Meta President Dina Powell McCormick told the Wall Street Journal that the governor-elect of Texas has requested a meeting with the company following her inauguration. The request comes after Gina Hinojosa, a Democrat who made data center regulation a campaign issue, signaled a desire to engage with tech firms to ensure jobs remain in the state. Hinojosa has previously called for the removal of subsidies, the use of unionized labor, and requirements for companies to prove that data center expansion will not increase household water or power bills.
Despite political shifts, approximately 22.5 GW of data center capacity is expected to come online by 2027. This capacity is currently at or above a 75 percent completion rate, requiring only equipment installations and power connections. Hinojosa has declared that all data centers already authorized within Texas will be permitted to complete their construction phases, a move that covers nearly all capacity expected to debut in 2027.
For projects slated for 2028 and 2029, the governor-elect is demanding increased transparency and local oversight. McCormick noted that while new projects are expected to face "more scrutiny" moving forward, expanding existing campuses will remain a significantly easier task due to established community benefits and local investments.
The political landscape for AI infrastructure is shifting as several major players adjust their strategies. OpenAI is reportedly discussing a reduction in its compute buildout cadence after 40 percent of its planned 2027 capacity additions became stranded in Democratic-controlled states, including Texas, Ohio, Georgia, and New Mexico. Additionally, OpenAI has stated it will no longer demand non-disclosure agreements when dealing with public officials and will publicly disclose its water and power consumption.
Texas remains a critical hub for the industry, accounting for approximately 25 percent of planned U.S. data center capacity by 2030. The state currently maintains a large-load power queue spanning 474 gigawatts, according to the Electric Reliability Council of Texas (ERCOT). To mitigate potential grid issues, operators may utilize behind-the-meter solutions, such as gas turbines or natural gas-based fuel cells, to power upcoming facilities.
