Meta, BlackRock announce strategic venture for $14B El Paso AI data center campus
Meta and BlackRock are forming a strategic venture to develop and own Meta's $14 billion, 1 gigawatt AI data center campus in El Paso, Texas. BlackRock will own 80% and Meta 20%, with the first capacity expected in 2028. The project is hailed for economic growth but faces local concerns over water and energy use and public incentives.
Meta and BlackRock have announced a strategic venture to develop and own Meta's $14 billion artificial intelligence data center campus in Northeast El Paso, Texas. Funds managed by BlackRock will acquire an 80% stake in the project, with Meta retaining 20% ownership, creating a new financing model for large-scale AI infrastructure. The campus is designed to provide 1 gigawatt of compute capacity, making it one of Meta's largest AI infrastructure investments, with the first computing capacity expected online by 2028.
Meta CEO Mark Zuckerberg stated the partnership allows for faster and larger-scale development, combining Meta's operational expertise with BlackRock's investment capabilities. BlackRock Chairman and CEO Larry Fink emphasized the project's significant economic impact, projecting thousands of skilled jobs during construction and 300 permanent operational jobs. Meta has also committed to workforce development in the region, including participation in America's Workforce Academy and a $500,000 grant to El Paso public schools for STEM education.
While the project is praised for economic growth, it has drawn scrutiny from local leaders and community groups due to concerns regarding water consumption, energy demands, and public incentives. Residents have previously protested the development, highlighting neighborhood concerns.