Illinois Data Center Study Projected 121,000 New Jobs

A new industry report forecasts $57 billion in state investments by 2035 despite ongoing legislative friction.

Updated on Oct. 1, 2026 in Data Centers

Bold flat-color editorial illustration of server racks on a plinth, symbolizing digital infrastructure growth, in navy and red.
A new Illinois Economic Policy Institute report projects that data center investments will create 121,000 jobs in the state by 2035. AI Illustration. Upload story photo >

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The Illinois Economic Policy Institute has released a study projecting 121,000 total jobs will be created by data center investments through 2035. The report arrives as Governor JB Pritzker has paused the state's data center tax incentive program.

Why it matters

The study aims to provide a framework for policymakers navigating the tension between large-scale digital infrastructure growth and resident concerns. It highlights the economic scale of the sector while development faces regulatory uncertainty at the state level.

The institute projects $57 billion in total investment through 2035, yielding an estimated 121,000 total jobs. Of those positions, 2,800 are categorized as permanent, direct roles within the facilities.

The players

Illinois Economic Policy Institute

A research organization that evaluates state economic policy, labor market trends, and infrastructure investments.

JB Pritzker

The Governor of Illinois who holds authority over the state tax incentive program and regional industrial policy.

The details

Researchers modeled the economic impact by analyzing projected capital expenditure in data center infrastructure over the next decade. The institute evaluated both direct facility operations and the broader construction activity required to support high-density server environments. This analysis is intended to quantify the trade-offs between physical resource usage and the anticipated workforce expansion.

Timeline

  1. Spring 2026: State lawmakers failed to pass data center regulations.

  2. 2026-2035: The projected timeframe for anticipated investment and job growth.

The Tech Race

The state is recalibrating its approach to digital infrastructure after legislative efforts to codify new regulations stalled this spring. The current pause in incentive programs marks a significant departure from the competitive tax climate that initially accelerated regional data center growth.

Residents may see significant construction activity across the state as investment flows into new facilities through 2035. However, the timeline for development could shift based on how the state resolves its current regulatory and incentive impasse.

The takeaway

The projected job figures provide a benchmark for evaluating the state's industrial trajectory over the next nine years. Observers should track the next legislative session for potential updates to tax incentives, which remain the primary variable influencing these long-term estimates.

Further reading

Find more analysis on the state of Data Centers in Illinois and beyond.

Source note: This article includes information reported by WTOP.

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Do you believe the economic benefits of local data centers outweigh their environmental and energy costs?