Google Commits $40 Billion to Texas AI Infrastructure Expansion Through 2027

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.

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)