In Loudoun County, Virginia, data centers are more than just infrastructure—they’re foundational to our economy and the digital world. With over 43 million square feet of operational data center space and another six million square feet under development, Loudoun has become the epicenter of global digital infrastructure. In 2024 alone, the industry contributed nearly one billion USD in local tax revenue that funded schools, public services, and transportation infrastructure.
Loudoun’s transformation has become a national model and global case study to inspire regions across the US and around the world to attract their share of this thriving digital infrastructure industry. The reasons are clear: Data centers bring jobs, tax revenue, and long-term economic diversification. But the pace of growth—driven by surging global data demand—has introduced new challenges, including increased scrutiny from community stakeholders, environmental advocates, and energy planners.
This dilemma is the new reality of data center development. With more than 7.5 trillion USD of the global economy projected to rely on digital infrastructure by 2027, the question is no longer if we need more data centers—it’s where and how we build them, and how we power them.
The Five “Abilities” of Energy
To navigate this new frontier, we must look beyond megawatts and megabits. I propose that we reframe the conversation around what I call the five “abilities” of energy—the key criteria that will determine not just where we build data centers but how successful and sustainable they are.
- Availability: Is the power there, and can it be delivered when needed?
- Affordability: Can the power be accessed at a cost that makes projects viable?
- Reliability: Will the power supply remain stable and uninterrupted?
- Scalability: Can the grid expand as data center needs grow?
- Sustainability: Can this approach be achieved in an environmentally responsible way?
Today, availability is the defining factor. Even the most attractive site, with shovel-ready zoning and local incentives, means little without assured access to power.
That shift has led to a reprioritization of the “abilities.” While sustainability remains a core industry value—reflected in ambitious net-zero targets and growing use of renewable energy—the urgent need to meet rising demand has put a spotlight on where energy capacity already exists.
This approach is not a retreat from environmental goals. It’s a reality check on sequencing. If availability isn’t solved first, we don’t get the chance to solve for the others.
The Energetic and Environmental Significance of the AI Surge
The current wave of demand is largely driven by the exponential growth of artificial intelligence (AI), which has emerged as both a driver of innovation and a disruptor of energy planning.
The International Energy Agency (IEA) forecasts that data center electricity demand could double or even triple by 2030, largely due to AI workloads. A single Generative AI query may use ten times the energy of a traditional search query.
And yet, AI is also part of the solution. While concerns about AI’s environmental impact persist, they are often overstated. Moreover, AI holds significant promise for advancing sustainability efforts, from detecting methane leaks to optimizing energy systems.
The Mutual Rise of Infrastructure Investment and Energy Use
Global investment in digital infrastructure is accelerating. With AI, edge computing, and hybrid cloud fueling demand, analysts project hundreds of billions of dollars in annual data center investments through the end of the decade.
This figure is matched by soaring electricity demand, particularly in key US markets like Northern Virginia, Dallas, and Phoenix, as well as internationally in Dublin, Ireland.
Loudoun County: A Case Study in Scale and Scrutiny
Loudoun County has shown what’s possible when digital infrastructure is supported with smart planning, public-private partnerships, and community engagement. But our success has also made us ground zero for a new kind of scrutiny.
Community groups have raised concerns about proximity to residential neighborhoods, electrical substation expansion, and the cumulative environmental impact of rapid growth. These concerns are real, and they deserve serious, fact-based dialogue.
At the same time, the benefits of our model are undeniable: Loudoun has become a global leader in economic development, thanks in large part to our willingness to embrace the digital economy. The benefits remain clear: strong tax revenues, high-paying jobs, and a robust ecosystem of support industries.
A Collaborative Way Forward
The future of digital infrastructure isn’t just a technology challenge—it’s a collaboration challenge. Achieving smart, equitable growth depends on engaging every stakeholder.
- Governments must streamline permitting and infrastructure planning while safeguarding community interests.
- Utilities must coordinate capacity and forecast future needs with precision.
- Digital infrastructure industry players must engage early and often, maintaining transparency and flexibility.
- Community voices must be heard—not just during conflict, but in shared visioning.
Unlike the dot-com era, the data center boom isn’t a bubble—it’s the bedrock of tomorrow’s economy. But growth without guidance can lead to resistance, inefficiencies, and missed opportunities. Communities have an opportunity to lead again by demonstrating how we align innovation, infrastructure, and impact. In this moment of transformation, we’re called to power more than just servers—we’re here to power possibility. Doing so demands availability, scalability, community trust, and a shared commitment to building not just digital infrastructure but a digital future worth believing in.
ABOUT THE AUTHOR
Buddy Rizer is the Executive Director for Economic Development in Loudoun County, Virginia—home to “Data Center Alley” and recognized as the 2021 Economic Development Organization of the Year by the International Economic Development Council. Since joining the department in 2007, Rizer has led efforts that have attracted more than $65 billion in investment and over 60,000 new jobs, helping reduce the local tax rate by more than 48 cents on the dollar.
He has extensive global experience, promoting Loudoun in over 15 countries and building relationships across commercial and agricultural sectors. Rizer’s leadership has earned him numerous accolades, including being named a Tech Titan by Washingtonian Magazine eight times, one of Virginia Business Magazine’s 50 Most Influential Virginians, and a three-time member of the Washington Business Journal’s Power 100.
A 2025 recipient of the National Eagle Scout Association’s Outstanding Eagle Scout Award, Rizer also serves in multiple regional leadership roles, including Chair of the Rivana at Innovation Station CDA and board positions with NOVA, NVTC, and the Washington Airports Task Force. He holds a CEcD and EDP certification, a master’s degree from Longwood University, and is a graduate of Virginia Tech’s Local Government Management Program.
Widham has a BA in Finance from The George Washington University in Washington, DC.
