Five Data Centers For Just $400 Billion

By Douglas McIntyre  •  September 26, 2025
Hyundai Motor Group Pexels

A consortium of several tech and financial companies will open five data centers at a cost of $400 billion. Most, if not all, will be in rural areas. Industry leader OpenAI is leading the effort. Japanese tech investor and tech giant Oracle will also be major participants.

The centers will be in Lordstown, Ohio; Shackelford County, Texas; Milam County, Texas; Doña Ana County, New Mexico; and location in the Midwest., There are news reports that a large data center will be built in central Michigan.

Two hurdles have arisen regarding these data centers. The first is how they will be funded. The other is where they will get their electricity. 

There appear to be ample numbers of institutional investors willing to offer debt, but probably not buy equity., Equity is not liquid. Banks can negotiate favorable conditions, which include their position on the cap table. 

Bank Loans

A look at each of these locations does not reveal whether a significant amount of electricity is available. It is possible that OpenAI plans to develop renewable energy sources. They would either have to be close to the facilities or connect to the grid. Given the massive amount of electricity that will be needed, grids could be an issue.

Finally, electricity bills are rising across the country. In some cases, the increase in some states last year was over 25%. The price of electricity will not just be an economic one. It will be thrown into the mix in the upcoming elections. Residents do not want to pay for huge data centers.

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