What is a data center?

A data center is a secure facility that houses computer servers and networking equipment used to store, process, and manage large amounts of data.

Are data centers allowed in Fremont?

Data centers are allowed in Fremont’s industrial zones. 

What reviews and requirements are in place for the construction of data centers?

Any proposed data center with significant utility needs must complete a comprehensive state environmental review that examines soil, air, water, and noise impacts, along with a detailed City review. Establishing a power source, whether through grid interconnection or onsite power generation—also requires an extensive review process. Additionally, data centers must meet local safety and water supply standards and follow standard review procedures, including a review by partner utility agencies such as the Alameda County Water District (ACWD) for larger sites. Because of these requirements, no data center can move forward without careful, thorough review. 

Are there any data centers currently in Fremont?

Currently, there is one data center located in Fremont. Hurricane Electric is not a contemporary “AI data center,” but rather, a longstanding, locally owned data center occupying a small footprint for colocation services. It operates as a connection node for many broadband fiber providers or internet service providers (ISP), supporting much of the Wi-Fi connectivity throughout Fremont. This connectivity benefits residents and businesses by providing fast Wi-Fi service and the City’s public Wi-Fi program, Access Fremont. The facility uses air cooling rather than liquid cooling for its servers.

Are there plans to add more data centers in Fremont?

There are currently no proposed data centers in Fremont. In early 2026, an applicant who had briefly studied a data center on Shinn Street back in 2023 confirmed that they are no longer seeking a data center at the site and are exploring other development options. The reality is that industrial space in Fremont is highly sought after by higher value, employment intensive operations in advanced manufacturing and its related supply chain. This strong market demand makes it difficult for data centers to compete for space in Fremont. 

What does the rise of data centers elsewhere mean for Fremont?

Across the country, the rapid growth of AI, cloud computing, and data demands has led to a surge in data center development. While data centers come in many sizes and serve different functions, the ones drawing the most attention are the large, gigawatt‑scale facilities being built in other states.

Like much of Silicon Valley, Fremont is at the forefront of innovation and is benefiting from the momentum created by the AI infrastructure boom. Many Fremont-based companies are involved in AI‑related technology and help support the local economy. However, these companies are primarily focused on manufacturing hardware components—including electronic and semiconductor equipment, servers, and robotics. While data center activity in other locations indirectly supports these industries, the data centers themselves are not located in Fremont. Some cities may be experiencing significant tax benefits from large-scale data centers, but that is not expected to be the case for Fremont in the foreseeable future.