WASHINGTON, July 7 — The $1 billion annual cost of copper theft in the United States is drawing the FBI’s attention to a new target: data center construction sites. The figure that matters, according to a 2023 alert from the FBI’s Criminal Investigative Division, is that organized crime rings are increasingly behind these thefts. These groups steal copper and sell it to scrap yards for cash, often using the transactions to launder proceeds.
The bureau’s alert stated that data centers are a growing target because of the high value of the materials involved. By the numbers, the economics are straightforward.
Copper averaged $3.85 per pound in 2023, a price that the FBI said incentivizes the criminal activity. The FBI’s Richmond Field Office handled a case in 2022 that illustrates the scale of the problem. Investigators there broke up a ring that stole $2 million worth of copper from multiple data center sites across Virginia.
The case demonstrated that these are not opportunistic crimes committed by individuals, but coordinated operations by groups using sophisticated methods.
How the thefts work
The FBI alert detailed the methods these groups employ. They conduct surveillance of construction sites. Some rings coordinate with insiders — workers or contractors who provide information about security schedules, material storage locations, and the best times to avoid detection.
Once stolen, the copper is sold to scrap yards for cash. This cash transaction model makes it difficult for law enforcement to trace the proceeds, and the FBI noted that the sales are often used to launder money from other criminal enterprises.
What the FBI recommends
The bureau’s alert included specific recommendations for data center operators. The primary advice is to improve security at construction sites, including background checks for workers. The FBI also recommended collaboration with local law enforcement.
The alert noted that early reporting is critical because the thefts often happen quickly, with the copper being sold and the proceeds laundered within hours.
The bottom line
The FBI’s alert makes clear that copper theft from data center construction sites is not a petty crime problem. It is a sophisticated, organized criminal enterprise that costs U.S. businesses over $1 billion annually. The 2022 Virginia case, with its $2 million in stolen copper, shows the scale of individual operations.
For data center operators, the message is straightforward: security at construction sites must be a priority. The FBI’s recommendations — better physical security, worker background checks, and law enforcement collaboration — are the baseline for protecting these high-value targets.
The price of copper will also remain a factor — as long as it stays near $3.85 per pound, the incentive for theft will persist.
