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Shown is CyrusOne\u2019s first data center in San Antonio. It now has six data centers and two more on the way in the San Antonio region.<\/p>\n
CyrusOne<\/p>\n
Amid the uncertainty surrounding data centers, one Dallas-based company aims to earn the trust of Texas residents.\u00a0<\/p>\n
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CyrusOne<\/a> has 15 data centers in Texas, located on campuses in Austin, Dallas-Fort Worth, Houston and San Antonio. It\u2019s also planning to add facilities\u00a0in Castroville<\/a>, Clifton and Fairfield.<\/p>\n Article continues below this ad<\/p>\n It\u2019s part of a boom that\u2019s set to make Texas the world\u2019s largest data center market\u00a0\u2014 surpassing Virginia\u00a0\u2014 amid the growth of artificial intelligence and cloud-based technologies, according to a recent report from real estate firm JLL.<\/a> There are at least 335 operational facilities in the state and more than 248 planned projects.\u00a0<\/p>\n READ MORE:\u00a0Dallas company plans $500M data center in Castroville, expanding its San Antonio-area footprint<\/a><\/p>\n But amid this new wave of development, the industry remains shrouded in mystery, with several companies keeping mum about specific details of their centers. Nearby residents, city officials and even state leaders have expressed concerns about the industry\u2019s lack of information.\u00a0<\/p>\n San Antonio Express News Logo<\/p>\n Make us a Preferred Source on Google to see more of us when you search.<\/p>\n <\/p>\n Add Preferred Source<\/p>\n <\/a><\/p>\n Katy Hancock, the company\u2019s vice president of community affairs, said that while CyrusOne can\u2019t invite guests into its facilities, it wants to be transparent about its operations in Texas and beyond.<\/p>\n Article continues below this ad<\/p>\n \u201cWe are doing everything we can to show up earlier, come into the community, introduce ourselves, share details of our projects and meet with community leaders and neighbors before we make final plans,\u201d Hancock said. \u201cWe want to take the time to explain who we are and how we do things in those conversations and hope to assuage some concerns.\u201d<\/p>\n Statewide data center audit<\/p>\n Not only does CyrusOne want to provide information to educate concerned parties about its new development, but it\u2019s now required to do so.\u00a0<\/p>\n On Aug. 3, Gov. Greg Abbott halted the approval of data centers<\/a> until the Public Utility Commission of Texas and the Electric Reliability Council of Texas can audit proposed projects seeking to connect to the state\u2019s electric grid.\u00a0<\/p>\n Article continues below this ad<\/p>\n RELATED:\u00a0Greg Abbott orders sweeping audit of Texas data centers amid power grid concerns<\/a><\/p>\n In a letter to both agencies,\u00a0Abbott said some data centers failed to comply fully with a PUC survey measuring water and electricity usage. Abbott wrote that this lack of compliance \u201chinders (the agencies\u2019) ability to make fully informed decisions.\u201d<\/p>\n The governor noted that ERCOT is considering requests that would add 474\u00a0gigawatts of demand,\u00a0which is \u201cmore than five times Texas\u2019 record peak electricity demand for\u00a0ERCOT.\u201d About 90% of the applications are from data centers.<\/p>\n \u201cThat unprecedented load growth could endanger the reliability and stability of the Texas electric grid,\u201d he said.<\/p>\n Article continues below this ad<\/p>\n The new comprehensive verification and audit requires detailed disclosures about each project\u2019s electricity and water use, dependence on the ERCOT grid, on-site power generation, public financial assistance, community impacts, and ownership and controlling interests. Projects that fail to provide the information may be denied a connection to the grid.<\/p>\n Locally, several council members want to\u00a0adopt a moratorium on data centers<\/a>\u00a0\u2014 freezing plans and permits for the sprawling, power-hungry facilities popping up in the area. In a recent memo, Council Members Ric Galvan, Ivalis Meza Gonzalez and Teri Castillo asked City Manager Erik Walsh to schedule a special meeting by Aug. 31 to discuss the proposed ban.\u00a0<\/p>\n MORE DATA CENTER NEWS:\u00a0San Antonio council members push to temporarily stop new data centers<\/a><\/p>\n \u201cAs a company proudly headquartered in Texas, CyrusOne shares Governor\u00a0Abbott\u2019s commitment to responsible data center development,\u201d a spokesperson said. \u201cWe support the goals he has outlined, and we are confident that we already reflect the best-in-class development and operating principles his directives are designed to encourage. We believe transparency, accountability and thoughtful planning are essential, and remain committed to working collaboratively with state leaders, regulators, utilities and local communities to help create economic opportunities and lasting local benefits.