True or False: An ArcGIS notebook can only reference data located on the computer where it is running.

The statement is false. An ArcGIS notebook can reference data from multiple sources beyond just the local computer where it is running. Notebooks in ArcGIS Pro can access various types of data stored in ArcGIS Online, cloud storage solutions, or other remote databases. This flexibility allows users to work with a diverse range of data sets, enhancing the analytical capabilities provided by the notebooks.

Additionally, notebooks can connect to data and resources via file paths, URLs, or even through connections established in a GIS environment, making it possible to work collaboratively and access shared data across different systems. By enabling references to external data, ArcGIS notebooks support a more integrated approach to data analysis, enhancing productivity and fostering an environment for comprehensive GIS workflows.