Amazon Invests $20 Billion in Pennsylvania Data Centers Amid Nuclear Power Deal Scrutinized
HARRISBURG — Amazon announced on Monday its plans to invest $20 billion in two new data center complexes in Pennsylvania, one positioned next to the Susquehanna nuclear power plant, a project that has drawn federal attention due to its innovative power procurement arrangement. The other facility will be located in Fairless Hills, near Philadelphia, on a site formerly occupied by a U.S. Steel mill.
Kevin Miller, vice president of global data centers at Amazon Web Services, confirmed the significant investment, which Pennsylvania Governor Josh Shapiro hailed as the largest capital investment in the state’s history. This announcement adds to the substantial flow of investments from major tech companies into Pennsylvania’s infrastructure, aimed at keeping pace with rising demand in artificial intelligence and cloud computing.
Amazon’s aggressive infrastructure plans come during an era of rapid growth for data centers fueled by increased demand for AI products. The arrangement at the Susquehanna plant, where Amazon’s $650 million purchase of data center capacity aims to secure 960 megawatts of energy—enough to power over half a million homes—has raised questions at the federal level. The Federal Energy Regulatory Commission (FERC) has blocked the deal on procedural grounds, sparking debates about the implications for power availability for other customers and the regulatory fairness for large energy consumers.
Tech companies like Microsoft are also making similar moves, recently announcing agreements to restart a reactor at the Three Mile Island plant for data center energy. In a parallel development, plans are underway to convert Pennsylvania’s largest coal-fired power site into a natural gas-powered data center campus, reflecting a broader trend of transforming energy landscapes to meet tech industry needs.
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