Dallas-Fort Worth area, October 1, 2025
News Summary
Governor Greg Abbott announced a substantial growth in AI-related investments in Texas that may exceed the $500 billion Project Stargate. During an event in the Dallas-Fort Worth area, Abbott highlighted ongoing developments, including multiple AI data centers and partnerships with tech firms to boost the local economy and create jobs. The initiative is set to generate over 25,000 jobs and solidify Texas’s position as a leading hub for AI technology.
Dallas-Fort Worth area — Gov. Greg Abbott announced a significant increase in AI-related investments in Texas. Abbott stated these investments could surpass those of the $500 billion multistate Project Stargate. The announcement was made during a Texas Economic Development Corp. event in the Dallas-Fort Worth area.
Summary of Project Stargate and Texas developments
Currently, Project Stargate includes three AI data centers in Texas. Stargate is a collaboration between OpenAI, Oracle, Softbank, and the federal government to develop AI infrastructure nationwide. The first data center of Project Stargate is located in Abilene, Texas, with its second phase of development underway.
Once completed, the Abilene site will encompass eight buildings totaling about 4 million square feet with a power capacity of 1.2 gigawatts. An additional 600 megawatts of capacity may be added in the future.
On September 23, Stargate announced plans for five additional AI data centers across the U.S., including one in Shackelford County, Texas, near Abilene. The Shackelford County facility is expected to cost around $25 billion and have a power capacity of 1.4 gigawatts. Another data center will be developed in Milam County, situated between Waco and Austin. OpenAI plans to occupy a more than $3 billion center that will cover nearly 600 acres in partnership with SB Energy Global.
Statewide and regional economic activity
Abbott mentioned several confidential AI projects in Texas that could be larger than Stargate. The Houston area, likely to attract these developments, is experiencing a booming AI economy. Foxconn is investing $450 million in AI server manufacturing at Fairbanks Logistics Park in Houston. The Fairbanks site covers 100 acres and includes four industrial buildings totaling one million square feet. Foxconn is expected to produce servers for Apple and Nvidia, which have also announced plans for server factories in Houston.
A Brookings Institution report identified Houston as one of the 28 star hubs for AI in the U.S. The Greater Houston Partnership described the area as undergoing an AI-driven data revolution.
Workforce and infrastructure outlook
Abbott highlighted that artificial intelligence is the hottest thing for economic diversification in Texas. Texas is projected to generate over 25,000 jobs from the Stargate Project and related initiatives. OpenAI CEO Sam Altman emphasized the necessity of building computing infrastructure to support AI advancements.
Context and next steps
Public and private planning continues for large-scale data center construction, related power and transmission upgrades, and local workforce development to meet projected hiring needs. Some projects are already in active construction phases while others remain in planning or permitting stages, including the second phase at Abilene and the newly announced sites across the U.S. Stakeholders cited the need for additional grid capacity, permitting coordination, and community engagement as preparations move forward.
Key takeaways
- Significant AI investment growth in Texas may exceed a multistate benchmark tied to Project Stargate.
- Multiple large-scale sites are planned or expanding in Texas, including Abilene, Shackelford County, Milam County, and proposed centers tied to OpenAI.
- Houston is positioned as a major AI hub with manufacturing and data center activity expected to support regional job growth and supply chains.
- Infrastructure needs such as power capacity and land are central to project viability and timelines.
Frequently Asked Questions
Q: What did Gov. Greg Abbott announce?
A: Gov. Greg Abbott announced a significant increase in AI-related investments in Texas.
Q: What did Abbott say about comparison to Project Stargate?
A: Abbott stated these investments could surpass those of the $500 billion multistate Project Stargate.
Q: Where was the announcement made?
A: The announcement was made during a Texas Economic Development Corp. event in the Dallas-Fort Worth area.
Q: How many AI data centers in Texas are part of Project Stargate?
A: Currently, Project Stargate includes three AI data centers in Texas.
Q: Who is collaborating on Project Stargate?
A: Stargate is a collaboration between OpenAI, Oracle, Softbank, and the federal government to develop AI infrastructure nationwide.
Q: Where is the first Stargate data center located?
A: The first data center of Project Stargate is located in Abilene, Texas, with its second phase of development underway.
