Meta has announced a new strategic venture with BlackRock to develop a data centre in El Paso, Texas.
The data centre campus, which is currently under construction, will have one gigawatt of compute capacity and seeks to play a critical role in bringing Meta’s AI technologies to life. Meta said it hopes the facility will accelerate progress on its AI models and support enhancements to the core business. It added that it will be the initial sole occupant of the campus upon completion and expects to bring capacity online in 2028.
BlackRock, alongside Global Infrastructure Partners (GIP) and HPS Investment Partners seek to complement Meta Compute’s strategy, where the social media giant pairs its infrastructure expertise with capital partnerships that deliver AI ambitions faster and at scale.
“Building the infrastructure for superintelligence is key to making sure the benefits of this technology are distributed to everyone,” said Mark Zuckerberg, founder and CEO at Meta. “Our partnership with Larry and the team at BlackRock allows us to move faster and at greater scale – pairing our deep expertise in designing and operating world-class data centres with one of the world’s leading infrastructure investors.”
Meta said it’s investing US$10 billion into the El Paso data centre, supporting more than 4,000 construction jobs at the peak of the project and 300 operational jobs once complete. Currently, the company said that 2,300 workers are on site.
It added that it’s partnered with local nonprofit organisations to support water restoration projects that boost water supply, enhance water quality, provide safe drinking water and help restore local habitats. This news comes as Texas residents have expressed concerns over limited water planning and minimal oversight of data centre sites across the state, leaving many communities unaware of construction plans until they are already underway.
Notably, the Houston Advanced Research Center (HARC) has found that data centres could use as much as 2.7% of the state’s total water by 2030 – although have acknowledged that the real figure could be higher by this time, given the pace of innovation.
To invest in the El Paso community, Meta said the site is also part of America’s Workforce Academy, where participants are guaranteed a job when they graduate. $500,000 has been granted to El Paso public schools by Meta to support workforce development by connecting students with practical, real-world learning experiences and career pathways in STEM.
Funds managed by BlackRock will own an 80% interest in the venture, while Meta will retain the remaining 20% ownership.
“We’re excited to partner with Mark and the Meta leadership team on the El Paso data centre campus, which will create thousands of skilled jobs and help drive economic growth in the local community,” said Larry Fink, chairman and CEO of BlackRock. “Companies around the world are looking for long-term strategic partners to help develop their most important projects, and BlackRock is built to meet that need.”
He added: “This transaction highlights the strength and scale of our combined capabilities with GIP and HPS and how we can offer clients compelling investment opportunities at the centre of AI infrastructure and energy.”
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