetic tape by as much as 5x as it works to keep up with demand for the data storage medium that has seen a jump in popularity amid ongoing global AI data center buildouts. The Japanese firm will spend 10 billion yen ($63.3 million) to increase capacity at its Odawara plant throughout its fiscal year 2028. The move will enable it to produce more advanced tapes with capacities of up to 100TB each, Nikkei Asia reports. The expansion of production capacity will mark the company's largest investment in tape-based storage in around 20 years. Fujifilm first began working on magnetic tape technology back in 1954 when it was used for television broadcasting equipment.

Nowadays, magnetic tape is the go-to storage option for data centers everywhere as a form of long-term data backup. While tapes lag behind solid-state drives and traditional spinning hard disks in terms of performance, tapes are hard to beat when it comes to their durability and relatively low cost for storing huge amounts of data. Magnetic tape storage can cost as little as one-quarter that of hard disks, and even less when compared to faster SSDs. That makes them the perfect solution for so-called cold data, information that is rarely accessed but could be considered mission-critical and must be stored safely. Tape storage isn't just cheaper, either, with research showing that it's also less polluting than hard disks and SSDs.

While Fujifilm will produce 100TB tapes, the Linear Tape-Open (LTO) roadmap allows for considerably larger capacities, all the way to 365TB per cartridge. By comparison, SSDs top out at around 256TB and cost considerably more.

Fujifilm is far from the only storage company looking to take advantage of the AI data center boom. Toshiba announced earlier this month its plans to double hard disk production capacity amid shortages, and the company, alongside Seagate and WD, is working towards ever-increasing capacities. Kioxia and SanDisk are also getting in on the act after detailing 332-layer 3D NAND flash in August. The pair hope to bring higher storage capacities to SSDs for data center use.

The demand for AI data center storage is so high that it's at the heart of a global shortage that shows little sign of improving anytime soon. Scarcity has seen prices skyrocket, while manufacturers have chosen to divert resources away from consumer-focused products, instead focusing on the more lucrative enterprise market.

Elon Musk has confirmed that SpaceX closed $40 billion in debt financing for graphics processing units (GPUs), with the chips expected to arrive in the first half of 2027. He disclosed the deal on X, October 25 (embedded below) while responding to investor Chamath Palihapitiya, who had warned that mounting financing pressures and delays in data center construction could leave AI computing capacity sitting idle next year.

Musk agreed with that assessment, but argued that SpaceX is better positioned than many of its competitors because it can borrow against revenue from businesses outside AI. “Pretty much,” Musk replied to Palihapitiya on X explaining that debt markets had largely shut off funding for companies without substantial revenue independent of AI data centers.

He further said SpaceX had closed $40 billion in debt for GPUs because it has investment-grade status and revenue from its Starlink satellite internet and space businesses. “That means the 200+ neoclouds are going to see guppy-level death and consolidation. Some will make it through, but not many,” Musk wrote.

It is still, however, unclear what Musk meant by “closed” or whether investors had agreed to the final debt pricing. The disclosure comes as SpaceX prepares for another enormous spending period. CFO Bret Johnsen had stated during SpaceX’s Q3 2026 earnings call that the company expects capital expenditure of $35 billion to $40 billion in Q4 “because of the additional capacity coming online this quarter.”

Musk also clarified that the borrowing was primarily callable debt for GPU purchases expected to arrive in the first and second quarters of 2027. “This is primarily callable debt for GPU purchases that will arrive in Q1 and Q2. Not a major factor this quarter,” Musk wrote.

Earlier this month, it emerged SpaceX had proposed a $40 billion debt package for Nvidia hardware, estimating that the proposed funding could cover roughly 360,000 Rubin GPUs across 5,000 Nvidia NVL72 racks. The proposed package reportedly included $10 billion in bank loans and $30 billion in investment-grade debt. Musk has now said the financing has closed, but has not confirmed the specific GPU models or quantities covered by the deal.

The spending fits into Musk’s broader push to expand AI computing capacity. In August, xAI outlined plans to increase its data center capacity sevenfold by 2027, targeting 10 gigawatts. In September, the publication also reported that SpaceXAI planned to add another 660,000 Nvidia GPUs during 2026, potentially bringing its total to around 1.44 million if the planned deployments proceed.

And GPUs are only part of the bill. Data centers need power, cooling, networking equipment, and physical infrastructure before those accelerators can do useful work, which underscores SpaceX’s latest move.

SpaceX, meanwhile, has begun selling access to its own infrastructure. In May, Anthropic secured access to SpaceX’s Colossus 1 supercomputer, which includes more than 220,000 Nvidia GPUs and over 300 megawatts of computing capacity. Later in June, SpaceX struck a separate deal with Google, which agreed to pay $920 million per month for access to approximately 110,000 Nvidia GPUs and related hardware, with payments scheduled to run from October 2026 through June 2029.

