California's largest AI data center is suing for access to 287 million gallons of Colorado River water a year

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A hot potato: Once again, an AI data center is embroiled in controversy. This time, it's not land, electricity, or tax breaks under the spotlight, but water – specifically, water from the Colorado River. And the company behind the facility is suing to get it.

Imperial Valley Computer Manufacturing (IVCM), the company behind what could become California's largest AI data center, is suing the Imperial Irrigation District (IID) after the publicly owned utility rejected its application for water.

The proposed $10 billion, 950,000-square-foot, 330-megawatt facility would require roughly 750,000 gallons per day for cooling, or about 287 million gallons annually.