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Georgia residents sue over OpenAI’s $20 billion data center deal

A group of Georgia residents wants to know how a $20 billion data center wound up in their backyard without anyone asking them first. Effingham County residents and environmental advocacy groups have…

By NBTC3 min read

A group of Georgia residents wants to know how a $20 billion data center wound up in their backyard without anyone asking them first.

Effingham County residents and environmental advocacy groups have filed a series of lawsuits targeting OpenAI’s proposed Project Camellia, county officials and the local Industrial Development Authority. The latest complaint goes beyond disputes over paperwork, alleging conspiracy, fraud and civil racketeering.

What OpenAI wants to build

Project Camellia is a $20 billion investment by OpenAI and Octans GA LLC. The planned campus would occupy a 1,440-acre site in the Savannah Gateway Industrial Hub, near the town of Rincon.

The facility is expected to span 4.4 million square feet and could require up to 3.2 gigawatts of power. Construction phases are scheduled to begin in 2028.

Tax incentives associated with the project are estimated at between $870 million and $900 million over the next 15 years.

At least 80 permanent jobs could be created in each phase. The project is projected to unfold across five development phases through 2034.

The secrecy problem

The project was not made public until July 22, 2026. By that time, it had reportedly been the subject of nearly nine months of private negotiations governed by confidentiality agreements.

Since early September 2026, three separate lawsuits have been filed, each targeting a different aspect of how the deal was put together.

The first lawsuit challenges a county zoning ordinance. The plaintiffs argue that it allows data centers on industrial land without the public hearings they say should be required.

The second lawsuit targets the Effingham County Industrial Development Authority, alleging that the IDA violated Georgia’s Open Meetings and Open Records Acts.

The plaintiffs cite the use of codenames such as “Project Gateway” during meetings and agendas that were allegedly changed without advance notice.

The third lawsuit, filed around November 6-9, 2026, is the most aggressive of the lawsuits. It names OpenAI, local officials and the IDA, and alleges conspiracy, fraud and civil racketeering.

These are all allegations; no court has ruled on any of the claims.

What this means

For OpenAI, the immediate risk is delay and reputational friction, rather than a direct blow to its plans. Construction is not scheduled to start until 2028, giving courts time to weigh in before work begins.

For Effingham County and its IDA, a court finding that open-meetings or open-records laws were broken could make the tax incentive package, estimated at $870 million to $900 million, a central point of contention.

The zoning case could have implications beyond this project. If the plaintiffs succeed in arguing that data centers on industrial land require public hearings, future developments in the county would face a more open approval process.

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