Meta's Louisiana data center investment to reach $50 billion, aided by generous tax incentives

Meta said the planned Hyperion data center supercluster in Richland Parish, Louisiana, will be a 5GW data center and cost over $50 billion. That's higher than the $27 billion figure that was revealed in October, when Meta and Blue Owl Capital formed a joint venture to help with the buildout and management of the facility. Meta and its hyperscaler rivals are taking advantage of tax rebates and energy deals being offered by states that are fighting to get a piece of the AI boom. Meta's massive Hyperion data center project in rural Louisiana is getting much bigger and costlier, with a big assist from the state's government. The company said in a blog post on Monday that the site in Richland Parish, Louisiana — home to what will be Meta's largest data center — will be a 5GW facility and cost over $50 billion. That's higher than the $27 billion figure that was revealed in October, when Meta and Blue Owl Capital formed a joint venture to help with the buildout and management of the facility, originally planned as a 2GW data center. As Meta pursues its multi-hundred-billion-dollar buildout artificial intelligence buildout, the company and hyperscaler rivals Microsoft, Alphabet and Amazon are taking advantage of tax rebates and energy deals being offered by states that are fighting to get a piece of the AI boom. In late 2024, Louisiana Republican Governor Jeff Landry signed into law a 20-year sales tax exemption for data centers built before 2029 as part of an effort to court Meta in the state, CNBC previously reported.