Round Rock is experiencing significant growth in the data center industry, with the recent approval of a new Skybox Data Center near Old Settlers Boulevard and North A.W. Grimes Boulevard. This development adds to the city’s existing data centers, bringing the total to nine facilities.
City Council’s Decision
In February 2026, the Round Rock City Council unanimously approved the rezoning of approximately 29 acres to accommodate the new data center. The decision followed extensive public debate, with residents expressing concerns about potential impacts on local resources and infrastructure. Despite the opposition, city officials highlighted the economic benefits, noting that existing data centers contribute significantly to property tax revenue while having a relatively low impact on water usage. Planning and Development Services Director Brad Dushkin stated that one existing data center generates property tax revenue equivalent to about 600 single-family homes but uses the water amount of only 15 homes. Source
Community Response
Community groups, such as Protect Round Rock, have voiced strong opposition to the expansion of data centers. They argue that these facilities could strain local resources and affect the quality of life for residents. The group has called for a city-wide moratorium on new data center projects until comprehensive safeguards are established. Source
Looking Ahead
As Round Rock continues to attract data center developments, the city faces the challenge of balancing economic growth with community concerns. Ongoing dialogue between city officials and residents will be crucial in addressing these issues and ensuring that future developments align with the community’s interests.