Jakarta, INTI - Meta Platforms continues its expansion in artificial intelligence (AI) by building large-scale energy infrastructure to support its Hyperion data center in Louisiana. Initially, the company planned only three gas-fired power plants. But this has now increased to 10 with a total capacity of approximately 7.5 gigawatts, enough to power approximately 5 million homes.
The project is being implemented in partnership with Entergy, which will build seven additional plants to be added to the three previously approved projects. Meta has also committed to adding up to 2.5 gigawatts of renewable energy capacity, including battery storage systems.
Investments Reach US$27 Billion
The Hyperion campus, located in Richland Parish, Louisiana, is one of Meta's largest infrastructure projects. The initial investment, announced in late 2024 at US$10 billion, is now expected to grow to approximately US$27 billion with land expansion and additional financing. CEO of Meta, Mark Zuckerberg, stated that the complex will be massive, approaching the size of part of Manhattan.
Meta's Vice President of Data Centers, Rachel Peterson, stated that this project is part of a long-term strategy to strengthen AI infrastructure in the United States. Meta also assured that the company would cover the costs of constructing the power plant, thus avoiding burdening electricity customers.
Despite receiving a positive market response, marked by a 7% increase in Entergy shares, the project is still awaiting regulatory approval. On the other hand, several analysts have highlighted potential long-term risks, particularly if Meta's electricity demand declines in the future, which could trigger a shift in cost burdens after the contract expires.
Conclusion
Meta Platforms is expanding its AI ambitions by building 10 gas-fired power plants to power its Hyperion data center in Louisiana with Entergy, totaling 7.5 GW. The project, initially valued at US$10 billion, is now expected to grow to US$27 billion with the expansion. Although it is still awaiting regulatory approval and faces potential long-term risks if electricity demand declines.
Read more: Rapid Expansion of AI Data Centers Drives High Energy Consumption and Contributes to Global Warming