Meta Platforms strikes geothermal energy deal with Sage Geosystems to power US data centers
Adds project timeline, background on U.S. government talks, paragraphs 3-6
Aug 26 -Facebook owner Meta Platforms META.O struck a deal to buy up to 150 MW of geothermal power from Sage Geosystems to supply its U.S. data centers, it said in a statement on Monday, as it races to build out the infrastructure to support its massive investments in energy-hungry artificial intelligence.
The first phase of the project should be operational by 2027 and should "significantly" expand the use of geothermal power in the United States, the social media company said.
Meta's announcement, made as part of a U.S. Department of Energy event on geothermal development, comes as President Joe Biden's administration is asking big technology companies to invest in new climate-friendly power generation to cover their surging electricity demand.
That surge has been driven by the adoption of technologies like generative AI that require power-hungry data centers. This development could complicate Biden's target of decarbonizing the power sector by 2035 to fight climate change.
A Meta spokesperson told Reuters the company expected the Sage Geosystems energy to be part of the grid, rather than directly supplying any specific data center.
Financial terms of the deal were not disclosed.
Reporting by Katie Paul in New York
Editing by Matthew Lewis
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.