Kevin O'Leary: AI Data Centers Like Golf Courses

Kevin O'Leary Defends AI Data Centers Against Environmental Criticism

Kevin O'Leary, known for his role on "Shark Tank," recently spoke out about the water usage of data centers dedicated to artificial intelligence. As a developer of these infrastructures, he sought to alleviate concerns by comparing their water consumption to that of golf courses. During a radio appearance, he claimed that new data centers do not consume more water than a modern golf course.

O'Leary, through his company O'Leary Ventures, is in the process of building large data centers in Utah and Canada. During his remarks, he specified that the first phase of his project in Utah, with a capacity of 1.4 gigawatts, will have water consumption comparable to that of a golf course. According to him, this is the comparison critics should adopt to assess the environmental impact of these facilities.

He emphasized that this comparison applies not only to his project but to all new data centers. "Every new data center is now like a golf course," he reiterated, highlighting the evolution of cooling technologies.

Water Consumption and Technological Innovations

Data centers are often criticized for their water consumption, which is necessary for cooling servers and generating electricity. A Business Insider investigation revealed that some large facilities in the United States can use more water daily than nearly 49,000 Americans.

However, industry figures like O'Leary contest these criticisms. They highlight advancements in cooling technologies, particularly closed-loop systems, which make infrastructures more efficient. Sam Altman, CEO of OpenAI, also dismissed accusations that ChatGPT consumes enormous amounts of water. He clarified that outdated evaporation cooling methods are no longer used, significantly reducing the impact on water resources.

Towards More Responsible Resource Management

During his remarks, O'Leary pointed out that modern data centers no longer require the amounts of water that were once used, as was the case 15 years ago in Virginia. He advocated for a new approach where each data center project should include its own energy production, with a portion of that energy fed back into the grid to maintain competitiveness.

Meanwhile, O'Leary is involved in a defamation lawsuit. He has been accused of making defamatory statements by claiming that some opponents of his project in Utah were backed by the Chinese Communist Party. Although he clarified on social media that he had no evidence for this, his lawyer, Jeffrey Neiman, stated that O'Leary intends to vigorously defend himself against these accusations, calling the lawsuit a "cash grab."