The IBM Legacy Lives On

By Jialang Xu Nov. 4, 2026

In the undulating hills of southern Almaden, Blackstart Digital—a firm specializing in AI infrastructure and data center development—is set to acquire the former IBM research center by late December. The firm plans to convert it into a high-tech AI data center—a facility packed with specialized hardware designed for heavy computational tasks—with quantum computing capabilities. While the purchase promises major site renovations, it has also sparked environmental concerns.

Before closing in July 2025, the IBM Almaden Research site was a premier, world-class infrastructure and hardware research lab. The Almaden site hosted numerous innovations, such as the TrueNorth Chip mimicking the human brain. IBM relocated its employees to the neighboring Silicon Valley Research Center to promote a more collaborative working environment for all Silicon Valley researchers. To honor the site’s legacy, Blackstart Digital plans to prioritize sustainability and safety via closed-loop cooling, noise-canceling systems and energy-efficient software, according to San Jose Spotlight. Furthermore, the San Jose City Council reserved 500 acres of open space for parks and trail routes, limiting data center development to 35 acres.

However, the data center conversion plan has also sparked criticism from environmental groups and community leaders due to strain on resources. Data centers can take up between 697 and 1,451 million gallons of water every day to cool, per the Harvard Gazette, and heavily tax the local power infrastructure and raise energy bills. Critics note that data centers provide limited local employment, as facilities only call for 20 to 50 maintenance staff. Also, the tax breaks that governments often hand out to the data center companies take away from the little tax revenue that the data centers produce for the local community.

“Because of the poor water management policies of the state, new data center development will not meaningfully contribute to employment or economic benefits for low- or middle- income residents, but rather will increase utility costs, which will directly pass on to the consumers in the form of price hikes,” Sophomore Jonathan Yu said.

Beyond immediate environmental and economic impacts, broader fears about the expansion of AI can also feed into public hesitation.

“Fear of data centers is exacerbated by inflammatory social media content. The backlash is a result of both the unseemliness of data centers and broader anxiety about the future of AI and how it may overpower humans,” Sophomore Aarav Saraswat said.

Yet some local perks can be outlined in a community benefit agreement (CBA). To address community concerns, developers can negotiate CBAs, which are legally binding contracts that secure local funding or job commitments to ensure mutual benefits. For instance, a CBA between Google, QTS data centers and locals in Cedar Rapids, Iowa involves the AI company paying the community a combined 18.4 million dollars over the next 18 years. In addition, a guarantee of at least 31 full-time employees earning a minimum of $26.20 per hour was outlined per the Brookings Institute.

The continuous battle between local communities and AI data center tech giants represents the deadlock between economic and environmental priorities on a broader scale. This problem may remain a key issue in the future as major technology companies have to seek common ground with environmentalists and satisfy affected locals.

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About the Contributors

Jialang Xu

Staff Writer

Jialang Xu is a freshman at Leland High school and is a crafty writer yet still constantly looking to hone his skills. When he's not sleeping he's either eating good food, playing tennis or just chilling out with his amigos.

Grace Gu

Artist

Grace Gu is a freshman at Leland High School and an artist for The Charger Account. In her free time, she enjoys playing video games with her friends, watching shows and movies, and drawing.