Meta and BlackRock partner on Texas data center

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Meta and BlackRock partner

Highlights

Meta and BlackRock launched a $14 billion data center venture.
BlackRock funds will own 80% of the project.
Meta will retain the remaining 20% stake.
The campus will be built in El Paso, Texas.

According to Reuters, the companies announced Tuesday that BlackRock-managed funds will acquire an 80% stake in the joint venture, while Meta will retain the remaining 20%. The campus will be built in El Paso, Texas, where Meta had previously unveiled plans for a multibillion-dollar data center as part of its rapidly expanding AI infrastructure network across the United States.

AI investment push attracts institutional capital

The agreement reflects a broader shift in how major technology companies are funding increasingly expensive AI infrastructure. As demand for computing power accelerates, the scale of investment required for data centers has reached levels that often exceed what companies prefer to finance entirely from their own balance sheets.

Meta has emerged as one of the industry's most aggressive investors in AI infrastructure. The company recently announced plans to invest up to $600 billion by 2028 to expand its data center footprint and accelerate development of what it describes as personal superintelligence technologies.

The El Paso campus forms part of that strategy. Meta currently has 28 data centers either operating or under construction across the United States, with several designed to deliver gigawatt-scale computing capacity capable of supporting increasingly complex AI models and services.

El Paso becomes a key AI hub

The Texas project is expected to become one of Meta's largest infrastructure investments to date. Earlier plans valued the El Paso campus at more than $10 billion, but the new partnership raises total development costs to approximately $14 billion.

The company said the additional investment will help expand computing capacity needed to support future AI products, including its Meta AI assistant, image-to-video advertising tools, and AI-powered smart glasses.

The agreement also demonstrates BlackRock's growing involvement in digital infrastructure, an asset class that continues to attract institutional investors seeking long-term returns from the rapid expansion of cloud computing and artificial intelligence.

AI infrastructure spending continues to accelerate

The partnership illustrates how AI is reshaping investment strategies across both the technology and financial sectors. Building advanced AI models requires enormous computing resources, pushing companies to construct larger facilities while seeking external capital to share development costs.

Meta's broader infrastructure program already includes multiple gigawatt-scale campuses, including a major project in Louisiana expected to exceed $50 billion in investment over time. Together with the new Texas venture, these projects underline the industry's expectation that demand for AI computing capacity will continue rising for years.

We also reported Nvidia considers $250 billion support for OpenAI project.

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