SpaceX announced plans to invest more than $74 billion in AI supercomputing campuses in Cochise County, Arizona, and Starbase, Texas, subject to regulatory approvals.
SpaceX said on Thursday that it plans to invest more than $74 billion to build new data center campuses in Arizona and Texas as the company continues to invest in artificial intelligence infrastructure.
The company plans to spend approximately $50 billion on a campus in Cochise County, Arizona, and more than $24 billion at Starbase in Texas.
In Arizona, the Cochise Supercomputer Campus would occupy approximately 747 acres near Willcox Playa, about 80 miles east of Tucson. The development application proposes up to nine data center buildings, each measuring approximately 493,000 square feet, for a total proposed building area of approximately 4.44 million square feet. The campus would be developed in four phases, each targeting 1.5 gigawatts, for a potential requirement of approximately 6GW of electricity at full development. SpaceX also plans to invest approximately $3.6 billion in electricity infrastructure, including an initial grid improvement allocation of approximately $500 million and a 24GWh battery energy storage system. The company proposes dry-cooling technology and says the campus will not require industrial groundwater extraction.
In Texas, the Starbase project would occupy approximately 444 acres of company-owned land near the Starbase rocket site in the Rio Grande Valley. Unlike the Arizona campus, the Texas facility will integrate a gas-fired power plant with its supercomputing facilities, allowing it to generate its own electricity rather than rely on the public grid.
SpaceX says the Arizona project could create approximately 5,500 construction jobs and 1,000 permanent positions. The company also says the project could reduce electricity bills for cooperative members by up to 20%.
For the Texas project, SpaceX reports that the development has generated more than 3,000 construction jobs and could support more than 500 permanent positions once operational. SpaceX committed $220 million towards water and wastewater infrastructure improvements, including $40 million already provided to the Brownsville Public Utilities Board, according to SpaceX. The wider water infrastructure commitment aims to provide approximately 20 million gallons of additional daily water capacity.
Both projects require approvals before advancing. In Arizona, Cochise County must approve the development’s special-use authorization. A petition containing approximately 2,400 signatures opposes the proposal, and county officials scheduled a public hearing for December 9, 2026. Construction could begin in March 2027, subject to the necessary approvals.
In Texas, the Starbase City Commission will consider a proposed property-tax abatement agreement on December 9, 2026. Brownsville introduced a 90-day moratorium on new data center applications, but the Starbase development falls outside the affected municipal jurisdiction.
The investments represent one of the largest proposed private-sector commitments to AI infrastructure construction in the United States. Their completion depends on regulatory approvals, electricity infrastructure, environmental considerations and coordination with local authorities.
Sources
This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.
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