Russia has lost another data center in its ongoing conflict with Ukraine after drones hit a government data center in the suburbs of Gorodets, some 230 miles east of the Kremlin and over 600 miles away from the frontlines. According to Data Center Dynamics (DCD), the freshly drone damaged data center is operated by the Russian Ministry of Finance and was said to hold several state registries, including the Federal Taxation Service’s tax database.

“The facility is one of two key data processing centers of the Federal Tax Service of Russia operating in a geo-distributed mode,” DCD reported, citing a Russian media outlet. “The damage to this facility could potentially affect the operation of state information systems of the Russian Federation.” Ukraine has targeted Russian data centers multiple times since the start of October, which it started doing after Moscow escalated the conflict by striking Ukrainian data centers. While the Russian finance ministry reportedly operates two other data centers — one at the Federal Data Processing Center in Dubna, Moscow Region, and another in Yerzovka, Volgograd Region — losing a third of its data centers could have a major impact on government services that it provides.

A modern society’s reliance on digital services means that data centers are now critical infrastructure and have become major targets in conflict. Russia’s Yandex bot traffic collapsed after the Ukrainian drone strikes, but its disinformation bot network simply migrated to unaffected data centers to continue operating as normal. Another recent instance of a civilian data center getting caught in a conflict was in the Middle East, after Iranian forces hit AWS sites in the UAE and Bahrain in response to the United States’ bombing campaign that began in February. This has led to disruptions to many digital services in the area, which is why Amazon has advised many of its clients to move to other regions to avoid further disruptions.

Russia’s invasion of Ukraine started in 2014 when it forcibly occupied the Crimean Peninsula, but the current situation started when Moscow escalated the situation and attempted to take Kyiv in 2022. But what makes this 12-year conflict especially deadly is the new technologies and strategies that are being implemented in the front lines, including the widespread and innovative use of drones.

Nvidia is collaborating with German energy firm PreussenElektra GmbH (PEL) to explore converting old nuclear power plants into AI data centers. In an official announcement on October 21st, the U.S. chipmaker and the German firm entered a preliminary partnership to assess whether the latter's decommissioned nuclear power plant sites in Germany can be converted into high-performance AI data centers. The plan does not involve using nuclear power to power any future data centers. Instead, the project is focused on leveraging the existing power, water, and other infrastructure already present at the sites.

“Our former power plant sites have valuable industrial infrastructure and offer opportunities for new, future-oriented uses. Together with NVIDIA, we intend to conduct a sound assessment of whether and how these conditions can be leveraged for AI factories. In doing so, we are combining the responsible reuse of our sites with new economic opportunities for the regions,” says Guido Knott, Chairman of PEL’s Management Board.

The open-ended exploration will assess existing energy grid links, available land, and industrial infrastructure at the former nuclear sites to see if they meet the strict operational requirements of “AI factories.”

The move aims to find alternatives to building massive data centers from scratch amid the unprecedented AI infrastructure buildout. New data centers require well-located land, industrial-zone approvals, proximity to water infrastructure for cooling, and high-voltage grid connections, things nuclear plants already have. By repurposing these facilities, Nvidia hopes to significantly reduce cost and development timelines.

“AI factories require access to power, land and high-capacity infrastructure, and former industrial sites could provide a strong foundation for this next generation of computing,” said Markus Hacker, senior regional director at Nvidia. Together with PreussenElektra, we will assess how its sites could meet the technical and operational requirements of AI factories and contribute to Germany’s high-performance AI infrastructure.”

Germany permanently shut down its last remaining operational nuclear power plants in April 2023, following the Fukushima nuclear disaster, and is dismantling about 30 nuclear power plants across the country. PreussenElektra is currently responsible for decommissioning and dismantling eight of the plants, which are likely the sites to be assessed. The company, alongside Nvidia, has made it clear that the data center assessment initiative is strictly in an experimental feasibility phase.

No investment amounts, approved development plans, or definitive construction agreements have been finalized yet.

Texas has suspended the construction permits of 17 data center projects and disabled a web portal that automated filing for new permits after it was discovered that they were still being issued a month after calls for the process to be paused. Governor Greg Abbott asked for new permits to be halted in September 2026, but watchdog groups FracTracker Alliance and Public Citizen both published reports detailing more than two dozen permits issued to Texas data center projects, reports 404 Media.

Now, the portal that previously automatically authorized permits is unavailable. “TCEQ’s electronic filing application used for automatic authorizations has been temporarily shut down to ensure all applications are reviewed by agency staff to determine if they are related to data centers," a message on the website reads.

The portal, called STEERS, is used to rubber-stamp construction approvals. But despite Governor Abbott's call for no new permits to be approved, it seems that nobody thought to take STEERS offline. Sam Law, a researcher at FracTracker, says that it's been happily approving new projects, including those for OpenAI and Amazon that went through the system earlier this week. All 17 of the suspended permits are for stormwater construction, a process that sees construction companies raise and level the ground. It's also a process that is a vital part of the approval process for all construction projects in Texas.

