Moody's Flags Credit Risks for States, Munis From Data Center Surge

Moody's Ratings says the rapid rise in data center development, along with its heavy power and water demands, is increasing credit risks for U.S. state and local governments. According to the firm's latest report, the growth of these facilities may require a major expansion of power, transmission and water infrastructure, and if costs cannot be sufficiently recovered from data centers, that burden could be passed on to governments and ratepayers.