Amazon responds to data center backlash, says it no longer uses NDAs

Amazon Web Services CEO Matt Garman addressed mounting local resistance to data-center construction in a company blog post, announcing that AWS has stopped using nondisclosure agreements with government agencies involved in its projects. The brief comment was part of a broader effort to counter what Garman described as misconceptions about the environmental and community impacts of data centers. Garman sought to rebut four common criticisms: excessive water consumption, rising electricity costs, heavy pollution, and limited local benefits. Citing an Amazon report, he said direct data-center water use represents 0.5% of industrial water consumption in the United States and argued that generators tied to data centers are rarely operated, estimating they run about 10 hours per year and are idle roughly 99.9% of the time. The blog post came amid broader pushback that has led to concrete policy responses. New York has imposed a one-year pause on permits for large data centers, and Garman said more than 100 moratoriums are under consideration around the country. Critics such as environmental advocate Erin Brockovich have emphasized transparency issues, noting patterns where projects are announced after permits are obtained and local officials signed NDAs before public awareness. Outside observers dispute some of AWS's framing. An independent watchdog attributed a 76% year-over-year price increase on the largest U.S. electrical grid primarily to data centers, and scientists have called for independent study of data centers' water and energy use given the lack of standardized reporting requirements. Garman also highlighted community investments, noting Amazon contributed over $1 billion to U.S. communities with significant data-center presence in the past three years, but trust and skepticism persist among opponents and commentators.