Meta partners with Blue Owl Capital on $27 billion AI data center project

Core Insights - Meta Platforms Inc. has entered a joint venture with Blue Owl Capital valued at $27 billion to develop a significant data center in Louisiana [1][2] - Blue Owl will hold an 80% stake in the joint venture, while Meta retains 20% and will manage construction and property services [2] - The partnership aims to provide Meta with the necessary resources to support its long-term AI initiatives [3] Financial Details - Blue Owl contributed approximately $7 billion in cash to the joint venture, and Meta received a one-time payment of $3 billion [2] - The total investment in the data center project is part of a broader trend where tech companies are heavily investing in AI infrastructure [4] Project Specifications - The data center will be located in Richland Parish, Louisiana, covering an area equivalent to about 1,700 football fields, with completion expected by 2030 [3] - The facility is projected to consume electricity comparable to twice that of New Orleans on peak days [4] Industry Context - Meta's investment comes amid a competitive landscape where other tech giants like Alphabet and OpenAI are also developing large-scale data centers for AI [4][5] - OpenAI, Oracle, and Softbank have formed a joint venture to invest $500 billion in data centers, highlighting the industry's focus on AI infrastructure [5] - Google has announced a $15 billion investment in a data center project in India, further emphasizing the global race for AI capabilities [5]