Amazon Pledges $1 Billion for Data Center Communities

By Robert Callahan Pittsburgh, PA · BUSINESS DESK

Published Updated 4 min read

Amazon pledged over $1 billion to communities near data centers and ended nondisclosure agreements with governments. The company plans to fund local priorities while facing opposition from groups citing environmental harms.

Amazon committed to donating more than $1 billion over the next five years to communities neighboring its data centers. The company also stated it no longer uses nondisclosure agreements with government agencies for data center projects.

The donation pledge allows local communities to decide how to prioritize funds across education, job training, energy affordability, water and energy preservation, and other local priorities. These funds will support free community college programs, workforce training, and energy efficiency upgrades for schools, homes, and community buildings.

Amazon promised to ensure its data centers would not increase local power bills or deplete local water supplies. The company committed to being "water positive" by 2030 and claimed that 75 percent of its data center projects have already met its water positivity goal. Amazon also promised to exclusively rely on backup generators that use the lowest possible emissions.

Garman linked the domestic opposition to international competition. "In fact, this build out is so important geopolitically that there are widespread reports of various countries intentionally seeding misinformation in the US about data centers to trick us into slowing down," he said. He noted that more than 100 data center moratoriums are currently being considered across the United States.

Stand.Earth, a global nonprofit organization, criticized the announcement. The group described Amazon's donation commitment as "a flailing attempt at damage control for the harm its data center build-out has already caused." Stand.Earth stated that Amazon is being "misleading" by spreading "corporate propaganda." The organization also criticized Amazon for planning to back a power plant that experts expect will become the largest source of US climate pollution.

Environment America reported that actions to block data center development have thwarted at least 45 developments across 27 states, valued at $68 billion. About 6 in 10 Americans support limiting the number of new data centers that can be built. A majority of Americans are "extremely" or "very" concerned about the impact of data centers on electricity prices or the water supply in their communities.

Amazon stated it expects to spend $220 billion in capital expenditures in 2026, including on data centers and other technology investments. This figure represents an increase from the company's prior estimate of $200 billion for capital expenditures in 2026. Amazon’s $1 billion community investment over five years equates to $200 million annually, or approximately 0.1% of its 2026 capital spending estimate, according to analysis by GeekWire. Amazon’s Built Together program includes a commitment to fund energy-efficiency upgrades for 30,000 homes and 300 schools, as outlined in a GeekWire breakdown of the pledge.

A bipartisan group of lawmakers introduced the No Secrets for Data Centers Act in the House of Representatives. Representative Jamie Raskin sent letters to Amazon, Google, Meta, and Oracle demanding information on their use of data center nondisclosure agreements.

Timeline

Verrus submitted a land use application for a data center project in Salem, Oregon, in late July 2024. Pennsylvania Governor Josh Shapiro signed an executive order on August 18, 2024, to ban the use of nondisclosure agreements for data center development. The Salem City Council voted on September 14, 2024, to ban the use of nondisclosure agreements for data center development.

The city of Salem approved a four-month pause on the development and construction of data centers across the city following the NDA ban vote on September 21, 2024. The city manager of Salem signed a nondisclosure agreement with Verrus in March 2025.

What's New

Additional reporting indicates that Amazon stated it has already spent more than $1 billion in communities with a large data center presence over the past three years. Amazon Web Services CEO Matt Garman stated that with any change, there will be important questions raised, but there will also be misinformation and outright lies, and in the age of social media and 24/7 news, myths take hold faster than ever before.

The $5.1 billion Verrus data center project is expected to generate $9 million for the city's General Fund and about $1.5 million annually for the community livability levy, according to documents presented at a Salem City Council meeting. Salem City Council authorized data center development on a specific site in 2014, according to a report by OregonLive, which later became the focus of community opposition and NDA controversies. Salem City Council voted unanimously on July 27, 2026, to direct city staff to explore restrictions on future nondisclosure agreements involving data centers, following public outcry over the lack of transparency regarding a proposed Verrus data center project.

The Salem City Council also approved the creation of a task force to host public town halls and recommend data center policies by the end of 2026, in response to community concerns about the environmental and infrastructure impacts of data center development. Microsoft terminated its NDAs with local governments for data center projects in March 2026, setting a precedent for Amazon’s later policy shift, as reported by GeekWire.

Why It Matters

The scale of community opposition is reflected in polling data showing that a majority of Americans are extremely or very concerned about the impact of data centers on electricity prices or the water supply in their communities. Actions to block data center development have thwarted at least 45 developments across 27 states, valued at $68 billion, according to Environment America. The number of data centers in the US nearly doubled between 2021 and 2024.

