SpaceX's $74 billion AI bet lands just as Texas elects a data-center skeptic
8 Sources
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SpaceX plans $74B of AI computing centres in Arizona and Texas
A $50B Arizona campus and a gas-powered Texas site will feed customers such as Anthropic and Google. SpaceX plans to spend $74B on two AI supercomputing sites: a $50B campus in Cochise County, Arizona, and a $24B site with its own gas power plant near Starbase, Texas. It now sells computing power
[2]
SpaceX plans more than $74 billion in AI supercomputing sites
SpaceX said the Arizona campus carries a planned investment of about $50 billion, with up to $24 billion for the Texas site near Starbase SpaceX announced plans on Thursday for more than $74 billion of investment in two supercomputing campuses, one at Starbase in Texas and one in Cochise County,
[3]
SpaceX Plans More Than $74 Billion in Texas, Arizona Data-Center Investments
SpaceX is planning to invest more than $74 billion across two supercomputing facilities in Texas and Arizona. The company on Thursday said it plans to spend around $24 billion on a data center in the Rio Grande Valley in Texas that will train frontier artificial-intelligence models. That project
[4]
SpaceX Plans $74 Billion Investment to Build Data Centers in Texas and Arizona
Elon Musk's rocket and artificial intelligence company has spent billions to develop the giant warehouses full of computer servers that power the technology. SpaceX said on Thursday that it planned to invest $74 billion to build new data center campuses in Arizona and Texas as the company
[5]
SpaceX plans $74 billion investment to build data centers in Texas and Arizona
SpaceX said on Thursday that it planned to invest $74 billion to build new data center campuses in Arizona and Texas as the company continued to pour money into the global artificial intelligence race. The projects, proposed by Elon Musk's rocket and AI company, would be among some of the largest
[6]
SpaceX proposes 750 MW gas plant for Texas supercomputing hub
The Elon Musk-led company has also committed $220 million to expand Brownsville's water and wastewater infrastructure. SpaceX is seeking approval to set up a 750-megawatt (MW) natural gas-fired power plant and supercomputing facility at Starbase,Texas. The company separately confirmed on Thursday
[7]
SpaceX to invest $74B into data center construction projects in Texas, Arizona
Elon Musk's SpaceX plans to invest more than $74 billion into building two data centers in Texas and Arizona, the company announced Thursday, marketing them as projects that will boost local communities amid backlash surrounding such facilities. "These investments will expand local tax bases,
[8]
SpaceX Eyes Major AI Expansion With Projects in Texas and Arizona
SpaceX is planning to invest more than USD 74 billion in two AI computing campuses in Texas and Arizona. The proposed projects include a facility near Starbase and a larger development in Cochise County. While the investments could generate thousands of jobs, the Arizona campus still requires local
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SpaceX has announced more than $74 billion in AI supercomputing campuses. The announcement lands in a newly awkward Texas political landscape.
SpaceX announced plans on Thursday to spend more than $74 billion on two AI supercomputing campuses, one in Texas and one in Arizona
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. The announcement lands days after Democrats won the midterms in Texas, where the incoming governor campaigned on a data-center moratorium3
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Source: Quartz
The bigger of the two campuses, about $50 billion, would rise in Cochise County, Arizona
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. The Texas site, about $24 billion, sits on SpaceX-owned land near Starbase, the company's headquarters town at the state's southern tip3
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. Per the company, it will train frontier AI models3
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. Rather than drawing from the grid, it would make its own power. A City of Starbase public hearing notice shows SpaceX proposing to build and run a natural gas power station alongside the site2
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Source: NYT
The computing business already pays
The rocket company has been turning into a computing seller, and the new money has a running engine behind it. Per one report, Anthropic is now SpaceX's biggest computing customer, accounting for a third of its revenue, and Google has agreed to pay $920 million a month for computing power
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. Per that report, the AI unit out-earned Starlink last quarter, and the company sold bonds months earlier to fund the build-out1
.A new government in Texas
The incoming governor, Gina Hinojosa, is the first Democrat to win the state's top office since 1990, and she campaigned on a statewide data-center moratorium
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. Wall Street analysts largely expect her to let permitted or already-broken-ground projects continue, and Republicans still hold the Texas Legislature3
. Elon Musk, SpaceX's CEO, spent more than $440 million supporting Republicans in the midterms, including more than $150 million backing Ken Paxton's unsuccessful Senate campaign3
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Source: The Next Web
The company's own statement reads like a message to the incoming government. Realizing the Texas project's potential, SpaceX said, "will require a stable, competitive, and supportive policy environment that allows projects of this scale to move forward"
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Selling it to the neighbors
The jobs and the water money are the company's pitch to the local officials whose approvals it needs. SpaceX says the Texas site has already generated more than 3,000 construction jobs and expects more than 500 permanent ones, with about 5,500 construction and 1,000 permanent jobs in Arizona
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. It has also committed $220 million to expand water and sewer service for Brownsville and Cameron County, adding about 20 million gallons of daily capacity, with $40 million already paid to the local utilities board2
.In Arizona, the company says the campus would use dry cooling and plans no industrial groundwater use; electricity bills for local cooperative members could fall by up to 20%
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. Whether that site also burns gas is unclear1
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. Not everyone is buying it. Last week, hundreds of Arizona residents pressed SpaceX on water, power bills and wildlife at a public meeting1
. In Mississippi, a noise lawsuit over a gas plant that powers Musk's data centers has drawn more than 10,000 residents1
.The next scheduled step in all of this comes in Starbase itself. The city commission takes up a property tax abatement and a companion economic development deal for the project at its Dec. 9 meeting
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