Microsoft Partners with Crusoe and Entergy to Expand AI Data Centers in Texas and Louisiana

Meta plans to fund seven new natural gas power plants in Louisiana to power its biggest data center. Microsoft and Crusoe Data team up at the Abilene, Texas campus, adding 900MW capacity with a target mid-2027 completion date.

META announced a massive data center project in Louisiana, which could become its largest facility to date, with a total power consumption capacity of 5,200 megawatts. Entergy Louisiana will help fund local energy infrastructure for the data center, covering the full service costs, which is expected to save customers $2 billion. The project underscores the enormous energy appetite of AI-driven data center expansion and the growing role of utility partnerships in enabling it.

MSFT is separately partnering with Crusoe Data to expand AI computing capacity at Crusoe's Abilene, Texas campus. Microsoft has leased 900 megawatts of capacity from Crusoe, with the expansion expected to reach completion by mid-2027. The deal demonstrates Microsoft's commitment to scaling its AI infrastructure beyond its own facilities, tapping specialized data center operators to accelerate deployment.

Taken together, these deals illustrate the accelerating race among tech giants to secure power and compute capacity for AI workloads. With both Meta and Microsoft committing billions to new infrastructure across the southern United States, the data center buildout is becoming a significant driver of regional economic activity and energy demand. Investors in the AI supply chain, from power utilities to chip makers, stand to benefit from this sustained capital expenditure cycle.