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Meta’s natural gas binge could power South Dakota

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Why This Matters

Meta's significant investment in natural gas power plants to support its massive data center highlights ongoing tensions between corporate sustainability commitments and reliance on fossil fuels. This move raises concerns about the environmental impact and the true sustainability of tech industry practices, especially as renewable energy options become more affordable and widespread.

Key Takeaways

Data centers have gotten so large that their power demands now rival entire U.S. states. Take Meta’s Hyperion AI data center, for example. When completed, the new AI data center will draw as much electricity as South Dakota.

Last week, the Meta announced it would fund seven natural gas power plants — on top of the three it had already committed to building — to support the $27 billion data center. When combined, the 10 power plants in Louisiana will generate around 7.5 gigawatts of electricity, slightly more than the capacity of the entire Mount Rushmore State.

Like many tech companies, Meta has touted its climate and environmental bonafides over the years. It regularly publishes sustainability reports, and it frequently crows about its renewable energy purchases. It effectively bought a nuclear power plant for 20 years.

Meta’s Hyperion data center site in Louisiana will test the company’s commitments.

Natural gas has been hailed as a “bridge fuel” — build a few natural gas power plants now while renewables, batteries, and nuclear get their legs under them. That’s almost certainly how Meta is justifying the move internally.

But people have been making the bridge fuel argument for decades, and it’s wearing a little thin. Renewables and batteries have plummeted in price while prices for gas turbines have been skyrocketed. Meta has been a leading purchaser of solar, batteries, and nuclear in recent years, which makes the decision to go big on natural gas all the more perplexing.

TechCrunch reached out to Meta. The company did not reply to multiple requests for comment.

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