What factors influence where data centers are built?

 Data centers are typically sited based on the 5 key areas as shown in the below graphic: available land (workable site & trade area), proximity to high-voltage power transmission lines, access to reliable water, robust internet connectivity, and a jurisdictional partner with workable zoning regulations. Other considerations include climate, risk of natural disasters, state incentives and regulatory environment.

Different data center use cases guide if they need to be located close to population densities (like edge data centers for low-latency (quick) cloud storage and computing), or can be more remote (like AI training centers).  

McKinsey: The future of US hyperscale data centers; The data center balance: How US states can navigate the opportunities and challenges.