Amazon to stop using NDAs in data center negotiations with governments

Amazon announced it will stop using non-disclosure agreements (NDAs) when negotiating data center deals with local governments, following a similar commitment from Microsoft earlier in 2026. The change is intended to address rising community backlash against AI infrastructure projects, which has led to hundreds of proposed and enacted moratoriums on such facilities in cities including New York and San Francisco.

The move comes as local opposition to AI data centers has intensified, with residents and officials citing concerns over environmental impact, energy use, and strain on public services. By removing NDAs from the negotiation process, Amazon and Microsoft aim to increase transparency and potentially mitigate opposition to new projects.

TechCrunch reports that the shift is part of a broader effort by hyperscalers to address public trust concerns as they rapidly expand AI infrastructure. However, it remains unclear whether ending NDAs alone will be sufficient to change community perceptions or reduce the number of moratoriums being proposed or enacted.

The announcement was made during a discussion on TechCrunch’s Equity podcast, where analysts assessed whether the policy change would meaningfully alter how data center deals are negotiated and approved in the future.