The San Jose City Council voted unanimously on Tuesday to dismiss an appeal that sought to halt NVIDIA’s special use permit for a data center at 300 Holger Way. The decision keeps the 20‑megawatt facility plan intact, allowing interior upgrades such as the installation of server racks and cooling systems.
The appeal, filed by a coalition of labor groups and local residents, aimed to overturn the July 8 planners’ approval that reclassified the existing research and development building as a data center. Opponents argued that the project could strain local infrastructure and raise environmental concerns.
Council members Peter Ortiz was absent from the vote, while Vice Mayor Pam Foley recused herself because of a financial conflict of interest. The remaining council members agreed to uphold the planners’ decision, effectively allowing NVIDIA to proceed with the proposed upgrades.
The permit authorizes the installation of up to 20 megawatts of power, enabling NVIDIA to transform the building into a fully operational data center. Interior improvements would include the placement of server racks and associated cooling infrastructure.
The ruling comes amid a broader citywide backlash against data center developments. Residents and environmental advocates have voiced concerns about increased energy consumption, heat output, and the potential impact on local ecosystems.
Despite the council’s decision, the coalition of labor groups and residents remains active. They continue to push for stricter environmental reviews and greater community input before the project can move forward.
With the appeal dismissed, the proposal to reclassify the research facility as a data center is set to advance. NVIDIA and city planners will likely move forward with the necessary interior modifications, pending any further regulatory approvals.
The outcome underscores the tension between technological expansion and environmental stewardship in San Jose, as the city balances growth with sustainability goals.
