Catawba County News

Joint Statement on Microsoft Data Center Development in Catawba County

Published: June 23, 2026

In November 2022, Catawba County, the Cities of Conover and Hickory, the Town of Maiden, and the Catawba County Economic Development Corporation announced Microsoft’s plan to invest a minimum of $1 billion in the phased development of four data centers in Catawba County over a 10-year period. Although public interest in data centers was minimal when this project was announced, it has since become part of a much broader national discussion. As our local project has progressed, questions about community impact have been raised. Those questions are fair, and residents deserve clear answers based on the facts of this project, the local utility systems serving it, and the communities directly affected by it. With any development, matters of water usage, infrastructure demands, environmental impact, and community growth deserve thoughtful discussion and transparency.

For generations, this region supported furniture, textiles, and manufacturing. As those traditional industries have changed, local leaders have had to adapt by building on what Catawba County already does well by finding new uses for the land, systems, skills, and industrial know-how that have long driven our local economy.

Microsoft’s investment in our community is not an isolated project. It is instead part of Catawba County’s larger economic development strategy that has been building over the last 20 years. It reflects our efforts to diversify our manufacturing foundation while embracing our position as fiber optic production capital of the world. This strategic industry cluster, anchored here in Catawba County, supports thousands of well-paying jobs locally and across the region. We cannot ignore the connection between these industries, our existing workforce strengths, and the type of investment our community is now attracting. Together, they represent a competitive advantage for our community.

Data centers may look different from traditional manufacturing, but they depend on many of the same fundamentals: reliable utilities, fiber connectivity, skilled trades, construction expertise, maintenance, and workforce training. Those are strengths this region already understands and has spent generations building. This project is not a deviation from Catawba County’s manufacturing history, but the next phase of it.

Catawba County is not new to data center development. Apple opened its first data center campus in all of North America in Maiden more than a decade ago, and the broader western North Carolina region is home to major data center investments by established technology companies, including Google in Lenoir and Meta, formerly Facebook, in Forest City. These projects have become part of a regional economy that also includes manufacturing, logistics, healthcare, utilities, education, small business, and public services.

Community-First Infrastructure

In line with its Community-First Infrastructure commitment, Microsoft’s sites in Catawba County will pay property taxes based on the full value of the buildings, equipment, and infrastructure located on site. The local agreements pursuant to this project are currently being amended to reflect this initiative.

Data centers typically generate substantial property value due to the scale of the buildings, equipment, and technology infrastructure involved. At the same time, they generally place lower demand on traditional municipal services than many other types of development. They do not typically create significant school enrollment growth, daily commuter traffic, solid waste collection needs, or frequent police and fire calls for service.

That combination matters to residents in a practical way. New taxable investment helps pay for the services and improvements communities count on, including firefighters, police officers, public safety equipment, parks, roads, water and sewer improvements, and other local needs. When major investments help carry that cost, residents and small businesses are not left carrying it alone.

Water Use

The current drought brings local water capacity into sharp focus and raises legitimate questions about what industries local leaders are trying to attract. Our region’s core legacy industries, including textiles and manufacturing, have historically been intensive water users. Microsoft’s facilities will use water as well, but they are expected to primarily rely on other cooling technologies. Microsoft has also committed through its Community-First Infrastructure initiative to reduce water use, improve data center water efficiency, and replenish more water than it withdraws in the communities where it operates.

The City of Hickory provides water service to all data center sites in Catawba County, both existing and under construction. Because these facilities are expected to primarily rely on modern, less water-intensive cooling methods, once fully operational they are projected to use approximately 1% of the City of Hickory’s daily water production capacity.

Not all data center projects are created equally. Local governments routinely evaluate whether proposed industry projects can be served by existing and planned infrastructure. Projects with utility demands beyond our ability to responsibly serve are not pursued. Broad national examples involving data centers in chronically water-stressed regions or overburdened local utility systems do not accurately reflect the impact or circumstances of the data center projects currently operating or under construction in Catawba County.

Our Local Commitment

Local permitting decisions in Catawba County will not determine the future of technology nationally or globally. But they will determine how growth happens in our communities. As this project moves forward, Catawba County and its municipal partners commit to manage growth responsibly, protect our resources, and ensure that any new investment creates lasting benefits for residents.