Meta's $10 Billion-Plus Texas Data Center Hits Political Pushback

Meta Platforms (NASDAQ:META) ran into political resistance in Texas on Thursday over its planned El Paso data-center campus, which is budgeted at more than $10 billion. Shares were trading at $611.62.

Reuters reported that Governor Greg Abbott wants tougher restrictions, fewer incentives and tighter limits on rural development, with lawmakers from both parties increasing pressure on Big Tech's expansion. The state has approved no additional grid hookups since an August 3 audit.

The project plan calls for one gigawatt of computing capacity, with the first phase expected online in 2028. Meta will initially occupy the entire facility. Construction could support more than 4,000 jobs at its peak, followed by roughly 300 permanent positions.

The disclosed investment equals at least 7.3% of Meta's $137.5 billion annual capital-expenditure midpoint, though construction will span multiple periods. The company spent $31.08 billion on capital expenditures last quarter while generating $784 million in free cash flow.