O'Leary Ventures chairman Kevin O'Leary discusses the immediate profitability of artificial intelligence companies in 'The Bottom Line.'
“Shark Tank” investor Kevin O'Leary says he's willing to slow development of an intelligence data center in Utah after top lawmakers pushed for more downsizing and more environmental protections, according to reports.
O'Leary told NBC News on Wednesday that he is willing to reduce the size of the proposed Stratos data center project after Utah Senate President J. Stuart Adams asked for a 75% reduction in its area.
“I don't have a choice,” O'Leary told NBC News at the Washington AI Network's AI Honors show.
The project, developed as one of the largest AI-focused data center developments in the world, will occupy approximately 40,000 acres in Box Elder County.
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Kevin O'Leary, Chairman of O'Leary Ventures, arrives to speak before the Senate Subcommittee on Aging and the House Select Committee on a joint hearing on the Chinese Communist Party on April 9, 2025, in Washington, DC. (Photos by Andrew Harnik/Getty/Getty)
In a letter sent Monday, Adams urged O'Leary to reduce the project's size to about 10,000 acres and implement additional environmental protections before moving forward.
“I sent a letter directly to Kevin O'Leary asking for a 75% reduction in the proposed site for the data center project, from 40,000 acres to about 10,000 acres,” Adams said in a statement.
The Republican Senate president also called for stronger conservation measures, greater public transparency and protection of Utah's natural resources.
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Kevin O'Leary, Chairman of O'Leary Ventures, speaks before the Senate Committee on Aging and the House Select Committee on a joint hearing of the Chinese Communist Party on April 9, 2025. (Photo by Andrew Harnik/Getty Images / Getty Images)
Among his requests, Adams said the project must commit to using the latest technology to reduce water use, supply any excess fresh water to the Great Salt Lake and enter into an agreement with federal officials to preserve wildlife habitat and agricultural land.
“Utah can pursue economic opportunity while protecting our water, air, wildlife and communities,” Adams said. “We can and should do both.”
O'Leary suggested the demand is being driven in part by political pressure as opposition to the project continues to grow.
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State-of-the-art data center with server racks (iStock / Stock)
“I know he did it for political reasons,” O'Leary told NBC News. “He has to deal with those problems, and so do I.”
Residents and environmental activists have expressed concern about the potential demands of the project on water supply, electricity infrastructure and nearby communities.
O'Leary has previously dismissed some of those concerns as untrue and accused opponents of spreading false claims about the project.
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“All these people have a right to information,” O'Leary told NBC News. “Why are they getting it through a false initiative? Who is spending all this money to put out all these lies and outright misinformation and lies and screw these people?”
Adams noted that several legislative committees are examining how major developments could affect Utah's water supply, energy system, land use and natural resources.
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Utah has also invested more than $1 billion in water conservation projects and infrastructure while increasing oversight of major developments, Adams said.
O'Leary told NBC News that he plans to formally respond to Adams on Friday with details of the revised proposal.
