AI Data Center Developer Crusoe Sells Unfinished Wyoming Project to Google, Which Plans $17 Billion Investment
Google takes over Crusoe's Wyoming AI data center project, highlighting execution challenges for independent developers.
Crusoe, a Denver-based AI data center developer founded eight years ago, confirmed that it has sold an unfinished data center project in southeastern Wyoming to Google. The site was initially planned in partnership with Blackstone-backed infrastructure company Tallgrass, with ambitions to eventually scale to 10 gigawatts of power capacity.
According to TechCrunch, Google had previously attempted to become a customer for the project but raised concerns about costs and construction timelines under Crusoe’s management. This acquisition marks Google taking direct control of the site's development. While Google did not disclose the purchase price paid to Crusoe, it announced plans to invest $17 billion to develop the data center campus.
The deal underscores the difficulties independent data center developers face in delivering massive projects on time and within budget, citing challenges such as securing equipment, power availability, and growing local community opposition. Notably, Crusoe has not lost all business with Google; the company is still developing another data center for Google near Amarillo, Texas.
Crusoe recently completed a $3.9 billion funding round, valuing the company at $30.9 billion. Its business model involves leasing data center space, renting GPUs, and selling inference compute. Beyond the Wyoming site, Crusoe is building campuses for Oracle and OpenAI in Abilene, Texas, and a separate 900-megawatt campus for Microsoft.