Google Announces $40 Billion Texas Investment to Expand AI Data Center Infrastructure

Google plans to invest $40 billion towards building data centers in Texas

Google is getting ready to spend $40 billion to increase its data center footprint in Texas. In an announcement posted on its website, Google said it's planning to build more infrastructure for its cloud and artificial intelligence operations in the state. The plans call for three new data centers, one in Armstrong County and two in Haskell County, according to Google. According to a press release from Texas Governor Greg Abbott, this is Google's largest investment in any US state. The tech giant's investment in the Lone Star State dates back to 2019, when it built a data center in Midlothian, Texas. Google later expanded its presence in the state with the development of another data center in Red Oak, bringing the company's total investment into Texas to $2.7 billion. According to Google, the latest $40 billion investment will be made through 2027. Google isn't the only major tech company developing more AI infrastructure in the US. Earlier this year, NVIDIA announced plans to build manufacturing space for AI supercomputers in Houston and Dallas. More recently, Meta said it would invest $600 billion to build AI data centers across the US without specifying which states.

Google to invest $40 billion in Texas through 2027

Alphabet's Google said on Friday it would invest $40 billion in three new data centers in Texas through 2027, as the company accelerates efforts to expand capacity for supporting its artificial intelligence ambitions. Technology giants, including Alphabet, Microsoft and Meta Platforms have been pouring unprecedented sums into infrastructure to secure computing power and energy capacity needed to sustain the AI boom. One of the data centers will be in Armstrong County, in the Texas panhandle, and the other two in Haskell County, a stretch of West Texas near Abilene, Google said in a statement.

Google is spending $40 billion to build 3 new data centers in Texas

This latest batch is destined for Texas, where Google already has a pair of data centers in operation just south of Dallas. One of the new centers will be located outside of Amarillo in Armstrong County, with the other two headed to Haskell County, about three and a half hours west of Dallas. The $40 billion investment in the Lone Star State will help the company build additional infrastructure for its cloud and AI units. The company expects the centers to be operational by the end of 2027. This will be Google's largest single investment in any individual state, according to Texas Governor Greg Abbott. It follows data center announcements in Texas by Anthropic and Microsoft earlier this month.

Google commits $40 billion to expand AI data centers in Texas

The plan covers construction through 2027 and represents Googles largest investment in any single US state. Google is preparing to spend $40 billion to expand its data center presence in Texas. According to an announcement posted on the company's website, this funding will be used to build additional infrastructure for its artificial intelligence and cloud operations. The investment is scheduled to take place over the next two years, running through 2027. The plan involves the construction of three new data centers. Google specifies that one facility will be located in Armstrong County, while the other two will be built in Haskell County. A press release from Texas Governor Greg Abbott notes that this marks Google's largest investment in any single US state. Google's financial commitment to Texas dates back to 2019, starting with the construction of a data center in Midlothian. The company later expanded its footprint with a facility in Red Oak, bringing its total previous investment in the state to $2.7 billion. Other major technology companies are also increasing their AI infrastructure in the region and country. Earlier this year, NVIDIA announced plans to create manufacturing space for AI supercomputers in Dallas and Houston. Additionally, Meta recently stated that it would invest $600 billion to build AI data centers throughout the United States, though it did not specify which states would receive these facilities.

Google commits $40 billion to expansion in Texas, its largest US state investment

Governor Greg Abbott joined the announcement on Thursday in Midlothian, highlighting the initiative's economic and technological impact. Google and Alphabet CEO Sundar Pichai announced a USD 40 billion expansion in Texas, marking the company's largest-ever investment in a single US state. Governor Greg Abbott joined the announcement on Thursday in Midlothian, highlighting the initiative's economic and technological impact. The plan includes three new data centre campuses to support Google's growing cloud and artificial intelligence operations. These energy-intensive facilities will be paired with programmes to strengthen Texas' grid, improve energy affordability, and provide workforce training for students, apprentices, and skilled workers. "This is a Texas-sized investment in the future of our great state ... Texas is the epicentre of AI development, where companies can pair innovation with expanding energy. ... We must ensure that America remains at the forefront of the AI revolution, and Texas is the place where that can happen," Abbott said. Pichai added, "They say that everything is bigger in Texas - and that certainly applies to the golden opportunity with AI. ... This investment will create thousands of jobs, provide skills training to college students and electrical apprentices, and accelerate energy affordability initiatives throughout Texas." Texas has become a hub for major tech and energy companies. Tesla's Gigafactory in Austin, along with Amazon and Meta data centres, have made the state a magnet for high-tech manufacturing and cloud infrastructure. Experts say Google's expansion reinforces Texas' position as a business-friendly state with abundant energy and a skilled workforce. As part of the project, Google will invest in renewable energy and grid capacity, including a USD 30 million Energy Impact Fund supporting community and school-based energy initiatives. Workforce programmes will train more than 1,700 electrical apprentices, bolstering the state's talent pipeline for AI and data-intensive industries.

