THE APEX TIMES
Meta and BlackRock strike a $10B+ plan for an El Paso data-center campus to back AI capacity
The venture pairs Meta’s data-center operating know-how with BlackRock’s infrastructure capital, targeting 1 gigawatt of compute capacity and first capacity online in 2028.
Meta is partnering with BlackRock to finance, develop, and operate a new data-center campus in El Paso, Texas, aiming to accelerate the infrastructure needed for its artificial intelligence roadmap. Meta said the venture will be structured so that Meta is the initial sole occupant of the campus when it is completed, and it expects the capacity to begin coming online in 2028.
The partners said the project is already under construction and is designed to deliver 1 gigawatt of compute capacity, which Meta described as essential to bringing its AI technologies to life and supporting both faster AI model progress and enhancements to its core services. Meta will provide construction management, administrative, and property management services for the campus, according to the announcement.
Meta said the El Paso facility represents an investment of more than $10 billion from Meta, supporting more than 4,000 construction jobs at peak and about 300 operational jobs once the campus is complete. The company also said more than 2,300 workers are already onsite.
Under the ownership and funding structure described by Meta and BlackRock, BlackRock funds will own 80% of the venture and Meta will retain 20% ownership. The partners committed to fund their pro rata shares of roughly $14 billion in total development costs for the long-lived power, cooling, and connectivity infrastructure and the buildings at the campus.
Meta said that at financial close it will contribute land and construction-in-progress assets valued at approximately $2.3 billion, while BlackRock will provide a cash contribution of approximately $4.9 billion. Meta will also receive a one-time distribution of about $1 billion to align ownership stakes with the 80/20 split. The companies added that a portion of BlackRock’s investment will be funded with proceeds from $12.5 billion of debt financing.
To secure long-term use of the capacity, Meta will enter into lease agreements with the venture covering the entire campus. The leases are set with a four-year initial term plus four options to extend. Meta will also provide residual value guarantees, with an aggregate threshold of approximately $13 billion that decreases over time, and a described mechanism for potential maximum payments if specific conditions are met during the first 16 years.
The announcement also tied the project to workforce and community programming. Meta said the site is part of America’s Workforce Academy, a free trades training program that guarantees a job upon graduation with a Meta partner at one of its data-center sites. Meta also said it provided a $500,000 grant to El Paso public schools for workforce development and STEM and skilled-trades pathways, and it will continue partnering with local nonprofits on water restoration projects.
On the financing side, BlackRock said it is supporting workforce development in Texas through Future Builders, an initiative funded by The BlackRock Foundation. It described a nearly $30 million investment intended to train more than 12,000 electricians over three years, which it linked to workforce needs created by rising demand for energy, infrastructure, and data-center development.
Still, key commercial details remain outside the public summary. While Meta described the lease structure and the scale of development costs and ownership splits, it did not disclose the expected economics for each party, the specific capacity ramp schedule by data hall or phase, or the terms that would govern how quickly Meta’s demand for compute translates into additional commitments beyond the initial campus plan. The partners said the transaction is expected to close in the coming days, and that the venture expects to begin bringing capacity online in 2028, but they did not provide further timing for later expansion.
The deal underscores how major AI infrastructure buildouts are increasingly blending operating expertise with long-term capital from specialized investment managers. For Meta, the partnership is designed to give it “speed and flexibility” in scaling its Meta Compute strategy, while for BlackRock it positions its infrastructure and private financing platform at the center of energy-intensive, mission-critical data-center demand. What to watch next is whether additional capacity phases or similar partnerships follow, and whether details of the lease economics and residual value guarantees emerge as the transaction moves toward closing and financing implementation.
Why It Matters
- AI infrastructure builds are increasingly tied to large-scale capital partners, not only to operators funding projects directly.
- For Meta, the El Paso campus is positioned as capacity that can accelerate AI model development and support broader product enhancements, making infrastructure timing a strategic variable.
- For the infrastructure and private-capital ecosystem, the deal highlights how investment managers are moving deeper into long-duration, energy- and power-dependent assets.
- Large compute projects like this can reshape local job markets, but the long-term impact depends on whether the planned capacity ramp matches demand.
Sources
Key Facts
- Meta and BlackRock announced a venture to finance, develop, and operate a data-center campus in El Paso, Texas.
- The campus is under construction and is designed to provide 1 gigawatt of compute capacity, with capacity expected to begin coming online in 2028.
- Meta will be the initial sole occupant and will provide construction management, administrative, and property management services for the campus.
- BlackRock funds will own 80% of the venture and Meta will own the remaining 20%, with each contributing pro rata shares of roughly $14 billion in total development costs.
- Meta said its investment is over $10 billion, supporting more than 4,000 construction jobs at peak and about 300 operational jobs once complete.
- Meta will lease the entire campus under four-year initial terms with extension options, and it will provide residual value guarantees with an aggregate threshold of about $13 billion that decreases over time.
Technology Related
A 20-hours-a-week Amazon warehouse job re-enters the retirement-health debate for workers approaching Medicare
A new personal-finance analysis argues that part-time work hours at Amazon could be a lever for people trying to bridge the gap to Medicare, with the key math depending on how health coverage and pay interact.
Yahoo Finance timeline recap frames Palantir as both a national-security disruptor and a lightning-rod
A new history-style roundup from Yahoo Finance revisits how Palantir built its business around data integration and defense-focused software, while highlighting the controversies that have followed the company into mainstream attention.
Yahoo Finance Column Flags Palantir as a “Bright Future” Stock Trading at a Premium
An opinion piece on Palantir’s shares argues the company’s long-term prospects remain attractive, but cautions that the market price already reflects optimism.
Nvidia shares rise about 13% in 2026, hovering near $214 amid investor focus on AI chip demand
A recent market check shows Nvidia stock up roughly 13.4% for the year, with the shares recently trading around $214.
Motley Fool lays out bullish scenario for Broadcom, tying the outlook to AI chips
A new analysis of Broadcom’s growth path argues that the company’s AI-related chip business could drive outsized gains over the next few years, framing the argument through what a $10,000 investment might look like by 2028.
$10,000 in Apple: a Yahoo Finance-linked projection targets long-range value by 2031
A market commentary circulating through Yahoo Finance argues that even if Apple’s growth profile has cooled, a long holding period could still produce meaningful returns by 2031. The case depends heavily on assumptions that were not detailed in the post itself.
Apple shares hit a record close before its Nov. 2 report as attention turns to whether paid upgrades for Siri AI could change the earnings outlook
The stock’s latest run-up came as investors weigh what Apple might monetize next, with a market focus on potential “extra Siri” AI features that could be offered for an additional charge.
Apple’s $1,999 Foldable iPhone Sells Out Quickly as Delivery Timeline Slips Into January, Report Says
A market report says demand for Apple’s first foldable iPhone overwhelmed initial supply, with confirmed orders pushing deliveries into late January. The timing could ripple into how Apple’s next two earnings periods look.
Apple and Nvidia each reportedly gave $25 million to Trump’s White House ballroom, but the president’s name does not appear on the donor list
A reported wave of large corporate contributions tied to a controversial White House venue is renewing questions about conflicts of interest and transparency, even as the president’s own name is said to be absent from the published donor roster.
Martin Shkreli Touts Photonic Chips as a Potential Threat to Nvidia’s AI Dominance
The outspoken financier pointed to three private photonics-focused startups he believes could challenge Nvidia’s position in AI hardware, arguing that computing via light could deliver a decisive speed advantage.