Google is finalizing a deal to provide financial backing for a data center campus in Texas. The site is currently leased to Google's AI partner, Anthropic. Google will offer construction loans to the site operator, Nexus Data Centers. Alphabet will leverage its credit rating to reduce financing costs for the project.
The initial phase of the project is valued at more than $5 billion. This arrangement secures substantial computing power for Anthropic as it competes with AI rivals. The Texas campus will utilize its own natural gas turbines for electricity. This design bypasses potential power grid delays to ensure a consistent energy supply for AI operations.