OPINION: Kentucky has been here before: What data centers can offer the state
Opinion By Stephen Gray September 2, 2026 12:10 PM
Gift Article The Dallas TX1 data center electrical room is pictured at an NTT Data Center campus on March 4, 2026, in Garland, Texas. (Tom Fox/The Dallas Morning News/TNS) Tom Fox TNS
For generations, our economy and communities have evolved alongside industries that have chosen to invest here: agriculture, bourbon, automotive, manufacturing, and food & beverage. Each new chapter has brought new opportunities, questions, and even skepticism.
Today, Kentucky once again finds itself at a crossroads. As artificial intelligence reshapes the American economy, data centers have become one of the fastest-growing industrial investments in the country.
From a historical perspective, AI is the most rapid technological movement in the history of civilization. Across Kentucky, communities are debating how these projects will impact their neighborhoods, local infrastructure, and quality of life.
Large-scale developments should never be accepted blindly, nor rejected out of hand. Communities deserve clear, honest answers about project impact before any decision is made. The path forward for Kentucky requires a balanced approach.
Our family business, Gray, was founded in Kentucky by our mother and father in 1960. Since then, we’ve helped build many industries that now define our state’s economy. We’ve seen how transformative investment can strengthen communities when projects are planned and executed well.
One example came decades ago when Toyota announced it would build its manufacturing facility in Georgetown. In 1986, I worked on that jobsite. One day I made a trip to the local hardware store where I met a couple of older men who were eager to tell me why they were against the project. Looking back on it today, there are similarities between the concerns they shared 40 years ago and the issues debated today. I believed then as I do now — the new industrial advancement is an opportunity to positively impact our state culturally and economically.
With Toyota, what began as one manufacturing facility became an ecosystem spanning more than 9 million square feet and 10,000 team members. Suppliers followed, skilled trades grew, communities expanded, and Kentucky established itself as one of America’s automotive leaders. Today, more than 100 Toyota suppliers call Kentucky home, thanks to that original build.
Transformative industries rarely deliver all at once; they create ripple effects. Around the country, pockets of technological hubs have said yes to data center investment and are seeing the benefits. Kentucky is currently faced with that same opportunity. The projects proposed today are the foundation of growth for decades to come. In some ways, the potential impact of data centers exceeds that of Toyota.
Instead of serving a single industry, data centers support nearly every sector of the modern economy. Think streaming services, online banking, cloud storage, social media, GPS and navigation, and emergency communications. In fact, ironically, much of the vocalized opposition to these facilities is made possible by data centers.
Data centers are proving to be an economic asset rather than a strain to communities. Substantial tax revenue and measurable gains in wages and employment come with a data center. As the technology matures, so does its ability to address the concerns that once made these projects controversial. Responsible development means asking the right questions early and designing projects that benefit both the communities where they’re built and the businesses where they serve.
Fortunately, Kentucky isn’t starting from scratch. The commonwealth has the ingredients companies are looking for: a skilled workforce, strong work ethic and industrial heritage, available land and infrastructure, and a long history of supporting major economic development projects.
Growth for growth’s sake isn’t the goal. We should carefully evaluate opportunities that create sustainable growth with lasting impact — for trades and suppliers, plus future generations. Other states are competing aggressively for the industries that will define the future of economic growth. So should Kentucky. These data centers will be built, and the benefits will go to a community somewhere. Why not here in the commonwealth?
This doesn’t mean we lower our standards or overlook concerns, but we should demonstrate that we welcome investment responsibly, develop thoughtfully, and build projects that create lasting value.
That approach has served Kentucky well before, and it can again at this crossroad. As Kentuckians, we want to keep moving our state forward. Because Kentucky’s next chapter shouldn’t be about choosing between growth and values. It should be about proving we can achieve both.
Stephen Gray is the president and CEO of Gray, Inc., a construction and engineering firm based in Lexington.
Read more at: https://www.kentucky.com/opinion/article317101542.html#storylink=cpy
Editor’s Note: The Lazer does not agree or disagree with this article.
