Society & Ethics

Kevin O’Leary says data centres use less water than golf courses. The numbers are more complicated.

· July 18, 2026
Kevin O’Leary says data centres use less water than golf courses. The numbers are more complicated.

What happened

Kevin O’Leary, investor and “Shark Tank” personality, defended his Stratos data centre project in Utah by comparing its water use to that of golf courses. After protests and an executive order from Utah’s governor targeting his 40,000-acre site, O’Leary told Business Insider that AI data centres consume far less water than American golf courses. His claim is technically accurate based on current data.

Why it matters

O’Leary’s comparison reframes the water usage debate around large AI data centres by pitting it against widely accepted recreational water consumers. Golf courses are notorious for high water consumption, often drawing criticism over drought-stricken regions. By positioning data centres as less water-intensive, O’Leary attempts to reduce public resistance and regulatory scrutiny. The argument forces local officials and communities to weigh water impacts from tech infrastructure against other established users.

However, the water figures are complex. Data centre water use varies greatly depending on technology, climate, and cooling methods. Golf courses present a consistent baseline but cover a significant area and include irrigation systems tailored for grass maintenance. While the comparison is not false, it oversimplifies the environmental tradeoffs and sidesteps issues like energy consumption and local water stress, which affect both types of water users differently.

What to watch next

Operators, investors, and regulators will track how this water consumption narrative affects future data centre approvals, especially in water-scarce regions. The conversation could influence stricter water usage regulations or promote investments in more water-efficient cooling technologies. Watch if similar “comparative user” arguments emerge for other tech infrastructures facing environmental pushback. Also monitor public reaction and if the framing changes local policies on water allocation between recreational, commercial, and technological demands.

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