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Culture War Roundup for the week of August 3, 2026

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There is a great new Substack article about the populist backlash to AI data centers by Jasmine Sun. She also did an interview with Ezra Klein for those of you who like audio content.

I like the article because Sun speaks fluent Silicon Valleyish while also taking the time and effort to visit and talk to the people on the ground in the rural Midwest instead of condecending at them from the coasts. She asks an important question: why precisely do people hate data centers so much?

Looking only at the statistics, AI land use and water use issues are fake. Nowhere is running out of land, and nowhere (West of San Antonio at least) is running out of water. Are the people in these communities stupid? Do they not know how to shut up and multiply?

It turns out that a lot of the fear and anger stems from a combination of distrust and PTSD from deindustrialization. An interesting example is Janesville, Wisconsin, a town with a giant concrete slab in the middle of it where the GM plant used to be.

“Small communities don’t have the legal budget to negotiate well. You’ll never hold a company to a contract,” said Cathy, who feared Janesville once again tying itself to a single big employer—especially one in a “high-risk industry” like AI. City officials were promising to lower wheel and property taxes on residents, but that assumes everything goes right. What if the project gets abandoned? How does Janesville avoid “another GM plant scenario”?

Fascinating. The collapse of the auto industry in 2008 was apparently so bad that it is better to prevent industrial development alltogether in order to avoid the risk of another collapse. It almost makes sense until you think about it for 30 seconds.

"I ask the three what they envision being built here instead, but don’t get much of an answer. I suspect that Adam is partly right—maybe this is a choice between a hyperscale data center and a concrete slab. And Alyssa, Cathy, and Kaycee would rather pick the slab."

Some of the objections Sun hears in other towns fare a bit better.

In 2017, the Village of Mount Pleasant, Racine County, and State of Wisconsin offered over $4 billion in tax incentives and infrastructure investments to win a bidding war for a Foxconn plant. In return, Foxconn promised Mount Pleasant—population 26,000—a $10 billion investment that would create 13,000 jobs making flat-screen TVs. The village eminent domained the land and prepared infrastructure. But Foxconn kept downsizing their plans, citing high labor costs. By the end of 2024, just over a thousand jobs had been created. Mount Pleasant was saddled with over $183 million in debt that Foxconn and Microsoft are still servicing.

The memory of the Foxconn fiasco is still raw. We heard it referenced in conversation after conversation as a flaming symbol of corporate failure.

This is the steelman of the anti-data center position. People are worried that the big companies proposing data centers are going to Foxconn them and not deliver the supposed benefits.

My conversations make me wonder if the technical content of data center deals is mostly beside the point. Closed-loop cooling systems? “I don’t believe them.” Paying millions in taxes? “I don’t believe them.” Creating a thousand jobs? “I don’t believe them.” I hear a reflexive skepticism of every claim.

Rather, the way that AI companies engage with communities—forcing NDAs, dangling billion-dollar promises, pushing environmental externalities far away from AI’s wealthy user base—resembles a classic story about dark money in politics. Your politicians are being bought by billionaires and gigantic corporations to screw you over. It’s not Skynet: it’s the oligarchy.

One of the things that comes across especially clear in the Ezra Klein interview is just how unprepared the AI companies were for the backlash. They didn't realize how sketchy it comes across to insist on NDAs with local officials when negotiating deals. They thought, as a straightforward application of Coase's Theorem would tell you, that any bumps in the road could be ironed out by handing over a big bag of money. It turns out that people don't work that way. It feels like a bribe, and Americans do not like being bribed.

I haven't read the Substack article yet, but I did read the Klein interview, and what stood out to me was this:

And I went in and asked these organizers: Do you guys use A.I.? Do you find it useful? This was one of the top questions that my friends in San Francisco wanted me to ask: Are these people using ChatGPT, and they don’t even realize that the data centers are how they can use it?

And what I found was that a lot of these folks did say: Yeah, I’ve used it to draft an email or make a meme. They’re not denying that A.I. might have any possible utility at all, but they clearly didn’t see it as essential in the way that cars, energy and housing are essential.

They clearly saw it as like a widget — a toy — and maybe there are these risks, maybe there’s the job stuff, but fundamentally they were like: This thing is not that useful. I don’t really see in my personal life how this could justify these gigantic valuations.

And so I was talking to, for example, Charles Franklin, who runs the Marquette Law School Polls in Wisconsin, and he was explaining that usually you see 50-50 polling on issues where you have a strong anti case and a strong pro case. And the only reason you’re seeing this 70-30 bipartisan opposition to data centers, no matter whether you live near a data center or you don’t — which means it’s not just NIMBYism, it’s you don’t want a data center in anyone’s backyard — is because there is no strong pro argument for it. There is not even a fight that’s really going on.

“Nobody wants it” was a phrase I heard over and over.

A big part of the dissonance, it seems to me, is around the perception of what 'AI' is and whether it's valuable. Clearly a lot of people in Silicon Valley believe that this is a massively transformative technology that will be vital to the future of the country if not the world. They're frequently either outright singularitans, or simply believe that it willl turbo-charge the economy, massively increase wealth, change everything about employment, and so on.

But these people, and I admit I think they sound a lot more sensible than the tech people online, actually use the technology and go, "meh". They see it as a mildly amusing toy. Maybe it has some uses, in some niche fields, but for the most part it's just not very interesting. If they didn't get access to it, they would not particularly care.

An auto factory - you at least understand why cars are useful, and why the factories need to be built. A data centre is a huge investment for a thing that... isn't useful. All of this is in aid of a technology that's just fundamentally pretty crap. No one wants to make sacrifices for the infrastructure to produce more LLMs because no one thinks that LLMs are worth sacrificing for.

