Michigan Residents Sue AI Data Center Over 24/7 Noise Pollution

Residents of Dowagiac, Michigan, have filed a lawsuit against a data center that they allege has been generating a high-pitched whining sound around the clock for the past two years.

The Source of the Noise

According to WXYZ, the data center is owned by Alliance Cloud Services LLC, a subsidiary of Hyperscale Data. The facility was originally an industrial building situated behind a row of pine trees, directly across the street from the most affected residents.

• Development on the site began in 2018
• It was converted into a cryptocurrency mining center in 2021
• In 2024, noise pollution began emitting from the building 24 hours a day, 7 days a week

Residents Describe the Impact

Residents compare the sound to a household appliance left running indefinitely.

"It sounds like someone set up a vacuum, like in your living room. And the vacuum is just... that thing needs to be cleaned... the filter is clogged up, so it's a high-pitch whining. And they just left it on and walked out." — Lindy Valenzuela, resident living across from the data center

"You've seen movies and stuff where they have somebody in a cell torturing them with sound. And that's basically what it is." — Billy Finn, nearby resident

Legal and Regulatory Actions

The city of Dowagiac recently enacted an industrial noise ordinance with the following limits:

• Daytime: 65 dB
• Nighttime: 55 dB

The city has fined the data center for violations. However, Hyperscale Data is challenging the city's readings and methodology.

Company Response and Expansion Plans

Hyperscale Data CEO William Horne addressed residents during a special council meeting, announcing that the site is pivoting away from cryptocurrency operations toward AI computing and advanced robotics, with a $100 million investment planned.

The company has also purchased adjacent properties to serve as a natural noise buffer and is implementing other measures to reduce sound levels.

"If they still aren't happy, and feel that their home isn't enjoyable, then we'll buy their property from them." — William Horne, CEO, Hyperscale Data

Despite these offers, the city reports that no permit applications have been submitted for the proposed expansion.

Residents Reject Buyout Offers

Affected residents expressed frustration with the company's approach:

• One family noted they have lived in the area for nearly 100 years, with deep roots in the community
• Another resident has a 17-month-old baby and another child on the way, making relocation difficult if not impossible

Residents asked the CEO why the company did not act on complaints as soon as they began, accusing the firm of failing to be a good neighbor.

Broader Context

This is not the first noise pollution lawsuit involving a data center in the United States:

• A Microsoft data center in Wisconsin is facing a similar class-action lawsuit from residents living within 1.5 miles of the facility
• One non-profit organization reports that infrasound — inaudible vibrations emitted by industrial sites — can be heard and felt for hundreds of feet in surrounding areas and may have negative health effects on those who can perceive it

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