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TECH GIANTS TRANSFORM RURAL AMERICA INTO DATA CENTER HUBS

INDUSTRY DESK1 MIN READ
WED, MAY 13, 2026

■ AI-SUMMARIZED FROM 1 SOURCE ▸ TIMELINE

Rural communities across the U.S. are becoming prime real estate for data centers as tech companies seek affordable land and power. The trend is reshaping economies in declining industrial towns.

The Androscoggin paper mill in Jay, Maine—which employed 1,500 people at its peak before closing in 2020—exemplifies this shift. JGT2 Redevelopment and partner companies purchased the 1.4 million-square-foot facility in 2023, converting it into a data center infrastructure project. Developer Tony McDonald's team dismantled the mill's machinery to make room for servers and computing equipment. The project represents a broader pattern: tech companies are targeting rural facilities with existing power infrastructure, available land, and lower operational costs than urban centers. Data center conversions offer rural towns new employment and tax revenue as traditional industries decline. However, they require significant power consumption and cooling systems, raising questions about environmental impact and long-term sustainability in resource-constrained regions. Other rural communities are following similar paths, positioning shuttered factories and mills as digital infrastructure assets for the AI and cloud computing boom.

■ SOURCES

The Verge

■ SUMMARY WRITTEN BY AI FROM THE LINKS ABOVE

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