Elon Musk Says It's 'Mindblowing' How Much Money Is Being Spent On AI Compute As Google Announces $40 Billion Investment In Texas - Alphabet (NASDAQ:GOOGL)

In response to Alphabet Inc.'s (NASDAQ:GOOGL) (NASDAQ:GOOG) Google's announcement of a $40 billion investment in Texas, Elon Musk, the CEO of Tesla Inc. (NASDAQ:TSLA), called the spending on artificial intelligence computation "mind-blowing" on Friday. Check out the current price of GOOGL stock here. Google's Texas Data Center Expansion According to Sundar Pichai, the company plans to invest $40 billion in Texas through 2027 to develop cloud and artificial intelligence infrastructure. New data centers in Armstrong and Haskell Counties are part of this investment. Energy And Workforce Initiatives The tech giant pledged to finance initiatives that would more than double Texas' anticipated electrician pipeline. Pichai also stated that the investment will support thousands of new jobs and "strengthen energy resilience and abundance." Meanwhile, the International Energy Agency's World Energy Outlook 2025 report also highlights that AI data centers are driving a surge in electricity demand. The report notes that natural gas is once again becoming a key energy source as renewable energy projects struggle to keep up with growing infrastructure needs. Musk Sees Further Growth Ahead In his social media post, Musk added, "But still many orders of magnitude to go," implying that spending on AI computing will continue to rise above its current levels. Musk's own xAI is part of an investor consortium with Nvidia Corp. (NASDAQ:NVDA), Microsoft Corp. (NASDAQ:MSFT) and BlackRock Inc. (NYSE:BLK) acquiring a separate $40 billion Texas data center. Read Next: AI Spending Is Shifting -- And Broadcom, Marvell Are Positioned To Win Photo courtesy: JHVEPhoto/Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. GOOGLAlphabet Inc$287.624.06%OverviewBLKBlackRock Inc$1059.420.14%GOOGAlphabet Inc$288.254.07%MSFTMicrosoft Corp$510.430.05%NVDANVIDIA Corp$191.060.47%TSLATesla Inc$405.420.26%Market News and Data brought to you by Benzinga APIs

Google to invest $40 billion in Texas data centers through 2027, Bloomberg reports By Investing.com

Investing.com -- Google plans to invest $40 billion to build three new data centers in Texas by 2027, Bloomberg reported Friday, expanding its infrastructure as AI competition intensifies. Google parent Alphabet Inc (NASDAQ:GOOGL) saw its stock tick up 1.7% in after-hours trade after the company announced that one facility will be located in Armstrong County in the Texas panhandle, while two others will be built in Haskell County near Abilene. One of the Haskell County centers will be paired with a new solar and battery storage plant to reduce strain on the power grid. "This investment will create thousands of jobs, provide skills training to college students and electrical apprentices, and accelerate energy affordability initiatives throughout Texas," said Alphabet CEO Sundar Pichai at an event near Dallas, where Google already operates two data centers, Bloomberg reported. The announcement comes as major AI companies expand their data center footprints across the U.S., especially in Texas. Anthropic announced a $50 billion investment in U.S. AI infrastructure on Monday, with initial sites planned in Texas and New York. The company's partnership with Fluidstack is expected to create approximately 800 permanent jobs and 2,400 construction positions. OpenAI launched its Stargate Project in January 2025, committing $500 billion over four years to build AI infrastructure, including a data center in Abilene, Texas, that is now partially operational. Meanwhile, Meta Platforms Inc (NASDAQ:META) has plans to invest $600 billion in U.S. infrastructure through 2028, focusing on AI data centers and energy projects.

Google to invest $40 billion in new data centers in Texas, Bloomberg News reports

(Reuters) -Alphabet's Google plans to invest $40 billion in three new data centers in Texas, Bloomberg News reported on Friday, as the technology giant accelerates efforts to expand capacity to support its artificial intelligence ambitions. One of the data centers will be in Armstrong County, in the Texas panhandle, and the other two in Haskell County, a stretch of West Texas near Abilene, the report said. Google did not immediately respond to a Reuters request for comment. The investment, which will be made through 2027, will create thousands of jobs, provide skills training to college students and electrical apprentices, and accelerate energy affordability initiatives throughout Texas, the report quoted Alphabet CEO Sundar Pichai as saying in an event near Dallas. (Reporting by Juby Babu in Mexico City; Editing by Shilpi Majumdar)