There is the marketing issue as well, of course. Pro-'AI' people tend to sound very cult-y online, at least in my experience. Many of them sound like lunatics. A lot of them also, well, to be blunt, are un-charismatic nerds. Sam Altman, Dario Amodei, Elon Musk, Mark Zuckerberg, etc., are not convincing ambassadors for a technology. I can understand nobody believing their promises - none of them project credibility, or even really respectability. The 'tech billionaire' is a cultural archetype at this point, and it is an archetype that one associates with immaturity, frivolity, narcissism, and callous disregard for other people and for human value in general. Last week I was talking about the book destruction story and it fits with the image again, as if there's this small cult-like group of anti-human tech-heads eager to sell the whole inheritance of the human community for digital pottage. I understand, in my gut, the feeling of disgust.

All of this is in aid of a technology that's just fundamentally pretty crap. No one wants to make sacrifices for the infrastructure to produce more LLMs because no one thinks that LLMs are worth sacrificing for.

Except the people spending all this money on them? Dave wants his book proofread more cheaply, Pete wants to ERP, Melanie wants dashboards to show key business insights, John wants some spreadsheets analyzed, Dean wants to fix bugs in his software. Even Johnny Jihadi wants to know how to make use of unexploded munitions left by govt forces in the Sahel and he goes to AI for that.

Why would the opinions of people who don't pay for the product because they don't find it useful outweigh those who do?

How does that address the point? People advocating against data centres do so on the basis that constructing data centres affects the communities they live in. That's why they get a say. People care about things that affect them. People who pay for chatbots don't get some sort of veto over people who don't. That would be lunatic.

That was the point of Sun's comparison to cars. You may grumble at an auto factory, but you do, at least, understand why cars are necessary. Even if you personally don't own a car and rely on public transport to get everywhere, it's obvious that there's real public demand for cars, on the basis of their obvious usefulness. You might not want a factory near you, but you understand why there need to be factories somewhere. LLMs have not cleared that hurdle. It seems that large numbers of people do not see why these things are so necessary that all these data centres should be built. We could just, you know, not have LLMs. That's an option.

The examples you give - proofreading a book, cybersex, reading spreadsheets - are generally all in the 'toy' category. Even the serious one, the hypothetical Jihadist, could just as easily google the munitions. The use cases for LLMs are so marginal that there is no publicly-felt sense of why they are needed, certainly to the extent of justifying the demands that data centre construction make on the public.

All of this is in aid of a technology that's just fundamentally pretty crap. No one wants to make sacrifices for the infrastructure to produce more LLMs because no one thinks that LLMs are worth sacrificing for.

LLMs are obviously useful in the same way that businesses obviously need to analyse spreadsheets and obviously need to write code, amongst a myriad of other tasks where LLMs are useful.

The point you were putting forth is that because LLMs aren't very useful (except for some niche fields) and aren't interesting, there is no need to build datacentres. But that's not the case. We can discern that's not the case because people are prepared to pay for these LLMs. The general public. Coders. Companies. Militaries. Governments.

It is abundantly clear that LLM technology is in fact useful and there is an abundance of examples to back this up. Use of LLMs for targeting/ISR in the Iran war, use of LLMs in hacking, use of LLMs in writing code, use of LLMs in mathematics research, chemistry and biology, use of LLMs in entertainment, making images, translation, proofreading, examining legal or financial data. These are not niche fields.

So people are prepared to sacrifice money for these things, which is why these companies are building datacentres. They're not being built without reason. Companies are paying for all this compute and electricity. Sure, the electricity use is an issue for local communities. Industry has been known to require power, make noise and pollution, which should all ideally be minimized.

Even the serious one, the hypothetical Jihadist, could just as easily google the munitions.

Again, this is not the case. If googling was just as easy then he'd do that and not waste time jailbreaking AIs instead.

It does seem that many people don't see a use for AI. But they're wrong about that, maybe they haven't looked into it or misunderstand what is going on.

I'm not actually sure they are widely useful. So far the primary use case for them is coding, right? But not very many people are coders, it's a niche field, and as Freddie has argued (disclaimer: I do not wholly agree with him), very little has actually come of this supposed improvement to coding. We haven't seen a flowering of new programs, and neither have existing programs gotten better.

But even if we grant that LLMs are very useful in the handful of niche fields where they are currently used, the problems remain that 1) most members of the public do not understand or care about those uses, and 2) most members of the public do not think those uses are worth the costs they are being asked to bear.

most members of the public do not understand or care about those uses

This may still be overly optimistic. I think many people's main impression of modern software is negative experiences like ubiquitous data harvesting, addictive social media algorithms, and frustrating experiences with confusing or buggy new technology.

Promising to deliver more of these faster won't be considered a positive effect of AI.

As far as I can tell, most Americans think that AI is making society worse. More and more Americans have encountered and used the technology, but it is the most widely-despised technological advance in a generation.

For this story I think the key part there is Pew's point 10. Experts are vastly more optimistic about LLMs than the population in general. That divergence is what drives this conflict. If many members of the public believe that the situation is that a small, wealthy elite are forcing a technology on the country that the country does not want... well, those members of the public are correct.

I mean, good? I do not want members of the public to have veto power over what smart engineers are permitted to develop (as long as they're paying for it, of course). Imagine if we'd held a plebiscite on whether universities should continue spending money on this "Internet" thing in friggin' 1973, 4 years after ARPANET began. Imagine if journalists were publishing articles in 1907 asking for the government to shut down research on these new-fangled planes because they're flimsy and dangerous and nobody they know has seen any benefits from them.

Experts have, well, expertise in the subject. They know the technology has a ridiculous number of use cases. But it takes time for it to percolate through society.

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