Q: What are the planned features of the Abilene site once completed?
A: Once completed, the Abilene site will encompass eight buildings totaling about 4 million square feet with a power capacity of 1.2 gigawatts.
Q: Could the Abilene site add more power?
A: An additional 600 megawatts of capacity may be added in the future.
Q: What did Stargate announce on September 23?
A: On September 23, Stargate announced plans for five additional AI data centers across the U.S., including one in Shackelford County, Texas, near Abilene.
Q: What is planned for the Shackelford County facility?
A: The Shackelford County facility is expected to cost around $25 billion and have a power capacity of 1.4 gigawatts.
Q: Where is another Project Stargate data center planned in Texas?
A: Another data center will be developed in Milam County, situated between Waco and Austin.
Q: What is OpenAI planning in partnership with SB Energy Global?
A: OpenAI plans to occupy a more than $3 billion center that will cover nearly 600 acres in partnership with SB Energy Global.
Q: Did Abbott mention other projects?
A: Abbott mentioned several confidential AI projects in Texas that could be larger than Stargate.
Q: What is happening in the Houston area?
A: The Houston area, likely to attract these developments, is experiencing a booming AI economy.
Q: What is Foxconn doing in Houston?
A: Foxconn is investing $450 million in AI server manufacturing at Fairbanks Logistics Park in Houston.
Q: What are the features of the Fairbanks site?
A: The Fairbanks site covers 100 acres and includes four industrial buildings totaling one million square feet.
Q: Who will Foxconn produce servers for?
A: Foxconn is expected to produce servers for Apple and Nvidia, which have also announced plans for server factories in Houston.
Q: How does Brookings classify Houston?
A: A Brookings Institution report identified Houston as one of the 28 star hubs for AI in the U.S.
Q: How did the Greater Houston Partnership describe the area?
A: The Greater Houston Partnership described the area as undergoing an AI-driven data revolution.
Q: What did Abbott say about AI and economic diversification?
A: Abbott highlighted that artificial intelligence is the hottest thing for economic diversification in Texas.
Q: How many jobs are expected from these projects?
A: Texas is projected to generate over 25,000 jobs from the Stargate Project and related initiatives.
Q: What did OpenAI’s leadership emphasize?
A: OpenAI CEO Sam Altman emphasized the necessity of building computing infrastructure to support AI advancements.
| Feature | Detail |
|---|---|
| Announcement location | The announcement was made during a Texas Economic Development Corp. event in the Dallas-Fort Worth area. |
| Project name | Project Stargate |
| Current Texas data centers | Currently, Project Stargate includes three AI data centers in Texas. |
| Abilene site size | Once completed, the Abilene site will encompass eight buildings totaling about 4 million square feet with a power capacity of 1.2 gigawatts. |
| Potential additional Abilene power | An additional 600 megawatts of capacity may be added in the future. |
| September 23 expansion | On September 23, Stargate announced plans for five additional AI data centers across the U.S., including one in Shackelford County, Texas, near Abilene. |
| Shackelford County cost and power | The Shackelford County facility is expected to cost around $25 billion and have a power capacity of 1.4 gigawatts. |
| Milam County location | Another data center will be developed in Milam County, situated between Waco and Austin. |
| OpenAI campus | OpenAI plans to occupy a more than $3 billion center that will cover nearly 600 acres in partnership with SB Energy Global. |
| Houston investments | Foxconn is investing $450 million in AI server manufacturing at Fairbanks Logistics Park in Houston. |
| Fairbanks site footprint | The Fairbanks site covers 100 acres and includes four industrial buildings totaling one million square feet. |
| Job projection | Texas is projected to generate over 25,000 jobs from the Stargate Project and related initiatives. |
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Additional Resources
- InnovationMap: Abbott Announces AI Investment Boom
- Dallas Express: Texas Poised to Lead AI Innovation
- OpenAI: Five New Stargate Sites Announced
- Reuters: Apple Plans Texas AI Server Factories
- Apple Newsroom: Apple to Invest $500 Billion in the US
- Wikipedia: Artificial Intelligence
- Encyclopedia Britannica: Artificial Intelligence
- Google Search: Artificial Intelligence News
- Google Scholar: Artificial Intelligence
- Google News: Artificial Intelligence
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