Google Announces $40 Billion Investment in Texas
Major Technology Investment Announced in Texas
Google will invest $40 billion in Texas to build new data center campuses, expand AI infrastructure, strengthen energy capacity, and launch workforce training programs. Governor Greg Abbott announced the initiative in Midlothian, Texas, stating it is Google’s largest investment in any state in the United States.
Expansion Across North, West, and Panhandle Regions
According to the announcement, the funding comes through Google’s “Investing in America” initiative. The investment will support the development of new data center campuses across North Texas, West Texas, and the Texas Panhandle. Google also plans to implement programs focused on energy affordability and technical training as AI-related electricity demand increases.
Google and Alphabet CEO Sundar Pichai said the project will bring three new data center campuses to Texas. He stated that the investment will create thousands of jobs, expand skills training for college students and electrical apprentices, and accelerate energy affordability efforts statewide.
Energy Demand and Grid Considerations
The announcement comes as Texas experiences significant increases in energy demand driven by AI and data center operations. AI systems, including OpenAI’s ChatGPT models operating on a Microsoft Azure facility in San Antonio, contribute to the rising electricity load on the state grid. Analysts have warned that Texas data center electricity use could triple within the decade.
Google’s investment includes energy capacity and affordability initiatives designed to support AI development while reducing strain on the statewide power system.
Economic and Infrastructure Developments in Texas
The announcement follows broader economic developments positioning Texas—particularly Dallas—as a national technology and financial hub. The Texas Stock Exchange received U.S. Securities and Exchange Commission approval and is expected to begin trading in 2026. Recent financial and data infrastructure expansions, including the launch of NYSE Texas, accompany Google’s statewide investment.
Google’s Existing Presence in Texas
Google has maintained operations in Texas for more than 15 years, with offices in Austin, Dallas, and Houston, data centers in Midlothian and Red Oak, and a cloud region in Dallas. The company reports that more than 1.62 million Texas businesses use Google tools at no cost and more than 1,046,000 Texans have completed Google digital skills training. Google is evaluating two Texas locations for potential manufacturing sites for TPU- and GPU-based advanced AI systems, planned for establishment by 2027.
The announcement event was attended by U.S. Deputy Secretary of Energy James Danly, Google Global Head of Data Center Energy Amanda Peterson Corio, and additional Google and state officials.