Cooperative Data Centers: Lessons from GAD eG
Tara Merk’s report uses GAD eG to show that power in AI does not sit only in data or code. It also sits in the buildings, servers, energy contracts, and ownership structures that decide who gets to build AI in the first place. The paper argues that cooperative data centers can emerge when members gain efficiency, share risk, benefit from legal or financial advantages, and trust the cooperative culture around them. But the model is fragile. As costs rise and the market consolidates, cooperatives can drift toward demutualization. The promise remains real, but narrow: cooperative AI infrastructure works only when financing is stable, benefits are concrete, and governance does not buckle under scale.
Cite:
Merk, Tara. Cooperative Data Centers: Lessons from GAD eG. New York: Institute for the Cooperative Digital Economy, 2026.