Meta picks Morgan Stanley, JPMorgan for El Paso data centre financing

Meta Platforms is working with Morgan Stanley and JPMorgan Chase on a roughly $13 billion financing package for a data centre in El Paso, a source familiar with the matter told Reuters on Monday.

 

Bloomberg News, which first reported the development, said most of the financing is expected to come in the form of debt, with the remainder in equity.

 

Big Tech firms are pouring hundreds of billions of dollars into data centres amid strong demand for artificial intelligence, marking a shift from their long-standing reluctance to raise debt as they seek an edge in the AI race.

 

 

Meta, Morgan Stanley and JPMorgan did not immediately respond to Reuters requests for comment outside regular business hours.

 

Meta in March increased its investment in the planned El Paso AI data centre more than sixfold to $10 billion, aiming to reach 1 gigawatt of capacity ahead of the facility’s projected 2028 opening.

 

Meta and its rivals — Amazon, Alphabet and Microsoft — are projected to spend more than $630 billion on AI infrastructure this year.