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TL;DR
SpaceX says it is advancing AI computing projects in Starbase, Texas, and Cochise County, Arizona, with more than $74 billion in planned investment combined. Local reviews are scheduled for Dec. 9, while key details—including Texas facility capacity and water use, and the Arizona power arrangement—remain unresolved.
SpaceX said Nov. 12 it is moving ahead with plans for two large AI computing campuses: one near the Port of Brownsville in Starbase, Texas, and another in Cochise County, Arizona. The company puts the projects’ combined planned investment at more than $74 billion; both now face local decisions, with proceedings scheduled for Dec. 9.
In Texas, SpaceX says it plans to invest more than $24 billion in computing infrastructure on an approximately 444-acre site between Boca Chica Boulevard and the Port of Brownsville. A Starbase city notice describes the initial capital investment as about $24 billion and identifies a gas-fired power plant alongside the computing facility. SpaceX says the site will generate its own electricity rather than draw from the public grid.
The Texas city notice does not specify the power plant’s capacity or the computing facility’s water demand. The 956 Report, citing an air registration filed with the Texas Commission on Environmental Quality, reported plans for an initial 35 natural-gas turbines totaling about 748 megawatts, later replaced by eight turbines totaling about 708 megawatts. Those figures come from the local outlet’s account of the filing, rather than the city notice.
In Arizona, SpaceX describes a roughly $50 billion campus on about 747 acres near Cochise. The county application, filed by Tombstone Resources L.L.C., proposes as many as nine computing buildings, with full build-out described as approximately 6 gigawatts of grid power and a 24-gigawatt-hour battery system. The application estimates annual water use of about 7 to 10 acre-feet at full build-out, mostly for staff, and proposes dry cooling without cooling towers.
SpaceX’s AI Campuses Put Local Resources in Focus
SpaceX says it is advancing two large AI computing campuses in Texas and Arizona. Local reviews are scheduled, while key power and water details remain unresolved.
Two campuses, different power plans
The proposals bring major energy infrastructure questions to both communities.
- Plans an on-site gas-fired power plant.
- Facility capacity and its water demand have not been disclosed.
- SpaceX says the site will generate its own electricity.
- Application proposes up to nine computing buildings.
- Estimates about 6 gigawatts of grid power at full build-out.
- Proposes dry cooling and about 7 to 10 acre-feet of annual water use.
What local reviews will consider
Officials and residents will weigh the projects’ potential benefits against local resource demands.
Projected employment
SpaceX projects more than 500 permanent Texas jobs. Arizona’s application estimates about 1,000 staff at full build-out.
Local energy impacts
Texas proposes on-site generation; Arizona would rely on local electric cooperatives and a utility-owned substation.
Uneven disclosure
Arizona’s application estimates water use. Texas facility demand remains unstated.
Key details still need clarity
The announced figures describe plans and estimates, not completed projects.
- Texas computing capacity, water use, and final power-plant details remain open.
- Arizona’s proposed electricity arrangement and regulatory status are not settled in the supplied information.
- Planned investment should not be read as money already spent.
Dec. 9 brings local proceedings
Both communities have scheduled reviews, but the available information does not establish that all approvals will be granted that day.
The Planning and Zoning Commission is scheduled to hold a hearing on the Arizona proposal.
The City Commission is scheduled to consider a property-tax abatement for the Texas project.
Local Reviews Will Shape Both Projects
The scale of the proposals would bring substantial construction activity and new demand for energy infrastructure to two communities with different power plans. Starbase’s project would generate electricity on site, while the Arizona campus would rely on power delivered through local electric cooperatives and a utility-owned substation. That distinction puts local land-use decisions alongside questions about grid capacity, emissions, and how electricity costs may affect existing customers.
Water is another local concern, though the current disclosures differ in detail. SpaceX says the Arizona site would use dry cooling and the county application estimates relatively low annual water use. For Texas, the company has announced regional water and wastewater infrastructure spending, but has not stated how much water the computing facility itself would consume. Those project-specific figures matter to residents evaluating the campuses’ resource demands.
