S.F., Oakland vote to temporarily ban new data centers. Another city is taking a different path
Digital Realty OAK10 data center is seen on Tuesday, October 6, 2026 in Oakland, Calif.
TL;DR
- San Francisco and Oakland have enacted temporary moratoriums on new data centers.
- Concerns include Big Tech's influence, gentrification, and the consumption of resources like water and electricity.
- Santa Clara is exploring regulations on data center water usage and air quality, rather than an outright ban.
- Santa Clara hosts a significant number of data centers and relies on them for substantial revenue.
- The city has implemented restrictions on electricity usage, mandates for carbon-neutral energy and reclaimed water for new facilities.
- Santa Clara has stopped accepting new data center applications due to energy capacity limitations and is investing in infrastructure upgrades.