Governor Abbot put the brakes on 1,800 data center projects while work was done to audit them. Concerns were raised about their power use and generation, how much water they would consume, and the impact that they would have on their communities. “Our top priority is to protect Texans’ safety and quality of life,” Abbott wrote in a statement provided at the time. “Any project that fails to comply with the requirements set forth by the PUCT and ERCOT, and by state law, must be denied connection to the Texas grid. Simply put, Texans must come first.”

The situation in Texas follows New York's year-long ban on data center projects larger than 50 megawatts that came into force earlier this year. The Responsible Data Center Development Act was signed into law as Senate Bill S10642 by New York Governor Kathy Hochul in July. It was another instance of a change in stance on data centers that is gathering momentum in the United States. While President Trump announced an "AI Action Plan" to accelerate adoption of AI tools and infrastructure rollout in July 2025, he announced a mandate forcing AI data centers to pay dividends to communities in October 2026. In Northern Virginia, Amazon bowed to a community backlash to plans to build four new data centers — going so far as to offer its land up for housing instead.

While the continued focus on AI tools helps drive demand for more capacity and more data centers, communities and local officials are increasingly concerned about the impacts they have on their surroundings. Water shortages and deforestation have become key issues affecting the communities in which data centers are being placed, as has the increase in the cost of energy.

Amazon will no longer build four new data centers on the site of the George Washington University's campus in Loudoun County, just outside of D.C., and will instead repurpose the majority of the 122-acre space for mixed-use and residential development following significant pushback from the local community. It will also donate 25 acres of the property to Loudoun County to be used for a community arts center and new recreational facility. On top of all that, it'll even give $5 million to the county's fund for housing, reports The Washington Post.

That's quite the turnaround compared to plans to build in a county that is already dubbed "Data Center Alley" because it has the largest concentration of data centers on the planet. But residents' concerns about the noise generated by such data centers and the incredible amount of power that they require to function have seen the county's approach to new data center buildouts change of late. Amazon first submitted its proposal to build the new facilities in July, and Loudoun County Board of Supervisors Chair Phyllis J. Randall and Amazon met in September, where it was put to the company that it may be better to find an alternative use for the land.

Josh Weissman, Amazon’s vice president in charge of data center development, said the company had jumped at the chance to purchase the former university campus when the opportunity arose, but added that the company considered the county’s “pointed concerns about data center development at this particular site.” Weissman added that “While we see the property’s legal development potential differently than the County does, we concluded that the best outcome for all is to come together on a shared vision for this campus rather than engage in costly litigation.”

The building of new data centers has always been a necessity given our growing use of cloud-based services and storage systems. But the recent boom in AI use has seen demand for additional, and larger, facilities ratcheted up to new levels. But with that demand comes opposition, with local communities wary of the impact these mammoth facilities can have on the areas in which they live, including spikes in the price of electricity. Officials have begun taking steps to try to grease the wheels of data center construction. Just days before this news broke, President Donald Trump called for data center builders and AI hyperscalers to pay local communities a dividend amid energy-related price increases. In a social media post, Trump went on to say that data centers would be required not only to make their own electricity but also to give or sell excess energy back to the local community. Water shortages and deforestation have also become key issues affecting the communities in which data centers are being placed.

Back in Loudoun County, officials pointed to what could be achieved when choosing dialog over confrontation. “By choosing dialogue over reflexive disagreement, Loudoun County and Amazon created an opportunity for the County,” Randall reportedly said via statement. “This agreement provides new places for our Loudoun residents to gather, create, and play. And, most importantly to me, we will provide more attainable homes for working families.”

Lava, an Israeli security firm, says that it has been able to identify 32 Nvidia Blackwell Ultra B300 chips within the network of China Telecom, a state-owned company that provides telecommunications services within the country. These same chips have already been barred from export by U.S. export controls, a report by The Information notes, which begs the question of how they have turned up in a Chinese data center. Such chips can only be sold to whitelisted buyers who agree not to export them to sanctioned parties, including those in China.

However, banning companies from buying Nvidia's high-performance GPUs and AI data center chips hasn't always worked. In 2025, it was reported that Chinese companies smuggled $1 billion worth of Nvidia AI chips into the country in three months. At the time, the B200 chips were the most sought-after, but some distributors were already gearing up to sell B300-series chips when they became available.

While the latest finding shows that the proliferation of export-controlled chips into China continues to be an issue, Nvidia has downplayed the report but didn't deny the findings. "Governments, researchers, and media have all found insignificant diversion of controlled US products, less than one half of one percent in recent court cases — a drop in the bucket compared to the ocean of domestic compute China already has," an Nvidia spokesperson told Tom's Hardware. "With tens of millions of GPUs in service in approved countries, this report again demonstrates that smuggling is a nonfactor, blocked by governments on both sides of the globe."

