Decoder with Nilay Patel Decoder with Nilay Patel

How Utah locals fought Kevin O'Leary's AI data center

Oct 1, 2026 · 44m

Summary

The Verge’s Josh Cheek joins Nilay Patel to discuss the collapse of Kevin O’Leary’s massive "Wonder Valley" data center project in Utah. Cheek explains how the project’s secretive approval process and O’Leary’s inflammatory rhetoric sparked a bipartisan grassroots backlash that halted construction. The conversation explores the broader AI infrastructure boom, highlighting how the industry’s race for speed has created "paper data centers" and alienated local communities. Ultimately, the episode reveals that local democracy and environmental concerns are becoming significant obstacles to the …

Topics discussed

Sponsors: CrowdStrike and Dopple Introduction to the Stratus/Wonder Valley project Guest intro: Josh Jeza and his reporting background Parallels with the Foxconn Wisconsin project How the project was approved via military land The permitting race and state vs local conflict Public backlash and local discovery of the project Contrast with Foxconn: anger vs excitement Diverse coalition of protesters and their motives Key local activists and community dynamics Sponsors: CrowdStrike and Pipedrive Why the project faced such severe opposition Political fallout and the loss of a state senator Kevin O'Leary's retreat and legal threats The industry race for speed and political conflict Power land assembly and speculative paper data centers Economics of AI and the role of hyperscalers Infrastructure lifespan and the AI bubble question Sponsors: Apple Watch and Upwork Lessons for other communities facing data centers NIMBYism vs environmental and AI concerns Future outlook for data center opposition Closing remarks and show promotion Sponsor: Midi and legal disclaimers
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