The investment marks the latest move from Google to boost its infrastructure sustainability credentials
Google-owner Alphabet is buying data center and energy firm Intersect in a deal valued at $4.75 billion.
The move comes amid a race to rollout data centers – and the energy systems required to power them – to fuel AI.
In the last year alone, data center investment topped $61bn, though concerns continue over whether energy systems will be able to keep up with demand.
As part of the deal, Alphabet will acquire the $15bn in data center and energy assets Intersect already has in operation or is working to build, Reuters noted, adding that by 2028 Intersect had planned to have 10.8 gigawatts of power either up and running or in development.
“Intersect will help us expand capacity, operate more nimbly in building new power generation in lockstep with new data center load, and reimagine energy solutions to drive US innovation and leadership”, said Sundar Pichai, CEO of Google and Alphabet.
Google already owns a minority stake in Intersect. However, moving forward Alphabet said Intersect would operate separately from itself and Google, keep the company brand, and continue to be led by CEO Sheldon Kimber.
The aim is for Intersect’s team to work closely with Google’s technical infrastructure division on joint projects, including a data center and power site already under construction in Haskell County, Texas, the duo said.
