President Joe Biden signed a new executive order this week aimed at making data centers a cornerstone of the nation’s future. The order provides federal support to address the massive energy needs of data centers as artificial intelligence continues to expand. It also directs federal agencies to identify potential sites for companies to build these facilities, which house servers and other essential components for AI operations. The president emphasized his vision for the United States to lead the world in AI technology and semiconductor manufacturing. “Cutting-edge AI will have profound implications for national security and enormous potential to improve Americans’ lives if harnessed responsibly, from helping cure disease to keeping communities safe by mitigating the effects of climate change. However, we cannot take our lead for granted,” the White House said in a statement. The executive order comes just as a new, state-of-the-art data center held a ribbon cutting on Wednesday in Irving with city officials. The Edged Dallas is opening a 168,610-square-foot sustainable data center in an industrial area off Loop 12 and Highways 183 and 114. The company said it uses waterless cooling systems, solar panels, and advanced energy-efficient technologies to reduce its environmental impact on local resources. “As data centers become critical infrastructure supporting communication and commerce, Edged Dallas leads the way in powerful and sustainable performance,” the company said in a press release. Experts say this type of goal for sustainability is important as data centers become more and more common in the state. DFW is quickly becoming one of the hot spots in the region, ranking as the second-largest data center market in North America. “The energy industry views Texas as a friendly place to build. You can get land, you can get permits. You can build both the generation to supply electricity, as well as the large loads, the data centers, or manufacturing facilities. So that is a factor,” said Rob Gramlich, president of Grid Strategies, an economic and engineering consulting firm based in the Washington, D.C. area that studies electric power systems and transmission. States have become competitive in attracting data center companies, eager to tap into the tax revenue and job opportunities these facilities bring. However, their energy-intensive nature has raised concerns because the centers require significant power and water to keep their servers cool. A recent study by The Lawrence Berkeley National Laboratory estimates that U.S. data center power demand could nearly triple within the next three years, potentially consuming up to 12% of the country’s electricity. “By showing what the energy use is and, more importantly, what’s causing the growth in energy use, it helps us think about what opportunities there are for efficiencies,” said the report’s lead researcher, Arman Shehabi, a staff scientist in Berkeley Lab’s Energy Technologies Area. According to a new Grid Strategies report, U.S. electricity demand could rise 128 GW over the next five years, driven by data centers and manufacturing growth. The estimate represents a five-fold increase in load growth forecasts over the past two years. “The environmental footprint is an issue that localities and states are looking at,” said Rob Gramlich, president of Grid Strategies, a consulting firm focused on electric power systems. “The emissions from the power needs, and then the water consumption, are significant considerations.” Gramlich highlighted Texas’ role as a leader in data center growth, noting that the state is also attracting cryptocurrency mining operations and other energy-intensive industries. “Data centers are starting to use a significant portion of the nation’s electricity. While they’re not the only driver of energy demand, they are the single biggest source,” he said. Texas’ growth in this sector is complemented by its renewable energy goals. Many tech companies are purchasing wind and solar power to meet their sustainability commitments, further fueling renewable energy development across the country. Data centers are critical for powering advancements in artificial intelligence, which in turn are helping to improve various industries, including electricity management. “These data centers are enabling a lot of the things we do with our phones and technology every day. In some sense, everybody does benefit to the extent they’re using any of that or using the internet in any way,” Gramlich said. “Even just directly within electricity, AI is being used to figure out how to run our power systems more efficiently.” The growth doesn’t stop in Irving. A new $1 billion data center campus is under construction in the Red Oak area, just south of Dallas, along the I-35 corridor. Real estate firm Lincoln Property Company, fiber internet provider Gigabit Fiber, and investment firm Tradition Holdings announced the project last week. Major players like Google are spearheading projects there, solidifying North Texas as a hub for technological innovation. As artificial intelligence and data center technology continue to grow at an unprecedented pace, the focus will remain on balancing economic benefits with environmental sustainability.