It's unknown how B300 chips found their way into China Telecom's server racks, nor can Lava confirm exactly where within the company's network they are located. But they are there, with Lava identifying them via Nvidia's own DCGM Exporter tool. The software can be installed by data center operators and is used to monitor server health and performance, and while designed for internal use, it can oftentimes be accessed beyond the data center's network. Oddly, it doesn't always require password authentication, either. Nvidia previously confirmed it was working on a tool that would allow its chips to be located, but it is yet to be released.

It's easy to see why Chinese firms are keen to get their hands on the Blackwell Ultra B300. Announced in March of last year, the data center GPU is one of the most powerful on the planet, offering huge performance gains with 50% more memory and FP4 compute than the previous-generation B200. At the time, Nvidia touted that the chip was "built for the age of reasoning," while name-checking more sophisticated AI LLMs like DeepSeek R1. At the time of its announcement, the B300 was expected to ship by the end of 2025, and it didn't take long for it to become hot property. In August 2026, nine people were indicted in Taiwan over the illegal export of B300 GPUs to China. This came just days after Supermicro confirmed that it had fired several employees following an investigation into smuggling. The complicated smuggling process included the use of a Taiwanese server trading firm called Flying Tiget Tech — a firm with whitelisted status for GPU purchases.

Nvidia's chips have proven so vital to AI data centers that demand for even its older silicon has caused skyrocketing prices. The company's A100 servers have tripled in price, despite being five years old, and can cost up to $82.,000. The ongoing crackdown on Nvidia chip smuggling has even seen some resort to retooling gaming GPUs to run AI workloads where possible.

Google’s Finland country manager has apologized for unauthorized forest clearings near Muhos, which have turned 816 acres of forest into an expanse of mud. The American search and AI giant has also been told to cease work where it has cleared roughly 500 acres of forest, 55 miles southeast of the village of Otanmäki. Now The Guardian reports that wolves, who used to live in the forests, are roaming into villages neighboring these man-made muddy wastelands.

Local anger continues to simmer over the damage done to Finnish forests, as Google seems to have ridden roughshod over regulations in the hurry to build new AI data centers in Finland. However, the report suggests that it isn’t just environmentalists who have a beef with Google. Some families say wolves and other wild animals have entered the countryside villages. This would be a serious human safety concern.

“We had wolves coming into the village because all the wild animals moved out of the forest,” explained Anni Ranta, 53, whose family has lived in Otanmäki for generations. Ranta also fears the U.S.-owned data centers will make Finland an even juicier target for Russian aggression.

Finland is far from the first place targeted by AI data center developers to complain about environmental effects. This latest report also cites locals grumbling about construction/factory noise, streams turning brown, and rare birds being pushed out, among other unwanted side effects. We’ve seen similar concerns voiced across the U.S. and in other countries.

Google’s flouting of environmental policy has been unprecedented and clear, a representative of the Finnish Association for Nature Conservation (SLL) indicated to The Guardian. The Finnish Licensing and Supervision Authority (LVV) seems to agree, as it issued an order for Google to stop development near Muhos and Otanmäki. Nevertheless, a Google spokesperson was upbeat. “We will fully comply with LVV’s requests in this matter,” they said. “We look forward to maintaining an active, open dialogue with all authorities to strengthen our partnership with Finland and local organizations.” Google must be hoping the touted business benefits of the data centers will sway the government and/or regulators.

We last reported on these in-development data centers in Finland earlier this month, after the Finnish government (LVV) gave notice to Google to stop its construction activities in Muhos and Kajaani (near Otanmäki).

President Donald Trump has issued a call for data center builders and AI hyperscalers to pay communities a dividend in order to overcome energy-related price hikes, or even to reduce prices, in order to make data centers more palatable to local communities. In a post on Truth Social post, he warned that data centers would be mandated not only to make their own electricity, as he has previously stated, but also to give or sell excess energy back to the local community.

Local communities all over the United States have protested against AI data centers, often owing to their outsized impact on local communities. Rising electricity costs, noise pollution, water shortages, air pollution, deforestation, and more are the things that small communities have to deal with because of these companies.

To ease the pain of local communities, Trump is demanding that these large companies provide the communities they affect with something that will hopefully make their presence more acceptable. The Trump Administration is keen to stay ahead of China in the AI arms race and is looking for solutions to win back some favor by making the data centers pay something back to the affected communities; how that will practically transpire is yet to be seen. Considering the electricity-focused post, the dividend might be in the form of partially paying rising electricity costs to alleviate a pain point that directly affects many homes within the vicinity of data centers. The Trump Administration had ordered these companies to make their own electricity, as we’ve covered previously. Excess electricity from their generation could be used to further lower the electricity cost for the locals, including a recently passed act that orders data centers to shoulder the cost for grid upgrades to avoid taking it from the taxes of local communities.

“Data Centers that were highly unpopular in a certain area have become extremely popular when a financial deal is struck.” Trump further says in his post, aiming to have more data centers built, “MAKE DEALS, and get them built!!!," the President said in closing.

