Amazon to spend $20B on data centers in Pennsylvania, including one next to a nuclear power plant

From Yahoo Finance: 2025-06-09 10:16:00

Amazon is investing $20 billion in two data center complexes in Pennsylvania, one next to a nuclear power plant. The second will be in Fairless Hills. Gov. Josh Shapiro calls it the largest private sector investment in the state’s history. Critics question the long-term job creation impact, but supporters highlight the boost in construction jobs and tax revenues.

Pennsylvania will provide incentives for Amazon’s data center project, including $10 million for training programs. Amazon will also qualify for a sales tax exemption on equipment purchases. The state is competing with others for large data center installations. Big Tech’s investment in data centers in Pennsylvania has been growing.

The majority owner of the Susquehanna nuclear power plant sold its data center and land to Amazon for $650 million. The deal will provide 960 megawatts of electricity, with a connection called a “behind the meter” arrangement. The Federal Energy Regulatory Commission is reviewing the power-supply arrangement, which could impact development timelines for data centers.

Microsoft also has a deal with a nuclear power plant owner to supply energy to its data centers. The owners of a former coal-fired power plant plan to turn it into a natural gas-powered data center campus. The rapid growth of cloud computing and artificial intelligence has increased demand for energy-hungry data centers.



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