Archive · 21 Jul 2026
Kevin O'Leary defends AI data centres' water use
Kevin O'Leary, a well-known investor, says modern AI data centres use much less water than older ones.
He compares their water use to that of a golf course.
O'Leary argues that new cooling technologies have made data centres more environmentally friendly.
However, some people are still worried about how much water and energy these centres use.
Sam Altman, the CEO of OpenAI, also says that claims about AI using a lot of water are outdated.
Meanwhile, O'Leary is facing a lawsuit over comments he made about his Utah project.
As AI grows, discussions about how to make data centres more sustainable will continue.
Kevin O'Leary argues that modern AI data centres use advanced cooling technologies that significantly reduce water consumption.
O'Leary compares the water use of new data centres to that of a golf course.
Sam Altman, CEO of OpenAI, dismisses claims that AI queries consume large amounts of water.
O'Leary is facing a defamation lawsuit over comments made about his Utah project.
Debates over water, electricity, and environmental sustainability remain central to discussions about AI infrastructure.
- Who
- Kevin O'Leary, a Canadian businessman and investor, and Sam Altman, CEO of OpenAI.
- What
- A debate over the environmental impact of AI data centres, particularly their water and energy consumption.
- When
- Recent discussions and ongoing legal challenges.
- Where
- Globally, with specific focus on projects in Utah and Canada.
- Why
- To address growing concerns over the environmental sustainability of AI infrastructure.
AI Industry
Environmental Critics
Water Consumption
AI Industry
Modern AI data centres use advanced cooling technologies that significantly reduce water consumption, making their water use comparable to that of a golf course.
Environmental Critics
Large data centre campuses still have permits allowing daily water consumption that exceeds what nearly 49,000 Americans would typically use in the same period.
Energy Generation
AI Industry
AI data centre developers should invest in their own power generation to reduce pressure on existing electricity grids and contribute power back to the grid.
Environmental Critics
Critics argue that the energy demands of AI infrastructure are already straining electricity grids and require more sustainable solutions.
- Kevin O'Leary
- Canadian businessman and investor, known for Shark Tank, and founder of O'Leary Ventures.
- AI Data Centres
- Facilities that house servers and computing equipment for artificial intelligence operations.
- Cooling Systems
- Technologies used to prevent servers from overheating, including closed-loop systems that reduce water consumption.
- Utah Project
- O'Leary's planned AI data centre project expected to provide 1.4 gigawatts of computing capacity.
- Sam Altman
- CEO of OpenAI, who dismissed claims that AI queries consume large amounts of water.
- Defamation Lawsuit
- Legal action against O'Leary over comments alleging opponents of his Utah project were backed by the Chinese Communist Party.