Goldman Sachs: U.S. Data Center Expansion Remains on Track Despite Mounting Local Opposition

Goldman Sachs projects that U.S. data center capacity growth through 2027 will remain largely unaffected by rising political and community opposition to new facilities, with the firm raising its 2026 year-end capacity forecast to 64 gigawatts. The investment bank forecasts data center power demand will expand by 38% annually in both 2026 and 2027, even as public sentiment shifts more negative, with only one-third of Americans supporting the current pace of construction and just 14% willing to host a facility in their community. The persistent backlash poses political challenges ahead of upcoming elections, yet project-level data suggests minimal near-term impact on the acceleration of data center development needed for artificial intelligence infrastructure.

Goldman Sachs adjusted its capacity projections in a recent note, raising expectations for 2026 while slightly moderating 2027 estimates. The firm attributes the sustained growth trajectory to robust demand for AI infrastructure, with annual power consumption expanding at a 38% rate across both years. Despite these optimistic forecasts, communities across the country have mobilized against facility development, citing concerns about strain on local power grids, elevated utility costs, and broader environmental impacts.

Public polling reveals a significant gap between current development rates and citizen acceptance. According to survey data from mid-2026, approximately two-thirds of Americans oppose the current construction pace, and support drops dramatically when facilities are proposed locally—only one in seven respondents would welcome a data center in their neighborhood. This disconnect between industry expansion and grassroots sentiment reflects growing tensions over how AI infrastructure benefits are distributed versus localized costs.