Cielo Digital Infrastructure data center, Clarksville, Tennessee

Cielo Digital Infrastructure, a data center developer owned by the Texas investment manager Arroyo Investors, lists a 350-megawatt campus on 107 acres in Clarksville, Montgomery County, Tennessee, among the projects on its website. But as of September 2026 no data center had actually been proposed in the county, Clarksville Now reported, and Cielo has not said where in Clarksville the campus would go.

Asked in September 2026 whether any data center was proposed, Montgomery County planning director Jeff Tyndall said the short answer was no. "But we believe there was some interest recently," he said. "We currently don't have the electrical (and) water capacity to support another mega center like Google. And that's only going to keep them at bay for so long."

NewsChannel 5 reported that a major technology company had recently explored a large facility in the county before the project did not move forward, prompting planners to look again at zoning rules; it did not name the company. Montgomery County already hosts a roughly 400-acre Google data center operating since 2019, and Tyndall said, "I don't think at this point our community would have the water infrastructure to support another site the size of Google."

The Montgomery County Regional Planning Commission responded by approving new rules on September 22, 2026 that would let a data center locate only in M-1 or M-2 industrial zones, on 10 to 100 acres, with a noise plan, proof of its water supply, and written statements from TVA and local utilities on power and gas. The developer, not ratepayers, would pay for the utility upgrades the project needs, under a new state law.

The Montgomery County Commission, which makes the final decision, is next to vote on the rules, and Tyndall said a similar ordinance could follow for the City of Clarksville. If Cielo or anyone else files for a campus the size Cielo lists, it would first need a public hearing before the county's Board of Zoning Appeals.