Data Center NDAs Are Out: Will Openness Win Over Local Opponents?

Data center NDAs may be on their way out. Amazon says it will stop using nondisclosure agreements when it negotiates with local governments over new data centers. TechCrunch discussed the shift on 11 October 2026.

Amazon announced the change in a blog post. The post argued that data centers benefit communities. Microsoft made a similar pledge earlier in 2026, according to TechCrunch.

Why data center NDAs fuelled anger

Secrecy has dogged these projects. Deals were often negotiated behind closed doors. Residents sometimes did not know who would occupy the building. Sean O’Kane compared the pattern to Uber’s secret tax-subsidy talks in the mid-2010s.

That secrecy bred suspicion. Suspicion bred organised opposition. TechCrunch notes that a “significant number” of moratoriums have passed, including one in San Francisco.

Moratoriums and their limits

New York’s moratorium reportedly halts permits for large projects for about one year. It lasts until the state finishes an environmental review, which is expected to take about a year.

Rebecca Bellan noted a timing problem. Moratoriums often last one to two years. Yet many data centers are not expected to come online for two to five years. So the lasting effect is unclear.

Is transparency enough?

Anthony Ha called dropping NDAs “a good first step.” People can at least see what is being negotiated. Yet he did not claim it would convert critics.

Sean O’Kane argued the industry explains itself badly. Most people cannot see how AI and data centers help them. Power use, water and land are concrete worries. Benefits stay abstract.

The hosts also saw signs that backers are nervous. They pointed to posts by Trump and David Sacks.

Openness is cheap compared with the buildings themselves. Real trust will need public contracts, clear energy figures and honest local benefits. We covered a related AI governance worry in our piece on speed over safety.

Fact basis: TechCrunch podcast write-up, ‘Can the AI industry persuade data center opponents by getting rid of NDAs?’ (11 October 2026). Amazon’s announcement is as described by TechCrunch; we did not review the blog post directly.