The plans also have economic implications. SpaceX says the Texas project has supported more than 3,000 construction jobs so far and would have more than 500 permanent jobs once operating. The Arizona application estimates about 5,500 construction workers at peak, roughly 250 staff when the first buildings open, and about 1,000 at full build-out. These are projections, not confirmed employment outcomes.
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From Orbital Computing to Local Campuses
SpaceX’s ground-based proposals follow its earlier public argument that AI computing demand could strain terrestrial power and environmental resources. When the company announced its acquisition of xAI on Feb. 2, it described orbital data centers as part of its response. The new Texas and Arizona campuses represent a major near-term investment in facilities on Earth, though SpaceX presents the Texas site as also supporting research for future space-based computing.
The company’s Nov. 12 statement says the two projects represent more than $74 billion in planned American investment. That total combines planned spending, not money already invested. Reuters has reported that SpaceX’s AI segment generated more than half of company revenue in the third quarter; the available material does not provide the underlying figures or a breakdown of that segment.
The public record is not identical for the two sites. Starbase’s notice identifies SpaceX’s proposed project and a gas-fired power plant. Cochise County’s application is filed under Tombstone Resources L.L.C. and does not name SpaceX; the connection is supported by SpaceX’s project page and Tombstone Resources’ town-hall statement. That distinction matters when describing what the county filing itself confirms.
““Together, they represent more than $74 billion in planned American investment.””
— SpaceX
Capacity, Water and Power Terms
Several central details remain open. SpaceX and Starbase have not disclosed the Texas computing facility’s capacity or its expected water use. The reported turbine configuration comes from The 956 Report’s account of an environmental filing, and the project’s final equipment and operating conditions are not established by the city notice supplied here. The size and terms of any proposed Texas property-tax abatement also remain unclear.
In Arizona, the application estimates power needs and water use, but it does not by itself establish that all required approvals or electricity arrangements are secured. SpaceX has promised lower power bills for local cooperative members; whether Arizona’s utility regulator approves the electricity deal behind that promise is not yet clear. The county application’s applicant is Tombstone Resources, and the supplied documents do not show the final ownership or approval terms.
Employment figures, construction schedules, final campus design, and the projects’ eventual operating impacts are projections or still developing. The planned investment amounts should not be read as spending already completed.
Dec. 9 Hearings and Decisions
On Dec. 9, 2026, the Cochise County Planning and Zoning Commission is scheduled to hold a hearing on the Arizona proposal. The Starbase City Commission is also set to consider a property-tax abatement for the Texas project. These proceedings provide near-term opportunities for local officials to review the proposals, but the supplied information does not establish that either project will receive every approval it needs on that date.
Further filings and public review could clarify the Texas site’s power-plant details, water demand, and tax incentives, as well as the Arizona campus’s electricity arrangements and regulatory status. Until those records and decisions are available, the projects’ investment, job, and resource figures remain plans or estimates rather than completed outcomes.
Key Questions
What did SpaceX announce?
SpaceX said it is advancing two AI computing projects: a campus near the Port of Brownsville in Starbase, Texas, and a campus in Cochise County, Arizona. The company describes the combined planned investment as more than $74 billion.
How will the two campuses get electricity?
SpaceX says the Texas facility will generate its own electricity with a gas-fired power plant. The Arizona application proposes power delivered through the Sulphur Springs Valley Electric Cooperative and Arizona Electric Power Cooperative to a utility-owned substation; it does not propose an on-site power plant.
What is known about water use?
The Arizona application estimates about 7 to 10 acre-feet of water a year at full build-out and describes dry cooling. SpaceX has not stated the Texas computing facility’s own water demand, though it says it is funding regional water and wastewater infrastructure.
When will local officials review the plans?
The Cochise County Planning and Zoning Commission is scheduled to hold an Arizona project hearing on Dec. 9, 2026. On the same day, the Starbase City Commission is set to consider a property-tax abatement for the Texas project.
Are the investment and job figures final?
No. The investment figures are planned amounts, and the construction and permanent-job counts are company statements or application estimates. They do not confirm final spending, approvals, hiring, or operating dates.
Source: ThorstenMeyerAI.com