Whether the dividends will be enough to win over communities is yet to be known, as the economic aspect is only one facet of the problem. There are still plenty of problems to face; enormous water consumption, ecological damage, and pollution are still major challenges that make AI data centers a hard sell anywhere they’re located.

A Norwegian company building fiber networks and data centers across Europe is looking for a majority partner to help fund and build a transatlantic undersea cable that would connect Canada with Europe directly, bypassing the United States. The project follows worsening relations between Washington and Ottawa, with the Canadian government looking to reduce direct reliance on its immediate neighbor, Bloomberg reports.

Project Leif Erikson, if it goes ahead, would stretch more than 2,800 miles, starting at the southern tip of Norway and ending up at Happy Valley-Goose Bay in Canada's eastern province of Newfoundland and Labrador. From there, it would continue underground over Canadian territory, passing through Quebec before reaching Montreal.

According to Bulk's co-founder, Peder Nærbø, the link would be part of a "sovereign cable system" for Canada. The project was touted to investors at a global investors summit, arranged by the Canadian government, in September, where the project claimed to provide "direct, secure, high-capacity data transmission for AI, telecom and hyperscale markets."

Canadian Industry Minister Melanie Joy, meanwhile, met with Nærbø earlier this year, and although the department declined to comment on Leif Erikson itself, it told Bloomberg that security and resilience for Canada's infrastructure are "key priorities" for PM Mark Carney's government. Only a few undersea cables currently connect Canada without passing through the United States first, and none by a company owned by Canada. The biggest, called Topez, is owned by Google owner Alphabet and connects Canada with Japan.

As for Bulk, it has, up until now, laid more than 6,200 miles of cabling locally and at sea. Bulk's goal is to "unlock the Nordics' potential for... renewable energy to be utilized for digital infrastructure." Nærbø believes that "Canada lacks resilience" but "the game-changer was when the current situation with the U.S. escalated."

Leif Erikson has backers, according to the report, but the EU and Canada still need to plan and sign off on the project and its route. Additional financing will be needed to get started, too, with it expected to cost more than $620 million to build. Bulk itself has significant Canadian investment, with 65% of the company owned by a real estate subsidiary of Canada's Sun Life Financial Inc., with several Canadian pension funds also invested.

Leif Erikson is a project that Nærbø has sought to kickstart for the last five years without success. With geopolitical pressures and old alliances fraying, however, new opportunities for its development have given it steam. To that end, Canada and Europe intend to endorse a statement in Montreal on October 29 that the two will look for "the best way to enhance digital links between Europe, Canada and Asia through new subsea cable infrastructure."

It won't be without challenges, however, including a 1,180-mile underground route through Canada that'll require the backing of Indigenous communities. Meanwhile, other European efforts include an undersea cable project at the North Pole to link Europe with Asia to bypass Russia and the Middle East.

More than 300 local data center construction moratoriums haven’t had a massive impact on planned buildouts, with only three projects at about 2.3 out of 21 gigawatts (GW) of data centers in moratorium areas likely to be delayed, with a total of 38 GW projected to come online next year, SemiAnalysis shared on X. Per-project audits of the moratoriums indicate that they tend to miss the site, the permit, or the timeline.

The crux of the report is that, while everyone thinks the moratoriums are killing the U.S. buildout, its forecast has “barely moved over the last 12 months.” This forecast includes 38 GW of U.S. data center IT capacity in 2027, which is more than double that of 2026. Of that, 22 GW is under vertical construction, and the other 16 GW is mostly financed, with site work being done. The enacted local moratoriums cover about 20 GW with only about 1.5 GW of it delayed; New York’s pause adds 0.8 GW more. “We think moratoriums COULD delay the buildout, but they just aren’t yet at scale.”

The firm defines a moratorium as a “temporary legal pause,” and almost always a “freeze on accepting new applications.” More than 400 local instruments are tracked across 17 states, the enacted ones including a few permanent zoning bans, as of September. Four states acted in under two months this summer: New York, Texas, Pennsylvania, and Oregon. To test each active restriction against the records of thousands of projects, the firm’s analysts worked alongside “an army of state-of-the-art research agents.”

Several reasons are given for moratorium ineffectiveness, starting with the fact that they don’t revoke existing approvals. Short ones may expire before later projects need approval, and litigation or equipment lead times may already set the schedule. A moratorium moves the delivery date only if every condition holds, including that it reaches the parcel, is in force, overlaps the timeline, and covers the use in a way the project can’t work around. Capacity already under construction or fully permitted is also out of reach.

For example, Michigan has 45 enacted moratoriums but effectively zero pipeline exposure, and a Google campus there sits on industrial land already zoned for data processing. The firm says SpaceX’s planned data center in Brownsville, Texas, is on land the city removed from its limits and thus out of reach of the city’s moratorium. For a moratorium that did work, a township adopted a pause before NorthPoint, in Pennsylvania, filed for its special exception, with local approval pushed to next year. The company is still pursuing it.

