Google Affiliate to Build $10 Billion AI Data Campus in Arkansas

There is a massive economic and technological revolution afoot in West Memphis, Arkansas, in the form of a $10 billion data center project by Groot LLC, speculated for years to be backed by Google. Although the technology giant has not officially made any announcement, the size and nature of the infrastructure are identical to past hyperscale data projects done by Google. The project is also being considered as the biggest private investment in state history, trumping U.S. Steel's record-setting $3 billion plant.

The campus will be spread out over 1,200 acres, of which 580 acres will be for the primary campus. It will be equipped with five hyperscale data centers, internal highway infrastructure, office buildings, a large stormwater system, and a dedicated 500/230 kV utility substation. Construction activities will be managed by Turner Construction and Yates Construction, both experienced at building large-scale infrastructure for large technology companies. Around 300 construction jobs are expected to be generated, with additional permanent jobs predicted once operational.

The facility is a part of Google's global investment strategy, with the firm to commit $75 billion to AI-related infrastructure in 2025. The West Memphis data campus will be well-placed to play an instrumental part in creating AI processing capacity, such as machine learning, cloud service, and high-end data analytics. The building will feature a $142 million substation built by Entergy Arkansas to power the power-guzzling facility. The centre will also have water-cooled systems that will be efficient and able to draw from the Mississippi River valley aquifers. The project also aligns with Google's ambitions to go net-zero carbon by 2030, as part of its overall climate sustainability strategy.

Policy support has been robust at the state and local levels. West Memphis governments have signed a Memorandum of Understanding (MOU) and a Payment-in-Lieu-of-Taxes (PILOT) agreement with Groot LLC. The deals are potentially worth as much as $50 billion in tax abatements in the long run, a testament to the strategic importance given to this project by state policymakers. This support is commonly viewed as a bid to bring yet more investment and make the state a desirable location for digital infrastructure.

The broader economic impact of the project is anticipated to be widespread. Beyond new employment and building activity, the project is anticipated to stimulate clean energy investment and growth in Arkansas' supply chains. It is also anticipated to cause the establishment of skills development programs and training, allowing local inhabitants to engage in emerging tech industries. This growth can also make West Memphis a major hub in the growing network of AI infrastructure in the United States.

With the growth of the economy around it, the data campus also indicates the increasing energy consumed by AI. The level of infrastructure to cater to AI services continues to increase, and places such as West Memphis's are the increasing demand for efficient and capable data processing centers. In addition to bringing economic benefit, the projects also lead to conversation about sustainability, water use, and local energy load on energy—that is, good development is at the top.

In this endeavor, Arkansas is moving into the vanguard of the emerging digital economy, its transformation from an historically industrial state into a participant in the global AI and technology industry. The state leadership and policy initiative coupled with Google's projected investments place West Memphis on the path to becoming a contributing stakeholder of the new AI ecosystem in the United States.

Source
From "Google Affiliate to Build Giant AI Data Campus in West Memphis" on KnowESG, 10 June 2025. Content courtesy: KnowESG & We Are Memphis.