AI-Driven Data Center Growth Sparks Debate Across Rural America on Risk vs. Reward

CoBank Knowledge Exchange’s Jeff Johnston shares the group’s positive perspective on expanding data centers into rural areas and weighs the risks and rewards for those communities.

DENVER, Colo. (RFD NEWS) — Artificial intelligence is driving a surge in data center expansion, creating increased demand for land and power. Many developers are now looking to rural America as an ideal location, citing available space and access to energy. While some view this trend as an economic opportunity for rural communities, others have raised concerns about its potential impact on farmland and ranchland.

CoBank digital infrastructure economist Jeff Johnston joined RFD NEWS to discuss how this issue is being viewed in rural communities.

In the interview, Johnston addressed potential negatives being raised by rural residents, including concerns that data center development could threaten agricultural land and change long-standing land use in farming and ranching areas. He also discussed whether data center developers are beginning to respond to community concerns and if those efforts could give rural communities added bargaining power as discussions move forward.

Johnston outlined some of the optimism coming from rural communities that see data centers as a way to support schools, towns, and local economies. The conversation also included reports circulating on social media suggesting data centers may be offering higher per-acre payments for farmland than solar and wind projects. Johnston shared insight into what is generally being offered.

To close, Johnston provided his outlook as discussions around data center development continue to evolve in the year ahead.

Related Stories
R-CALF USA CEO Bill Bullard joins Market Day Report for his insight on the USDA’s plan to strengthen the U.S. beef industry.
RFD-TV Markets Expert Tony St. James breaks down the USDA’s newly unveiled plan to rebuild the US beef herd and the industry’s spectrum of responses to it.
American Farm Bureau Federation (AFBF) economist Bernt Nelson provides an updated outlook on the current U.S. cattle market.
Farm CPA Paul Neiffer discusses the status of USDA disaster aid, including delays to Stage 2 of the SDRP program, and what farmers should watch for as lawmakers negotiate an end to the government shutdown.
Taryn Fischels, Product Marketing Manager for Precision Upgrades at John Deere, joins us to share a sneak peek of her chat with FarmHER’s Kirbe Schnoor on the Dirt Diaries podcast.

Marion is a digital content manager for RFD News and FarmHER + RanchHER. She started working for Rural Media Group in May 2022, bringing a decade of digital experience in broadcast media and some cooking experience to the team.

LATEST STORIES BY THIS AUTHOR:

Dr. Ashley Johnson, with the National Pork Producers Council (NPPC), joins us to share the sector’s perspective on new FDA initiatives targeting ultra-processed foods.
Among many longstanding traditions at the FFA Convention & Expo is the National FFA Band.
Pork producers are making Veterans Day a little brighter for Iowa’s military families.
While there has been an increase in outbreaks of Highly Pathogenic Avian Influenza (HPAI) this migration season, the CDC says the public health risk is low.
Cattle markets are collapsing this week, and analysts say that several factors are at play. Consumer beef prices also remain near all-time highs, threatening long-term demand.
If confirmed, early Chinese buys tighten nearby Gulf/PNW capacity and could bump basis in export-oriented regions.
Agriculture Shows
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.
Champions of Rural America is a half-hour dive into the legislative priorities for Rural America. Join us as we interview members of the Congressional Western Caucus to learn about efforts in Washington to preserve agriculture and tackles the most important topics in the ag industry on Champions of Rural America!
Featuring members of Congress, federal and state officials, ag and food leaders, farmers, and roundtable panelists for debates and discussions.