The 2.3 GW figure is also incomplete, as it leaves out the Texas Commission on Environmental Quality (TCEQ) pause. Texas Gov. Greg Abbott told the TCEQ to issue no permits for data center projects. Law firm Bracewell says this applies whether a project is in the Electric Reliability Council of Texas’s (ERCOT) queue or not, and expects the pause to last until ERCOT finishes its review in mid-December. Pauses like the TCEQ’s, and how they play out, could impact buildout forecasts.

The post quotes another by The Economist’s Archie Hall, from a trip that covers Michigan and Ohio, with the reporter stating that data center moratoriums are “much more bark than bite” for the time being. He puts the bigger risk at deterring newer projects, though he guesses that affects where data centers end up more than whether they get built. His impression is that politics also plays a role, and according to the firm’s poll in August, more Americans have a negative rather than positive impression of data centers.

The analysis concludes that moratoriums would need to be “materially more widespread and restrictive” to delay the buildout. On the firm’s weekly podcast last month, Jeremie Eliahou Ontiveros, one of the report’s authors, said the firm would be worried by a strict, state-level moratorium that blocked even off-grid projects, citing Texas as an example. New York Gov. Kathy Hochul, in addition to Abbott, also found ways to bypass their legislatures for pauses they control and can revoke. The next move to watch is the TCEQ’s compliance report to Abbott’s office, due Monday.

Over the past week, Ukraine attacked some of Yandex's biggest data centers, disrupting the operations of various Russian national applications and metropolitan digital services. Russia, which has itself targeted Ukrainian data centers in recent weeks.

Worse yet for Russia, its online disinformation activities appear disrupted by these attacks. Although not as catastrophic as some initial reports claimed, a new report from Cloudflare claims that the bot traffic merely migrated to other hosts.

A new target

Since Russia's full-scale invasion of Ukraine in 2022, the war has moved through several phases. From the pushback of Russian forces in 2022, to the rapid deployment of FPV drones in 2023, to the mid-range drone strike campaigns both sides have focused on since 2025. Over that time, the targets have changed. Ukrainian supporters published "bingo cards," with various refineries and warehouses listed, often superimposing fire graphics to showcase when they'd been damaged or destroyed.

There are tens of major targets across different industries and networks; there are only a handful of Yandex data centers. Although there is a more expansive list of data centers from other providers that support the Yandex cloud network, most are small, only offering a few megawatts of compute capacity.

Considering that targeting just three of Yandex's facilities brought several key digital services such as shopping and taxi apps to their knees in major Russian cities, it may not take much for Ukraine to severely hamper the modern digital elements of Russia's economy and society at large.

While Ukraine isn't immune to similar attempts at disruption, its already-hardened networks and expansive list of allies make it far more resilient.

Friends in the right places

While overreliance on digital services from American companies like Google, Meta, and Amazon has its own drawbacks, in Ukraine's case, it's been a far more resilient strategy than Russia's. Russian attacks on Ukrainian data centers have caused some disruption, but much of Ukraine's digital infrastructure runs on Amazon's AWS cloud platform. That includes distributed hosting, resilient service structure, and AI integration.

That means that when Russia hits Ukrainian data centers, the services can be quickly migrated to another data center, perhaps located in another country entirely. Amazon has the world to fall back on if necessary. Ukraine also has allies in many other technologically advanced nations that can provide digital infrastructure and expertise, including access to the latest AI cybersecurity models.

In contrast, Russian internet and services are far more inward-facing. It has attempted to cut its population off from the outside world by banning Western services like WhatsApp and Telegram, pushing its citizens towards government-run applications like Max.

As the Russian-version of Google, too, Yandex has its fingers in a similar number of digital pies. It runs online search, mapping, online shopping, cloud storage, ridesharing, food ordering, and more. When its systems are disrupted, services that people have come to rely on in a modern digital economy break down, and there are far fewer alternative options.

Russian allies like North Korea, Belarus, and Iran can't offer much in the way of digital infrastructure support. Even China, which has been aiding Russia throughout the conflict, can't help much here. While it is making strides in building out its compute network for AI infrastructure, it runs a relatively walled-garden form of the internet. Integrating Russian applications with that would be complex and time-consuming.

All of this suggests that if Ukraine continues to hit Russian data centers, there's a real potential that Russian citizens and its military could lose access to digital services that have become ubiquitous in 21st-century life.

The effect that would have on Russian society and its war-fighting goals remains unclear, but it would have an impact.

Russia's AI capacity

Losing its most capable data centers alongside sanctions that prevent it from taking advantage of the AI boom that's buoying many other global economies could severely hamper Russian efforts to modernize its economy.

While the U.S., EU, and China are building out hundreds of billions of dollars worth of data centers to power the next generation of artificial intelligence models, Russia is struggling to hold on to what it's got. With major data centers now in Ukraine's sights, including those scheduled for expansion, Russia could see its digital future wiped away in a matter of months.