Amazon’s policy shifts occur as multiple state governors and federal lawmakers move to restrict nondisclosure agreements in the sector. The company’s $1 billion pledge represents a small fraction of its projected $220 billion in capital expenditures for 2026. The geopolitical stakes cited by Amazon leadership frame the domestic regulatory environment as a factor in international competition for artificial intelligence infrastructure.

fact_check Facts

Amazon stated that local communities would decide how to prioritize the donated funds across education, job training, energy affordability, water and energy preservation, and other local priorities.
Amazon promised to ensure its data centers would not deplete local water supplies.
Amazon said it hosts open houses in communities where it operates data centers to share information about its activities.
Matt Garman, CEO of Amazon Web Services
"Right now there are over 100 data center moratoriums being considered across the country."
Matt Garman, CEO of Amazon Web Services
"If these measures are enacted, the US could be writing its own losing ticket to this race, and the consequences would last generations."
Matt Garman, CEO of Amazon Web Services
"As a country, we can’t afford to find ourselves in that position."
Matt Garman, CEO of Amazon Web Services
"There is urgency to this data center build out because we aren’t the only country that sees the benefits of AI for the economy and national security."
Matt Garman, CEO of Amazon Web Services
"The choices we make today will determine that outcome, and a lapse in our nation's focus or resolve could put us behind, and potentially irreparably so."
David Zapolsky, Chief Global Affairs and Legal Officer at Amazon
"The industry comes from a history of secrecy and so some of that’s just reflex."
David Zapolsky, Chief Global Affairs and Legal Officer at Amazon
"It just didn’t make sense" to require secrecy anymore.
Stand.Earth, Global nonprofit organization
Stand.Earth stated that Amazon is being "misleading" by spreading "corporate propaganda."
Stand.Earth criticized Amazon for planning to back a power plant that experts expect will become the largest source of US climate pollution.

menu_bookBackground & Context

Context and data our newsroom added to the originating report.

Data Center Watch reported that 30 states have introduced or adopted legislation or taken other actions to address concerns about data centers.
Environment America reported that the number of data centers in the US nearly doubled between 2021 and 2024.
Amazon's prior estimate for capital expenditures in 2026 was $200 billion.
A CBS News poll found that more Americans oppose than favor data centers in their areas.
About 6 in 10 Americans support limiting the number of new data centers that can be built.
Pennsylvania Governor Josh Shapiro signed an executive order on August 18 to ban the use of nondisclosure agreements for data center development.
The Salem City Council voted on September 14 to ban the use of nondisclosure agreements for data center development.
Massachusetts Governor Maura Healey issued an executive order cracking down on data center nondisclosure agreements.
Delaware Governor Matt Meyer issued an executive order cracking down on data center nondisclosure agreements.
A bipartisan group of lawmakers introduced the No Secrets for Data Centers Act in the House of Representatives.
Representative Jamie Raskin sent letters to Amazon, Google, Meta, and Oracle demanding information on their use of data center nondisclosure agreements.
Verrus submitted a land use application for a data center project in Salem, Oregon, in late July.
The city manager of Salem signed a nondisclosure agreement with Verrus in March 2025.
The $5.1 billion Verrus data center project is expected to generate $9 million for the city's General Fund and about $1.5 million annually for the community livability levy, according to a report presented at a Salem City Council meeting.
Salem City Council authorized data center development on a specific site in 2014, according to a 2026 OregonLive report, which later became the focus of community opposition and NDA controversies.
Salem City Council voted unanimously on July 27, 2026, to direct city staff to explore restrictions on future nondisclosure agreements involving data centers, following public outcry over the lack of transparency regarding a proposed Verrus data center project.
Salem City Council voted 8-0 in July 2026 to explore banning NDAs with data center companies, following public pressure over a $5.1B Verrus project that had been hidden under an NDA since March 2025, per Salem Reporter.
A change.org petition opposing the Verrus data center in Salem gathered over 9,300 signatures as of July 27, 2026, reflecting strong community opposition to the project due to concerns over water use, energy demand, and environmental impact.
Amazon’s $1B community investment over five years equates to $200M annually, or approximately 0.1% of its 2026 capital spending estimate of $220B, as noted in a GeekWire analysis.
Microsoft terminated its NDAs with local governments for data center projects in March 2026, setting a precedent for Amazon’s later policy shift, as reported by GeekWire.
Amazon’s Built Together program includes a commitment to fund energy-efficiency upgrades for 30,000 homes and 300 schools, as outlined in a GeekWire breakdown of the $1B pledge.
In June 2026, the City of Salem was released from its non-disclosure agreement with Verrus, allowing the city to publicly share information about the proposed data center at Mill Creek Corporate Center, which had been under review since March 2025.

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