Switch’s growth spurt continues with big new project, more money raised

Las Vegas-based data center company Switch announced plans to develop a 382-acre data center campus in Big Beaver Borough, Pennsylvania, marking an expansion into a new state. The new facility will cater to customers in the Eastern U.S., though construction timelines and cost estimates were not disclosed. Natalie Stewart Mitchell, Senior Vice President of Government Affairs and Campus Development at Switch, stated the company's commitment to being a "responsible, long-term neighbor" and emphasized its funding of power infrastructure and use of a closed-loop water recycling system to minimize consumption. This announcement follows Switch's recent financial activities, including securing a $2.6 billion syndicated letter of credit and raising nearly $770 million through a bond sale, bringing its total borrowings to billions of dollars to fuel its national growth. The company has also acquired over 300 acres in North Las Vegas' Apex Industrial Park for future developments. The article highlights a broader trend of rapid data center expansion across the U.S., driven by demand for AI, but notes significant community opposition due to environmental concerns, particularly water usage, and potential impacts on utility costs. In Southern Nevada, where Switch has a major presence, a ban on evaporative cooling systems for data centers was finalized in 2024 due to a decades-long drought affecting Lake Mead. Nevada lawmakers are also considering a statewide ban on such cooling methods. Additionally, some Boulder City residents have protested a proposed data center within city limits, with voters facing a ballot question in November to determine if these facilities should be allowed in specific areas. Investment firms DigitalBridge Group and IFM Investors acquired Switch in an $11 billion deal in 2022. Novva Data Centers, another firm, also acquired significant land in Apex Industrial Park for data center development.