O’Leary shrinking Utah data center after backlash

Business mogul Kevin O’Leary has agreed to scale back his controversial Stratos AI data center project in Utah following mounting opposition. The 40,000-acre development, approved for multiple sites across Box Elder County, now faces demands from Utah Senate President J. Stuart Adams (R) to reduce its size by 75%, bringing it down to approximately 10,000 acres. Adams also requested greater transparency, stronger conservation measures, and protections for Utah’s natural resources, including the Great Salt Lake, despite no current water usage impacting the lake. O’Leary told NBC News he would have to shrink the project due to political pushback, including protests and criticism from local residents who argue the development lacked sufficient public input. He suggested Adams’ letter was politically motivated, as the senator faces a June 23 GOP primary election. O’Leary plans to send a formal response to Adams with revised proposals by Friday. The Stratos project has drawn scrutiny over its massive energy and water demands, positioning it as one of the world’s largest AI data center developments. O’Leary previously dismissed concerns as misinformation, even accusing China of funding smear campaigns against the project. He claimed one major opposition group, the Alliance for a Better Utah, was backed by dark-money interests from China, a claim the organization denied, stating, 'The only foreign interest in this data center is Kevin from Canada.' Public opposition has intensified, with critics arguing the project’s scale and environmental impact were not adequately addressed before approval. The debate highlights broader concerns about the growing demand for AI infrastructure and its potential consequences for local ecosystems and communities.