Two data centers in San Antonio have used 463 million gallons of water in the past two years.
The Alamo City facilities, owned by Microsoft and the Army Corps, have drained water from the surrounding area despite difficult drought conditions throughout Texas.
Why It Matters
In 2025, data centers across the state are projected to use 49 billion gallons of water, enough to supply millions of households, primarily for cooling massive banks of servers that power generative AI and cloud computing. As Texas attracts tech giants with business-friendly policies and an independent energy grid, water resources have had to keep pace with both population growth and high-technology infrastructure.
The surge in the data centers' water use comes as Texas endures prolonged drought, with about a quarter of the state still experiencing dry conditions despite intermittent heavy rain and flooding.
What To Know
In San Antonio, data centers operated by Microsoft and the Army Corps consumed 463 million gallons between 2023 and 2024, even as local residents were restricted to watering lawns once per week under Stage 3 drought rules.
The Houston Advanced Research Center (HARC), in a report obtained by the San Antonio Express-News estimated that Texas data centers would use 49 billion gallons of water in 2025, with consumption projected to soar to 399 billion gallons annually by 2030—representing almost 6.6 percent of the state's total water usage.
While midsize data centers typically use 300,000 gallons daily, comparable to consumption by 1,000 households, large-scale facilities such as those recently built or planned in Texas can consume as much as 4.5 million gallons daily.
Unlike electricity, where Senate Bill 6 granted the Electric Reliability Council of Texas authority to cut power to data centers and other heavy users during emergencies, no analogous state law exists to regulate their water use.
Most data centers rely on evaporative cooling, which consumes large volumes of water and results in significant waste lost to evaporation.
What People Are Saying
A spokesperson for the San Antonio Water System told Newsweek: "Stage 3 restrictions begin when the 10-day rolling average of the Edwards Aquifer level drops to 640 feet mean sea level at the monitored well. Coming out of drought stages can be considered 15 days after the aquifer is above the trigger.
"San Antonio's main source of water, the Edwards Aquifer, is federally regulated, which has led to a strong water conservation ethic in the city and great conservation programs. Both residents and businesses are required to follow watering rules.
"www.GardenStyleSA.com has great information on outdoor water conservation. SAWS has extensive rebate, education and assistance programs to help customers convert to low water use landscapes, and to help businesses adopt low water use equipment and practices."
What Happens Next
No state legislation limits water usage by Texas data centers, though lawmakers passed new provisions to suspend their power access during grid stress events. The Texas Water Development Board's next State Water Plan is not scheduled for completion until 2027.
Update 8/4/25 3:40 a.m. ET: This article has been updated with comment from the San Antonio Water System.
