Local opposition and tighter municipal review processes have blocked or delayed a wave of proposed data centers, threatening supply chains for AI compute and cloud capacity. Data Center Watch and JLL reported dozens of projects—totaling nearly $98 billion in proposals—facing cancellations or long delays as residents and local boards raise concerns about power use, water consumption and zoning. Developers say the demand for large-scale compute is real, but community activists and some state regulators are forcing more rigorous environmental and planning reviews. Cases in Pennsylvania and other states demonstrate how vocal neighborhood campaigns and newly drafted ordinances can defeat large proposals. For higher‑education institutions weighing on-campus or regional data facilities, the fallout is immediate: expect longer permitting timelines, greater stakeholder engagement requirements, and potential conflicts over utility prioritization with local communities and utilities.