Walton County, Georgia, didn’t ask to become a test case for the artificial intelligence (AI) infrastructure boom. Meta, the company behind Facebook, Instagram, and WhatsApp, decided for them.

In 2018, the company broke ground in Social Circle, a small town an hour east of Atlanta with about 5,000 residents, to build one of its largest U.S. data centers. It opened in 2020.

Local officials called it a win. Shane Short, president and CEO of the Development Authority of Walton County, said the plant generates about $10 million annually in property tax revenue and has led to road improvements and expanded broadband.

Electric vehicle maker Rivian followed Meta’s lead and began construction on a plant near Social Circle in September 2025, adding to the area’s rapid industrial growth.

But for residents, the shift from a largely rural, agricultural economy to an energy-intensive industrial one has put new pressure on power and water systems.

“They’re seeing higher water and power bills, worse air quality, and very few jobs in return for this, while large corporations get tax benefits,” said Ahmed Saeed, an assistant professor in Georgia Tech’s School of Computer Science, describing why residents in some communities push back on new data center development.

Saeed and Josiah Hester, associate professor, Catherine M. and James E. Allchin Early Career Professor in the College of Computing, and director of the Center for Advancing Responsible Computing, have spent the past year studying the energy, water, and financial demands associated with these facilities, and how those costs are distributed.

Betting on Demand

AI data centers run on specialized chips that use large amounts of electricity. That power generates heat, which requires energy- and water-intensive cooling.

The state is adding capacity based on expected demand, not current use.

Last year, the Georgia Public Service Commission approved an estimated $16 billion expansion for Georgia Power to support that growth. It is expected to produce about 10 gigawatts of electricity at a given time. That’s enough energy to power about 7.5 million homes for a year.

If that demand materializes, the electricity is used. If it doesn’t, the cost still has to be paid.

Grid Stability

“Those workloads can put a very large demand on the grid all at once, and then remove it just as quickly,” Saeed said. “That sudden change is difficult for the system to handle.”

That volatility is a separate issue. Even if data center operators pay for the infrastructure they use, large swings in demand can still strain grid operations, especially during peak periods or extreme weather.

What Comes Next

Back in Walton County, the Meta facility is already attracting additional data centers.

Each new site adds power and water infrastructure designed to operate for decades. The servers inside need to be upgraded every few years. Saeed and Hester said if Georgia wants to remain an AI and cloud hub, the state needs to set the terms, and companies need to meet them.

That starts with disclosure — how much power data centers draw from the grid, how that demand spikes, and how much water they use. It includes clear expectations for how those facilities respond when the grid is under stress, and protections for the communities where they’re built.

Saeed and Hester say that “build it and hope” is not a strategy.