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Colorado River

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COMPANIES · 1 SOURCE · The Verge AI

AI-era data centers and chip fabs strain Arizona’s water supply

The article reports that Arizona’s rapid buildout of large-scale tech infrastructure — from TSMC’s semiconductor fab (consuming nearly 5 million gallons of Phoenix water daily) to proposed hyperscale AI-focused data centers — is fueling local backlash as communities confront limited water supplies and projected Colorado River cutbacks. Residents, local officials, and developers are debating trade-offs between jobs and tax revenue versus growing demands for water, power and land.

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