\u201d<\/p>\n Article continues below this ad<\/p>\n Transparency<\/p>\n Hancock believes some bad actors may be responsible for the general distrust of the industry.\u00a0<\/p>\n \u201cThe demand is there from businesses, the federal government, from research, from science, and that has spurred a rapid increase in delivery of data centers,\u201d she said. \u201cA lot of new companies are coming online, and not all of them are experienced like we are with a solid slate of customers, ready to occupy these data centers. That\u2019s created some confusion. It\u2019s brought about some speculative developments that didn\u2019t come to pass, and I think those sorts of situations resulted in a deterioration of trust and skepticism about our industry.\u201d<\/p>\n CyrusOne was founded in 2000 and builds data centers for major hyperscalers, such as Google, Meta and Microsoft, as well as enterprise and government customers.\u00a0<\/p>\n Article continues below this ad<\/p>\n The Dallas company has six data centers and two more on the way in the San Antonio region. Its latest development will be an estimated $500 million, 460,000-square-foot facility in Castroville<\/a>, which is expected to be completed in June 2027.\u00a0<\/p>\n READ MORE:\u00a0Texas Data Center Tracker: See where data centers are planned or operating near you<\/a><\/p>\n CyrusOne said it supports hundreds of jobs across operations, with one center typically employing about 40 people full-time. For the Castroville development, the company plans to partner with community colleges and technical education programs to support scholarships, apprenticeships, internships and career pathways into data center operations.<\/p>\n \u201cSan Antonio is centralized, has great network connectivity, a skilled workforce and ample land,\u201d Hancock said. \u201cWhat I think made it a boom for data center development is that it has a historic rail terminus. As fiber optic networks were being built, they followed along the rail lines. That robust fiber optic network made it an attractive area for data center development.\u201d<\/p>\n Article continues below this ad<\/p>\n One of the largest concerns surrounding data centers is their energy usage. For the Castroville project, CyrusOne is building not just the data center but also\u00a0a substation and transmission and distribution systems.\u00a0<\/p>\n \u201cWe\u2019re going to cover every dime associated with bringing power to the project, and in so doing, strengthen the grid,\u201d Hancock said. \u201cWe invest tens of millions to build substations, transmission and distributing systems, and then by connecting to the grid, we are able to curtail power during peak demand.\u201d<\/p>\n SA INC.: Get the week\u2019s top local business stories in your inbox <\/a><\/p>\n To mitigate noise, CyrusOne builds sound attenuation equipment into its developments as standard operating procedure.<\/p>\n Article continues below this ad<\/p>\n Water usage is another issue for data center opponents.<\/p>\n \u201cI feel like there is a tendency to paint every data center with the same broad brush, and that\u2019s easier than taking the time to learn the nuances, but we\u2019re doing things differently,\u201d Hancock said.<\/p>\n Fifteen years ago, CyrusOne switched to closed-loop cooling, which circulates the same coolant, typically water mixed with treatment chemicals, through pipes to remove heat from equipment. This system takes about 50,000 gallons to fill it.<\/p>\n Once it\u2019s filled, \u201cwe use around 1,100 gallons a day,\u201d Hancock said. By comparison, large data centers that don\u2019t use such systems can use up to 5 million gallons a day, according to the Environmental and Energy Study Institute<\/a>.\u00a0<\/p>\n Article continues below this ad<\/p>\n CyrusOne is setting up community meetings to provide Texas residents \u201cthe information they need to feel comfortable having us as a neighbor,\u201d Hancock said.<\/p>\n CEO John\u00a0Hatem led a 200-person community meeting in Jack County, where CyrusOne is proposing a massive multi-hundred-million-dollar data center campus. In Medina County,\u00a0CyrusOne is working with the economic development organization GoMedina<\/a> to do the same.\u00a0<\/p>\n \u201cWe\u2019re proud of what we do, and we\u2019re glad to talk about it,\u201d she said. \u201cWe\u2019re doing our best to communicate more and earlier, and we invest in a significant way to be a good neighbor.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Shown is CyrusOne\u2019s first data center in San Antonio. 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