Crusoe CEO: Data Center Indusry Has a 'Marketing Issue’
Crusoe CEO Chase Lochmiller discussed the company's significant funding and its role in building AI infrastructure. He addressed the growing opposition to data centers in the U.S., particularly a moratorium proposed by Texas Governor Abbott. Lochmiller argued the industry faces a "marketing issue" and highlighted data centers' low water usage and substantial tax revenue contributions to local communities like Abilene and Armstrong County, Texas.
Chase Lochmiller, CEO of Crusoe, appeared on Bloomberg Tech to discuss the company's recent nearly $4 billion funding round, which has elevated its valuation significantly. Lochmiller detailed Crusoe's vertically integrated AI infrastructure platform, which spans building, operating, and energizing large-scale AI factories, alongside its Crusoe Cloud platform for software operations. The company serves major tech firms like Oracle and Microsoft with data center solutions and collaborates with AI innovators such as Perplexity and Figure for managed compute clusters and AI services. He also acknowledged the possibility of Crusoe entering public markets in the future, especially with the addition of high-profile board members like J.B. Straubel (Tesla co-founder), Bill Stein (data center industry figure), and Thomas Seaford (former Cloudflare CFO).
The conversation then shifted to the growing negative perception of data centers in the United States, particularly in the context of upcoming midterms and a moratorium that Texas Governor Abbott "has." Lochmiller, whose company has a significant footprint in Texas, including large buildings in Abilene and a campus in Armstrong County, argued that the data center industry suffers from a "marketing issue." He contended that the benefits provided to communities are not being properly communicated, specifically addressing concerns about water usage.
Lochmiller clarified that Crusoe's next-generation AI factories are designed to use minimal water, employing closed-loop cooling systems. He stated that a large building in Abilene uses roughly the same amount of water as ten single-family homes, primarily for general purposes rather than chip cooling. Furthermore, he emphasized the transformative economic benefits, noting that Crusoe's operations could account for about a third of Abilene and Taylor County's total tax base and significantly increase tax revenue in Armstrong County. These investments, he asserted, fund essential community services like police, fire departments, roads, and education, despite the ongoing challenges from local opposition and policy. He confirmed no specific Crusoe projects have been delayed by local policy or opposition yet, but acknowledged the broader trend.