Meta has secured a $27 billion deal with Blue Owl Capital for a data center project in Louisiana to support AI ambitions. The majority ownership will be with Blue Owl, contributing $7 billion cash. The Hyperion data center aims to deliver 2 gigawatts of compute capacity for AI tools like ChatGPT and Google Gemini.

Tech giants like Meta, Microsoft, and others are set to spend $400 billion on AI infrastructure this year. OpenAI also signed deals worth over $1 trillion for 26 gigawatts of computing capacity. Meta’s finance chief sees the deal as a bold move, expecting over 500 jobs to be created once the project is live.

The partnership with Blue Owl allows Meta to mitigate risks and reduce capital expenditure, freeing up resources for other AI projects. This move minimizes debt and prepares Meta for potential shifts in the AI landscape. The deal signals Meta’s commitment to expanding AI infrastructure and staying competitive in the industry.

Read more at Yahoo Finance: Meta in $27 billion financing deal with Blue Owl Capital for Louisiana data center