Eric Schmidt-backed data center venture is negotiating a major deal with Google (www.businessinsider.com)

Bolt, a data center development firm co-founded by former Google CEO Eric Schmidt, is in discussions with Google for a significant deal to anchor a new data center campus in West Texas. The proposed project could initially start with a 250 megawatt facility and plans to expand up to 5 gigawatts, seeking to leverage abundant resources for power and cooling found on Texas Pacific Land Corporation land, an investor in the venture. This move comes amid record investments from major tech companies, including Google, which is set to increase its capital expenditures on AI infrastructure to approximately $185 billion in 2026. The significance of this development lies in the increasing competition among Big Tech players to secure essential infrastructure to support the growing demands of AI and machine learning. High-profile projects like Bolt's are crucial, as they focus on mitigating the risks related to power and water constraints that have become more pronounced amid the surge in data center construction. In addition, the ongoing negotiations reflect the strategic importance of establishing robust AI capacity to maintain competitive advantages in a rapidly evolving tech landscape.