Meta and BlackRock Form $14 Billion Venture for Texas AI Data Center

Meta Platforms and BlackRock will jointly build a 1-gigawatt artificial intelligence data center in El Paso, Texas. BlackRock-managed funds will own 80% of the venture, and Meta will lease the campus once construction wraps in 2028.

The companies announced the deal Tuesday, shifting Meta's infrastructure costs off its own balance sheet and onto private investors. Meta will contribute land and assets already under construction, while BlackRock funds the buildout in cash and debt.

Financing Splits Risk Between Meta and BlackRock

Under the agreement, BlackRock-managed funds and Meta will fund the roughly $14 billion project according to their 80/20 ownership split. Meta will hand over land and construction-in-progress assets worth about $2.3 billion. It will then collect a separate $1 billion payout to balance the ownership math. BlackRock will add its own $4.9 billion in cash. A further $12.5 billion in debt financing, raised separately, will cover the rest of BlackRock's side of the deal.

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