The QTS Fayetteville (“Project Excalibur”) campus is among the largest data center developments in the country, currently comprising 13 buildings totaling approximately 6.2 million square feet, with plans for up to 16 buildings at full buildout. QTS has said it expects to invest up to $1 billion in the project, which began construction in 2023 and isn’t expected to be completed for another three to five years.
Amazon, Microsoft, and Google under investor pressure to disclose data center water and power use
After a $16 billion Stargate AI data center was built despite being voted down, Michigan towns rush to block new buildouts
Small Missouri town ousts city council after it approved $6 billion AI data center
QTS told Politico the 29 million gallons were consumed during temporary construction activities, including concrete work, dust control, and site preparation. The company markets a "closed-loop" cooling system for its data centers, which recirculates the same water rather than drawing from the municipal supply. Once operational, QTS said its facilities would only require water for domestic needs like bathrooms and kitchens.
However, the discrepancy between QTS’s stated and actual water usage remained undetected for months, with Politico reporting that the county’s water system director, Vanessa Tigert, attributed the oversight to a procedural error during the county's transition to a cloud-based metering system.
Tigert told Politico that her department has a single employee handling both inspections and plan reviews, saying, “… we don’t have enough staff. We can’t keep staff.” QTS and the county disagreed on how long the water went unmetered, withTigert estimating about four months and QTS saying 9 to 15 months. Despite the unauthorized connections, Fayette County opted not to fine the company. "They're our largest customer, and we have to be partners," Tigert said. "It's called customer service."
The incident came to light last week after a Fayette County resident obtained the utility's May 2025 letter to QTS through a public records request. Fayetteville had already moved to restrict data center growth before this, with the city council banning new data centers in every zoning district earlier this year, adopting Ordinance 26-0-12. A separate proposal from developer Crow Holdings was denied by the city's planning commission in January, and the company withdrew its appeal in March.
Get Tom's Hardware's best news and in-depth reviews, straight to your inbox.
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/tech-industry/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/georgia-data-center-used-29-million-gallons-of-water#main
- https://www.tomshardware.com/subscription
- Powering the Next American Century: US Energy Secretary Chris Wright and NVIDIA’s Ian Buck on the Genesis Mission
- NVIDIA Spectrum-X — the Open, AI-Native Ethernet Fabric — Sets the Standard for Gigascale AI, Now With MRC
- Rethinking AI TCO: Why Cost per Token Is the Only Metric That Matters
- NVIDIA and Partners Showcase the Future of AI-Driven Manufacturing at Hannover Messe 2026
- The Middle East had everything data center builders and hyperscalers could wish for — then the Iran war happened
Informational only. No financial advice. Do your own research.