Wednesday, November 5, 2025

Amazon

Many marveled at the speed with which Elon Musk built his latest data center in Memphis but not to be out done, Amazon recently completed a new center in Indiana in thirteen months from start to finish. Amazon has opened a data center on 1,200 acres of land in Indiana that’s dedicated to training and running models from Anthropic. They will not be using Nvidia chips like most other data centers. The first 7 buildings are completed and operational. The buildings are over 200,000 sq ft and there will be 23 more buildings in the next two years. The complex will use 2.2 GW.s of energy, the equivalent of two large nuclear powered plants. This is as much power as half the people in the state use. The power will come from Indiana- Michigan power company. Amazon is a major customer and is paying for the necessary substations to be built on-site, which helps the utility modernize the power grid to handle the increased load. These will be natural gas plants. Amazon will pay 80% of the cost of upgrades and sign a 12-year contract for usage. Amazon is also paying to upgrade the water treatment plant, the waste water plant and roads and highways leading into and away from the project. The state has offered a 50% real property tax abatement for 10 years and the remaining 50% will be enough to offset the additional cost the city will face in local services. On the surface this looks like a win-win for the state and Amazon.

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