With even medium-tier data centers often taking years to build, even with ready access to the hardware to power them, Russia could be on the cusp of falling decades behind its contemporaries.

Bots are Down, But Not That Much

One highly publicized impact of these strikes on Yandex data centers has been a reduction in automated online activity from Russia. While that does appear to have reduced bot traffic slightly, particularly around support for far-right parties, it may not be as impactful as some initial reports claim, as Cloudflare has published a report stating that many of the bots have merely migrated to other hosts, reducing, but not eliminating, the bots themselves.

Journalist Ilya Lozovsky posted a lengthy explanation on Twitter/X about why Russian bots haven't been as disrupted as some have claimed, highlighting that bot activity hasn't fallen off as much as legitimate web crawlers and search functions at Yandex.

But while Russian bots haven't gone dark, there are several reports of reduced online activity among far-right groups, particularly those supporting prominent far-right politicians.

Posts supporting the AFD in Germany don't appear as impacted as initial claims suggested — the chart doing the rounds has clear errors in it, and German tech outlet Rohtext claims online discourse in general went down, rather than specific parties being impacted.

What these strikes have done, though, is highlight a clear and present weakness in Russia's modern society, military, and economy. If Ukraine can continue its strikes against Russian data centers, it may well bring key public services to their knees, as well as cripple Russia's ability to compete in modern digital services beyond the end of this war, further inhibiting the Russian economy in the future.

Russian bot traffic has dropped dramatically in the past few days after Ukraine knocked out Yandex’s biggest data centers, with a third attack happening last night. Cloudflare reports that bot traffic from the Yandex network has dropped to just 0.4% of the maximum number of HTTP requests recorded in the past two weeks. It initially dropped to around 57% on Oct. 8, which happened when Ukraine hit a Yandex data center housing two supercomputers in Sasovo, Russia, located around 195 miles to the southeast of the Kremlin. A second, bigger Yandex campus in Kaluga, about 220 miles to the west of Sasovo, was knocked offline yesterday.

These attacks are apparently Ukraine’s response to Moscow’s strikes on its own data centers, some of which resulted in the outage of some of the most popular piracy websites.

Yandex is Russia’s equivalent to Google, and its Yandex Cloud service status reports that at least 84 services are currently offline. Global internet monitoring firm NetBlocks said that Yandex’s network traffic has dropped to just 30% for Yandex Cloud and 63% for Yandex LLC, most likely resulting in slower internet services or complete disruption for the average Russian. Unfortunately, the ordinary Russian wouldn’t be able to use high-speed satellite internet as a backup, as Starlink does not work in Russia, while the competing Rassvet constellation has had a good number of its existing satellites fall back to the surface after launch.

These incidents are a result of the ongoing conflict in Ukraine, which escalated dramatically in 2022 after Russia’s failed attempt to capture Kyiv. However, many observers say that the war actually started in 2014 when Russian forces seized Crimea and occupied parts of eastern Ukraine after the fall of the pro-Russian government that year.

The hostilities, which have dragged on for years, saw the introduction of new technologies and strategies, specifically in drone warfare. It began with the wide deployment of commercially available drones on the front lines, typically for reconnaissance, dropping explosives, and kamikaze-style attacks. However, it has since evolved into long-range warfare, with specially built drones able to reach distances of over 1,500 miles and destroy Tu-95 strategic bombers situated well behind the front lines.

The drone strikes on data centers are relatively new developments. While data centers on bases are often considered valid targets, Russia’s justification for the attacks on civilian data centers was that Ukrainian military intelligence used them. This isn’t the first time that civilian data centers have also been hit by drones and missiles. AWS sites in Bahrain and the UAE have been hit multiple times since Washington started its bombing campaign against Iran, with the company telling its clients to move their data to sites outside the region, as it doesn’t have a recovery timeline.

The U.S. Senate has been conducting a year-long investigation into AI data centers, and its findings suggest that some developers have been misleading the public about the costs and benefits that these projects bring to their communities. According to Time, data center developers have routinely pointed to the number of construction jobs that projects bring to neighborhoods, but many have allegedly refused to share the number of permanent positions these projects bring to the neighborhood once they’ve reached operational status. A few companies that did give numbers point to a ratio of one permanent position for every megawatt of capacity, meaning a 100-megawatt development, which consumes around the same amount of electricity as 100,000 homes, would only hire 100 people.

“Congress must hold Big Tech accountable so these companies pay their fair share,” Senator Elizabeth Warren (D-Mass.) told the publication. Senator Chris Van Hollen (D-Md.) also said, “This report lays bare what we have long known: working Americans and local communities are footing the bill for Big Tech’s massive expansion of data centers, while these companies continue to operate without transparency.”

