U.S. construction spending on data centers hits $25.2 billion this year, straining labor supply for home renovations and HVAC projects.
U.S. data center construction starts reached $25.2 billion in early 2024, pulling electricians and HVAC technicians away from residential work. The surge reflects tech companies’ AI-driven expansion, creating labor shortages in other sectors.
Data centers now account for 2.3% of all U.S. construction spending, surpassing $50 billion for the first time. January saw 20 new projects break ground, intensifying competition for skilled labor. The shift has delayed home renovations and HVAC upgrades nationwide.
Communities near planned data centers have raised concerns over grid strain and water usage, but construction shows no signs of slowing as demand for AI infrastructure grows.