Key facts
- Meta Platforms and BlackRock are partnering to develop a data center campus in El Paso, Texas.
- The venture is valued at approximately $14 billion.
- The El Paso data center will have 1 gigawatt of compute capacity.
- Meta will be the initial sole occupant of the campus upon completion.
- The project is expected to create thousands of construction and operational jobs.
Meta Platforms and investment manager BlackRock have announced a strategic venture to develop and operate a significant data center campus in El Paso, Texas, with an estimated valuation of $14 billion. This collaboration aims to accelerate Meta's expansion of its artificial intelligence infrastructure.
Meta, which has over 15 years of experience in data center development, will leverage its expertise in design and operation, while BlackRock, along with its affiliates Global Infrastructure Partners and HPS Investment Partners, will provide substantial capital and infrastructure investment experience. Meta selected BlackRock as its partner after a competitive process, seeking to diversify its infrastructure financing to meet its long-term AI ambitions.
Mark Zuckerberg, Meta's founder and CEO, stated that the partnership with BlackRock will enable faster and larger-scale development of the infrastructure needed for superintelligence. Larry Fink, Chairman and CEO of BlackRock, highlighted the project's potential to create thousands of skilled jobs and drive economic growth in El Paso.
The state-of-the-art campus, currently under construction, is designed to have 1 gigawatt of compute capacity and is crucial for advancing Meta's AI models and core business enhancements. Meta will manage construction and operations, and will be the sole occupant upon completion, with the venture expected to bring capacity online starting in 2028. The transaction is anticipated to close in the coming days.
The investment includes over $10 billion from Meta, supporting more than 4,000 peak construction jobs and 300 operational jobs. Meta is also contributing to local workforce development through initiatives like the America's Workforce Academy and a $500,000 grant to El Paso public schools. Additionally, Meta will support local water restoration projects.