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The haste to capitalize on the buzz around AI has go tech companies to dramatically expand their data center footprints . That ’s been good news program for company like Nvidia , but it has also conduce to unprecedented growth in the exponent industry .
unexampled and expatiate information centers are expected todouble the sector ’s power demandby 2029 , according to JLL . As a result , developer and tech companies have been work extra time to lock in capacity . Nuclear and rude flatulence have receive rise from the calculate need , but few technologies have benefited in the near term like solar .
Though solar superpower suffers from what experts call intermittence — it wo n’t create if the Lord’s Day is n’t smoothen — the upsides have been so significant that company have been inking large deals at a rapid pace .
Unlike advanced atomic reactor , which have yet to be deployed at commercial scale , solar power is proven technology . And unlike young born gas power plants , which take age to plan and construct , the mediocre completion time for a new solar farm isabout 18 months . Plus , it ’s one of the lowest - price author of new generating capacitance .
Since the starting line of 2025 , tech fellowship and datum nerve centre operators have backed 12 solar deals , each contribute more than 100 megawatt of capacity to the grid .
January
Meta kick off the year with a200 - megawatt solar dealwith multinational electric utility Engie . The purchase went toward a solar farm near one of the society ’s existing data center in Texas . At the time of the mountain , Meta already had over 12 gigawatts of generating capability in its renewable portfolio .
Later in January , the Stargate AI partnership between OpenAI , Oracle , and SoftBank Group was reported by Bloomberg to bepowered , at least in part , by solar . SB Energy , which is part of SoftBank ’s portfolio , is expected to develop solar installment backed by grid - scale batteries .
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Meta closed out the month withanother massive solar deal , this one with Spanish renewable developer Zelestra . The contract was for 595 megawatts of capacitance .
February
Meta continued its run in February , clothe in a505 - megawatt solar projectwith Cypress Creek Renewables , which is developing the massive installation in Coleman County , Texas — about 150 miles northwest of Austin .
Microsoft entered the fray in February , too . The company has long been a buyer of renewable vitality to power its procedure , andadded another 389 megawattsof solar in a deal with EDP Renewables North America . The contract covers three dissimilar solar farms , two in Illinois and one in Texas . The purchases have helped Microsoft detain on top of its pledge to power its trading operations using zero carbon might .
Amazonalso made a big purchase , bet on a hybrid labor on the Iberian Peninsula that includes steer , solar , and pumped - hydroelectric storage . The business deal included 476 megawatt total , of which 212 megawatts are solar .
Outside of the U.S. , data shopping centre operators have also been investing in solar . In India , CtrlS built its own125 - megawatt facilityin two phase , the first one-half of which was terminate in June 2024 with the second completed in other February . In South America , Telecom Argentina agreed to purchase electricity from a130 - megawatt solar farmdeveloped by MSU Green Energy .
March
Microsoft sum up another three solar developments in March , again focalise on the Midwest . The projects span Illinois , Michigan , and Missouri , and they ’re being produce by AES . Together , they will provide Microsoft with 475 megawatts of capacity , bestow to its considerable 34 - gigawatt portfolio .
Cisco get in the secret plan with a100 - megawatt dealwith X - Elio , a solar developer have by Brookfield , an asset managing director that hasbet bigon renewables . The tycoon purchase agreements see Cisco buying capacity from two different Texas solar projection .
Meta add another 200 megawatt of solar to its portfolio in March ina deal with RWE . The solar farm will be built just southeast of Austin .
In Italy , data center operator Data4 signed a10 - twelvemonth dealwith public utility Edison Energia to corrupt major power from a 148 - megawatt solar farm nor'-west of Rome .
More deals likely
As technical school companies raceway to add AI to seemingly every product and potential market , data centers have been expanding to keep rate . That ontogenesis ask top executive , and few engineering science are as well positioned as solar power .
utility program - musical scale solar is alreadyone of the cheapestforms of new generating capacity without counting subsidies , undersell everything except onshore lead . It ’s also prompt to deploy and can be commissioned in phases , allowing information centers to draw powerfulness before the entire project is end up .
Those qualities have combined to give solar a near - term reward , racking up deals with self-aggrandizing technical school companies and data center developer . It ’s a trend that ’s probable to remain .
