Key points
- Google acquires Crusoe's Wyoming data center site
- Google plans its first Wyoming data center
- Crusoe remains Google's developer in Texas
Google (GOOGL) has acquired Crusoe's data center site in southeast Wyoming, the startup said on Nov. 6, ending its role in a campus it pitched last year at 1.8 gigawatts with room to grow to 10 gigawatts. Crusoe didn't disclose the terms.
Google announced its first Wyoming data center on Nov. 5 as part of a stated $17 billion long-term investment in the state, with partners Tallgrass Energy, Black Hills Energy (BKH), American Electric Power (AEP), and Related Digital. The price it paid for the site wasn't disclosed.
Bloomberg reported that Google took on the project itself after Crusoe failed to lock in customers. Crusoe's release doesn't address that. It says the transaction marks the completion of its pre-development work on site selection, governmental approvals, and power strategy.
Project Jade became Project Tembo
Google's involvement became public in July, a month after Black Hills said Crusoe was no longer the development partner.
| Date | What happened |
|---|---|
| July 2025 | Crusoe and Tallgrass announced a 1.8-gigawatt campus, reportedly designed to expand to 10 gigawatts. |
| June 9, 2026 | Crusoe said it had paused work at its customer's request. |
| June 10, 2026 | Black Hills said Crusoe was no longer the development partner. It said power service remained on track for early 2028. |
| July 2026 | Google was identified as the company behind the campus. |
| Oct. 6, 2026 | Black Hills said it signed agreements to serve Google's planned data center. |
| Nov. 5, 2026 | Google announced the data center and a $17 billion long-term investment in Wyoming. |
| Nov. 6, 2026 | Crusoe said Google had acquired its site. |
The customer accounts aren't entirely clear. Crusoe didn't name the customer it referred to in June. Reports at the time said customers including Google had raised concerns about cost and construction time. Black Hills also said in June that it was working directly with the hyperscaler customer, which had provided over $200 million in refundable contributions toward generation equipment.
This week's report says Crusoe failed to lock in customers. The accounts we've read don't explain how those details fit together.
An earlier site application for the 716-acre parcel south of Cheyenne called for four data halls, with construction finishing by 2031. Google's announcement didn't give a capacity or completion date. Black Hills said in October the project is expected to be served by 2.7 gigawatts of resources, including reserve margins, and to begin taking energy in late 2027, reaching peak load in 2030.
Google's power plan leans on fuel cells and gas
Google says the project is contracted with American Electric Power for a 702-megawatt fuel cell development with carbon capture. Bloom Energy (BE) will make the fuel cells, which run on natural gas. Google will also buy power from gas generators run by Tallgrass and Black Hills. Black Hills plans to invest $1.8 billion in 564 megawatts of new gas generation for the project.
The announcement came two days after voters backed data center limits across the US. Google addressed two common concerns about data centers: power costs and water use. Google says it will pay for all the power it uses and cover the infrastructure needs its growth creates. Black Hills says its agreements are structured so Google bears all costs of serving the data center. Google says the site will be air-cooled to limit strain on local water. Google described the aim as building data centers "the right way."
Much of the plan predates the vote. Google's power purchase agreement with American Electric Power was signed last month, Black Hills' agreements took effect on Sept. 30, and Crusoe's release says the hybrid power strategy was developed with Tallgrass.
Crusoe is still working with Google in Texas
Crusoe's role differs by site. In Wyoming, Google now owns the site and Crusoe's work ended with pre-development. In Texas, Crusoe's release says it's the developer of Google's campus under construction in Armstrong County, outside Amarillo. "Crusoe's pre-construction efforts - origination, entitlement, and de-risking - have set up the Wyoming project for construction and eventual operation," CEO Chase Lochmiller said.
Crusoe says it has more than 6 gigawatts contracted and over 40 gigawatts in its pipeline. It's privately held, and our AI debt tracker lists its disclosed financings.
Crusoe's announcement came the same day as reports that Microsoft is winding down an AI rental from Oracle and cutting back its neocloud partners.
