New NVTC Report: Virginia Data Centers Drive $40 Billion in Statewide Economic Impact

MCLEAN, Va., March 3, 2026 /PRNewswire/ -- The Northern Virginia Technology Council (NVTC) today released its sixth biennial research report, "The Impact of Data Centers on Virginia's State and Local Economies," produced by Mangum Economics. The study finds that in 2025, data centers generated nearly $40 billion in total economic impact statewide, supported more than 112,000 Virginia jobs, and contributed over $1.5 billion in annual state tax revenue.

Virginia remains the nation's leading data center market, and the industry's footprint now extends well beyond Northern Virginia, strengthening communities across the Commonwealth through job creation, advanced manufacturing investment, workforce partnerships, and substantial local tax contributions.

"Data centers are no longer simply part of the digital economy — they are essential infrastructure underpinning Virginia's economic strength," said Jennifer Taylor, president and CEO of NVTC. "This report demonstrates that the industry not only powers the services Virginians rely on every day — from healthcare and finance to education and public safety — but also delivers sustained economic opportunity across the Commonwealth. Through high-quality jobs, significant tax revenue, and continued investment in sustainability, data centers have become foundational to Virginia's long-term prosperity and competitiveness."

Key Findings from the 2026 Report:

• Statewide Economic Impact: Nearly $40 billion in total economic activity in 2025, supporting more than 112,000 jobs through direct, indirect, and induced effects.
• High-Quality Employment: Thousands of direct operational and construction jobs, generating nearly $9 billion in total employee compensation.
• Manufacturing Expansion: Since 2024, at least six major suppliers have announced new Virginia manufacturing investments, creating more than 1,000 additional jobs and strengthening domestic supply chains.
• Fiscal Contributions: More than $1.5 billion in annual state tax revenue, plus approximately $1.3 billion in property taxes in Northern Virginia alone, even after incentives.
• Community Investment: Data center tax revenue supports schools, affordable housing, transportation infrastructure, and workforce development programs.
• Sustainability Leadership: Continued advancement in solar development, renewable fuels, water conservation, and lower-carbon construction practices aligned with Virginia's clean energy goals.

As digital infrastructure becomes increasingly central to economic competitiveness, public services, and national security, understanding the industry's economic and fiscal contributions is critical for policymakers and communities.

The report also addresses common misconceptions about data centers, providing data-driven analysis on energy use, employment intensity, and local impact.

"The industry's integration into Virginia's economy is both deep and broad," said David Zorn, Director of Technology & Special Projects Research at Mangum Economics. "For every operational job at a data center, more than two additional jobs are supported elsewhere in the state. That level of economic multiplier effect is significant and uncommon."

With sustained investment, workforce partnerships, and continued innovation, Virginia's data center industry remains a cornerstone of the Commonwealth's economic future.

The full report is available for download at: https://www.nvtc.org/communities/data-center-and-cloud/report/#download-report.

This report was made possible through the support of lead sponsors Dominion Energy, ESI Total Fuel Management, Fairfax County Economic Development Authority and Loudoun County Economic Development, along with supporting sponsors CloudHQ and Prince William County Economic Development.

About Northern Virginia Technology Council
NVTC is where the region's tech community comes together. Representing 500 members—from bold startups to Fortune 100 leaders—NVTC drives innovation, fosters connections, and advocates for policies that fuel growth and position Northern Virginia as a global leader in technology. Through initiatives in cybersecurity, generative AI, cloud computing, space, and more, NVTC empowers the tech community to shape the future. Learn more at www.nvtc.org. 

About Mangum Economics
The economic consulting practice of Mangum Economics specializes in the economic and fiscal impacts of renewable energy, technology, and other infrastructure projects. Its consultants work with data center clients across the United States and into Latin America to help explain the difference that this critical infrastructure makes to local economies. Learn more at www.mangumeconomics.com.

SOURCE Northern Virginia Technology Council