Microsoft claims to be a "good neighbor" when building data centers, promising to pay local property taxes and invest in community services like hospitals, schools, and parks. However, community liaisons have struggled to specify investment amounts beyond vague promises. Critics note Microsoft’s local investments appear small compared to the hundreds of millions in state-level tax breaks data center developers receive across 38 states, often lasting over a decade.

In Georgia, a recent audit found the state gave up $474 million in sales taxes in one year but received only $41 million back from the industry. In Indiana, firms like Microsoft can avoid paying the state’s 7 percent sales tax on data center equipment, potentially exempting up to $13.2 billion in purchases—adding up to $900 million to the tax base if not exempted, with the exemption lasting up to 50 years. Around Microsoft’s 900-acre Granger data center in St. Joseph County, Indiana, the local group We Make Indiana—representing about 25 congregations and community organizations—has urged the company to address urgent needs in health care, child care, elder care, transportation, and affordable housing.

Microsoft reportedly offered only up to $1 million in one-time nonprofit donations, which We Make Indiana says is disproportionate to the tax savings and profits Microsoft gains. The group argues Microsoft could do more with its "community-first AI" platform to support long-term community benefits.