SpaceX plans more than $74 billion for AI supercomputing campuses in Texas and Arizona
SpaceX plans to invest more than $74 billion in two AI supercomputing campuses, one at Starbase in Texas and one in Cochise County, Arizona, the company announced on 12 November, Quartz reports.
The Arizona campus would cost about $50 billion. SpaceX expects roughly 5,500 construction jobs and 1,000 permanent jobs there, and says it is working with local electric cooperatives on existing renewable power. It says the project could lower electricity bills for cooperative members by up to 20% and that the site will use dry cooling, with no planned industrial groundwater use. The Arizona site was first reported on 6 November.
The $24 billion Texas campus sits on a 444-acre tract of company land near the Port of Brownsville. SpaceX says it will train frontier AI systems and generate its own electricity instead of drawing from the public grid. A city public notice shows a gas-fired power plant on the site, DCD reports, and the Starbase City Commission will consider a property tax abatement on 9 December. SpaceX has also committed $220 million to expand water and sewage systems in Brownsville and Cameron County.
Texas governor-elect Gina Hinojosa campaigned on a statewide moratorium on data centers, though Republicans hold the majority in the state legislature, Quartz notes.
We hope you enjoyed this article
Consider subscribing to one of our newsletters like Silicon Brief or Daily AI Brief.
Also, consider following us on social media:
More from Data Centers
Nov 12 Cisco now expects $9 billion in hyperscaler AI infrastructure revenue this fiscal year Nov 12 TU/e, TUM Venture Labs and boOst start European Future Chips Launchpad Nov 12 AWS gives AI agents four times more compute in Bedrock AgentCore Nov 12 Huang's exit puts extra pressure on Anthropic's IPO next week, investors tell Fortune Nov 12 Innodisk adds data-centre SSDs and server memory for AI workloadsSilicon Brief
Weekly coverage of AI hardware developments including chips, GPUs, cloud platforms, and data center technology.
Industry analysis
2025 Global Business Services Agenda: Gen AI Takes Center Stage
This industry analysis by The Hackett Group explores the transformative impact of generative artificial intelligence (Gen AI) on global business services (GBS) in 2025. The study highlights the shift from exploration to acceleration of Gen AI initiatives, with 89% of executives advancing these projects to improve customer satisfaction, innovate products, and reduce costs. The report also discusses the challenges and strategies for successful Gen AI adoption, emphasizing the need for a technology-enabled operating model and the importance of reskilling the workforce.
Read moreYou may also like
SpaceX Q3 revenue doubles to $14.58 billion as AI compute rental brings in $7.6 billion
SpaceX AI Adds Two Mississippi Data Centers for 420,000 Nvidia GPUs
OpenAI Publishes Community Rules for Future Compute Campuses
SpaceX Closes $40 Billion Debt Deal for AI Chips, Musk Says
Texas poll finds 79% support limits on data centers
Daily AI Brief: the AI news that matters, in your inbox.