Google to invest $40B in Texas data centers in major AI push

November 16, 2025

Alphabet’s Google is investing $40 billion to build new data centers in two Texas counties.

The announcement, made Friday, said one of the new data centers will be in Armstrong County, in the Texas Panhandle, and the other two in Haskell County, a stretch of West Texas near Abilene.

“This investment will create thousands of jobs, provide skills training to college students and electrical apprentices, and accelerate energy affordability initiatives throughout Texas,” Alphabet CEO Sundar Pichai said in a statement obtained by Reuters.

Google has been in the Lone Star State for 15 years, and the investment, which will be made through 2027, underscores the intensifying competition among artificial intelligence (AI) and cloud service providers to build infrastructure capable of supporting advanced AI models.

NORTH CAROLINA RESIDENTS FIGHT BACK AGAINST MASSIVE TECH PROJECT POTENTIALLY COMING TO THEIR TOWN

Google AI data centers presser

Texas Gov. Greg Abbott and Alphabet and Google CEO Sundar Pichai lead a panel at the Google Midlothian Data Center on November 14, 2025, in Midlothian, Texas.  (Ron Jenkins / Getty Images)

“Google’s $40 billion investment makes Texas Google’s largest investment in any state in the country and supports energy efficiency and workforce development in our state,” Texas Gov. Greg Abbott said in a statement.

People living in some states have been pushing back against data centers. 

MYSTERY COMPANY’S $1.6B DATA CENTER PROPOSED FOR WISCONSIN FARMLAND DRAWS RESIDENTS’ IRE

Google execs and politicians in Texas for AI announcement

At a community celebration in Midlothian, Texas, Congressman Jake Ellzey, U.S. Deputy Secretary of Energy James Danly, Governor Greg Abbott, CEO of Google and Alphabet Sundar Pichai and Google Senior Director Amanda Peterson Corio announced a new inv (Google)

Back in September, Tarboro, North Carolina, residents urged their town council to reject a proposal for a 50-acre, 300-megawatt Energy Storage Solutions LLC site due to the belief it would consume enormous amounts of water and electricity, deplete natural resources and raise utility rates. 

Ticker Security Last Change Change %
GOOGL ALPHABET INC. 276.41 -2.16 -0.78%
MSFT MICROSOFT CORP. 510.18 +6.89 +1.37%
META META PLATFORMS INC. 609.46 -0.43 -0.07%
AMZN AMAZON.COM INC. 234.69 -2.89 -1.22%

People living in Menomonie, Wisconsin, felt similarly about water usage and higher electricity bills that would be caused by a mystery company’s $1.6 billion proposed data center.

Google Texas press conference

Attendees during a media event at the Google Midlothian Data Center in Midlothian, Texas, US, on Friday, Nov. 14, 2025. (Jonathan Johnson/Bloomberg / Getty Images)

CLICK HERE TO READ MORE ON FOX BUSINESS

OpenAI, Microsoft, Meta Platforms and Amazon are among companies spending billions of dollars on new AI-focused data centers.

Reuters contributed to this report. 

 

Search

RECENT PRESS RELEASES