US Tech Giants Eye Argentina as Data Center Backlash Grows

IndustryMacro Impact 4
โดย Yahoo Finance·ARUS·Read original
Summary · why it matters

US tech giants including Meta Platforms and Alphabet are increasingly looking to Argentina's Patagonia region for large-scale data centers as community resistance to domestic projects escalates. Yorkville Ives partner Dan Ives estimates that between 1,000 and 1,500 data centers are currently in motion across the United States, but he projects a base case where 10% to 15% of proposed U.S. data centers could ultimately be cut due to political backlash, which he calls the single biggest threat to the tech revolution. Argentina's improved economic outlook under President Javier Milei, along with the RIGI incentive regime, is attracting investment, with projects such as OpenAI's planned partnership with Sur Energy on a facility costing up to $25 billion and capable of 500 MW, and Pampa Energia exploring a data center near its Loma de la Lata power plant that could use up to 500 MW from Vaca Muerta. Other initiatives include FlexDomes' proposed 120-MW Neuquen facility costing $1.4 billion and Green Capital's $3 billion, 300-MW project in Chubut, which could eventually expand to 3,000 MW.

Impact on stocks 3

Artificial Intelligence▲ · 2 stocks
Alphabet Inc Class C
GOOG
▲ PositiveCapitalrelevance

Alphabet is among the US tech giants eyeing Argentina's Patagonia for large-scale data centers as domestic backlash grows.

Meta Platforms Inc.
META
▲ PositiveCapitalrelevance

Meta is named as one of the tech giants increasingly looking to Argentina for data centers amid US community resistance.

Utilities▲ · 1 stocks

Theme Impact 6

Off-coverage companies 4

OpenAIPrivate▲ Positive
Capitalrelevance

OpenAI's planned partnership with Sur Energy on a facility costing up to $25 billion and capable of 500 MW is cited as a key Argentina data-center project.

FlexDomesPrivate▲ Positive
Capitalrelevance

FlexDomes' proposed 120-MW Neuquen data-center facility costing $1.4 billion is highlighted as an Argentina initiative.

Sur EnergyPrivate▲ Positive
Capitalrelevance

Sur Energy is named as OpenAI's partner on a planned up-to-$25 billion, 500-MW data-center facility in Argentina.

Yorkville Ives & Co.Private± Mixed
relevance

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