North America data center demand reached an all-time high in the first half of 2026 with 25 GW of absorption, double the level from a year ago and five times that of two years prior. JLL’s North America Data Center Report – Midyear 2026 reveals that while structural demand continues to accelerate, responsible growth now depends on building trust through transparency and early community engagement around electricity, water, and noise impacts.
The report exposes a stark paradox: While 79% of Americans support U.S. leadership in artificial intelligence (AI), only 14% support data center development in their community, which is a 65-point support gap that threatens to constrain the infrastructure buildout required to maintain AI competitiveness.
“We’re witnessing demand levels that continue to exceed even industry insiders’ expectations,” said Andy Cvengros, executive managing director and co-Lead of U.S. data center markets at JLL. “The market absorbed 25 GW in just six months, driven by hyperscalers, neoclouds, and pure-play AI companies competing aggressively for scarce capacity. But the real story is how community acceptance, or lack thereof, has emerged as the defining challenge for this next phase of growth. The industry and communities need to come together to find a path forward that benefits everyone.”
With vacancy sustained at 1% for the third consecutive year despite unprecedented construction activity, North America now has 66 GW under construction, 95% of which is pre-committed. Texas has cemented its position as the state for data centers, with 26 GW of existing and under-construction capacity, followed by Virginia at 13 GW, while frontier markets now account for 77% of all capacity under development.
“The geographic transformation of this industry continues its rapid evolution,” said Sean Farney, VP of data center strategy at JLL. “Energy-rich, build-friendly markets like West Texas, Ohio, Louisiana, and the Carolinas have seen massive investment in recent years. As development accelerates to meet growing demand for advanced technologies, developers are also taking a more transparent approach—working with communities to address local impacts while delivering jobs, tax revenue, infrastructure investment, and long-term economic growth.”
The full JLL report, including more financial takeaways, is available here.
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