Aside from the lack of permanent jobs, the authorities also looked at the tax incentives these companies have been getting from local and state governments. The investigation revealed that although property-tax breaks catch critics’ attention during the application process, sales-tax exemptions on computer equipment are reportedly more lucrative, especially as these sites maintain, replace, and upgrade their hardware. The report estimated that 39% of a 1GW data center’s spending is allocated towards expensive GPUs, so if the data centers do not deliver the jobs and economic benefits they’ve promised, then the state is losing out on a lot of revenue.

The investigation also revealed that the surveyed companies — Amazon, Google, Meta, Microsoft, CoreWeave, Digital Realty, and Equinix — don’t want to cover the costs of the additional infrastructure needed to serve their data centers even though they previously promised to “pay their own way.” While the companies said that they were willing to pay for direct costs, they argued that they should not be responsible for the larger investments that could potentially benefit other customers, such as new power plants and transmission lines, even though these were primarily driven by their power demands.

There have already been efforts to legislate the ratepayer protection pledge that data center developers signed earlier this year, but it has failed because senators thought that it was “toothless.” This investigation shows that Congress is not giving up and that it’s conducting an even broader effort to regulate the infrastructure behind AI, especially with regard to its massive power consumption and other issues that residents living around them have been protesting against.

Hot on the heels of a Ukrainian drone strike on a Russian Yandex data center in Sasovo that caused a major outage, a Yandex facility in Kaluga has been struck in a similar fashion. The huge data center was so badly damaged that Russian state media admitted that multiple modules had been removed from service completely.

United24 Media reports that the facility is located in Grabtsevo industrial park and was designed to be the largest Yandex data center in all of Russia. It only entered service in the second half of 2023, lasting three years before this incident.

The Kaluga data center is a sprawling complex that covers around 1.4 million square feet (130,000 square meters). It's so vast that its 63-megawatt power capacity is around 50% higher than some other data centers owned by Yandex. With more than 3,800 server racks, it's perhaps easy to see why it became a target for Ukraine's drone operators. If, of course, the facility was the intended target for the attack — something yet to be confirmed.

As for what all those server racks actually do, it's reported that Yandex's internal services are housed at the facility. It was ultimately built to allow Yandex to expand its cloud offering.

It's as yet unclear how this drone strike is affecting everyday Russians, but the previous Sasovo strike also impacted Yandex Cloud. At the time, users reported problems with Yandex Mail, Disk, Documents, Pay, and Market despite Yandex claiming that key services remained up and running.

Russian state media TASS confirmed the severity of the attack, saying that “Several modules of the Yandex data center in Kaluga have been completely taken out of operation as a result of a UAV attack, [Yandex] reports.”

This incident is just the latest in a run of attacks on digital infrastructure both in Russia and Ukraine. Russian missiles struck a Ukrainian facility earlier this month, taking the world's second-largest torrent tracker offline in the process.

Google subsidiary Tuike Finland Oy has just received a notice from the Finnish Licensing and Supervision Agency, or LVV, ordering it to stop construction on two data centers. According to CNBC, the sites in Muhos and Kajaani cannot proceed until environmental impact assessments have been completed, which have been under investigation for allegedly clearing over 740 acres of Finnish forest for the project.

“We understand the concerns and have fallen short of our own high standards in this instance,” a Google spokesperson told the publication. “We acted in good faith under the Forestry Act and ran nature surveys and put in place measures to protect high-value areas. As we continue our long-term work in the region, we are advancing our landscaping and biodiversity plans, which include tree planting across 130 hectares at Muhos.”

Finland is sometimes called the “Texas of Europe” when it comes to data centers because of its readily available supply of land and electricity, which have been some of the major bottlenecks that data center developers have been facing. Even though the epicenters of the AI data center infrastructure build-up are centered around the U.S. and China, Europe is trying to catch up with its massive $30 billion investment and a target of 100,000 AI GPUs for each site. SoftBank also plans to invest $87 billion specifically in France because of its nuclear-powered electricity grid.

However, other European nations are struggling with the demand for this power-hungry infrastructure. Denmark has paused new data center connection requests as demand hit 60GW — more than eight times the country’s peak power consumption of around 7GW — while Amazon’s data center projects on the continent are facing delays of up to seven years as they wait for new connections.

These stop-work orders aren’t related to electricity supply, though. Instead, the concerns stem from the alleged cutting of trees without the go-signal from the government. The LVV ordered the subsidiary to stop removing trees and topsoil, as well as cease activities such as excavation, quarrying, crushing, soil mass transfers, ditching, and road and storage construction. “In our opinion, the measures in question will change the environment and cause impacts, the identification and assessment of which are among the key objectives of the EIA procedure,” LVV environmental department head Tommi Muilu said in a statement. Still, the subsidiary can proceed with planning, measurement, soil surveys, and other activities that would only have minimal impacts.

U.S. data centers have increasingly faced resistance from residents and communities around them, with 45 projects worth $68 billion blocked in the second quarter of 2026. We haven’t seen the same level of high-profile opposition in Europe, but this is likely because of the stricter permitting and review processes in the region, where concerns are usually raised and addressed even before construction begins.