SUNYA Energy

Google to invest $1bn expanding Dallas data centers, signs 375MW in solar PPAs - DCD

August 18, 2024
SUNYA Summary
- Google has announced plans to invest $1 billion in new data centers in Dallas, Texas. - The investment will take Google's total spending in Texas to $2.7 billion. - This expansion aims to meet the growing demand for Google Cloud, AI, and other digital products and services. - Google will sign long-term power purchase agreements with Elawan, Engie, Grupo Cobra, and X-ELIO for solar projects in Texas. - The agreements are expected to provide 375MW of carbon-free energy capacity to support Google's operations in the state. - Senator Ted Cruz expressed pride in the new investment and the expected creation of thousands of construction jobs and hundreds of ongoing jobs. - Google first built a data center in Midlothian in 2019 under the project name Sharka, acquiring land for further development. - The company plans to develop a fourth building at the Midlothian campus, a $100 million project expected to be completed between April 2024 and December 2025. - Google launched a Texas cloud region in Dallas in June 2022. - A second Texas campus is being developed in Red Oak, with plans for a $600 million investment. - The first phase of the Red Oak site will cost $400 million and is expected to cover approximately 285,000 square feet. - Local energy firm AES has partnered with Google to develop hybrid wind and solar energy solutions totaling 727MW.
PRESS RELEASE
Google to invest $1bn expanding Dallas data centers, signs 375MW in solar PPAs:

Google has announced new data center investment plans for Dallas, Texas.

Local press including NBC and the Dallas Morning News report Google plans to invest $1 billion in Texas this year through its data center campuses in Midlothian and Red Oak. Further details weren’t shared.

At an event attended by Senator Ted Cruz, the company said the investment would take its spending in the Lone Star State to $2.7 billion. Google said the expansion will help meet growing demand for Google Cloud, AI, and other digital products and services such as Search, Maps, and Workspace.

“We’re thrilled to strengthen our commitment to Texas,” Yolande Piazza, VP of financial services at Google Cloud, said in a statement. “Expanding our cloud and data center infrastructure in Midlothian and Red Oak reflects our confidence in the state’s ability to lead in the digital economy.”

The company added that it will sign long-term power purchase agreements with Elawan, Engie, Grupo Cobra, and X-ELIO for Texas-based solar projects.

“Together, these new agreements are expected to provide 375MW of carbon-free energy capacity, which will help support Google’s operations in Texas,” the company said.

Senator Cruz said: “I am proud, every day, to be a champion for jobs in the state of Texas. This is an exciting day, because we're looking at thousands of new jobs in construction, and then hundreds of new jobs ongoing. We want more jobs and more investment because in Texas we care about jobs, we care about economic liberty, and we're proud to welcome you here.”

Google first built a data center in the Midlothian area of Dallas in 2019 through its Alamo Mission LLC shell company under the project name Sharka. After originally buying 375 acres in Ellis County, the company later acquired another 165-acre tract for further development.

The company filed plans to develop a fourth building at the campus earlier this year. The $100 million project is due to see a 170,600 sq ft (15,850 sqm) single-story data center and associated central utility buildings developed at the site, located at 3441 Railport Parkway. Construction is set to run from April 2024 to December 2025.

Google launched a Texas cloud region in Dallas in June 2022.

The company is also developing a second Texas campus in the Red Oak area of Dallas, also in Ellis County. The company last year announced plans to invest $600 million in developing the site at 156 N. Austin Blvd. The first $400 million phase will reportedly total around 285,000 square feet and take two years to build.

On LinkedIn, local energy firm AES said: “We are proud of our long-standing partnership with Google, working together to develop innovative energy solutions and help meet their sustainability goals. We are thrilled to support Google's expansion in Texas, and have recently signed long-term hybrid wind and solar power purchase agreements totaling 727MW.”