San Jose has made history by becoming the first city in the country to supply power to a data center under a historic agreement with PG&E, a move that promises significant benefits for the city's economy and residents. The Equinix data center at 123 Great Oaks Blvd., which adds 20 megawatts of power to its existing capacity, is expected to generate approximately $2.5 million in annual revenue for the city.
Mayor Matt Mahan hailed the deal as a major milestone for the city, saying it would enable San Jose to "power the future without sacrificing our quality of life or core values." The agreement promises infrastructure and speed improvements, which are crucial for attracting major investments and creating high-paying jobs in the data center sector.
The city's vision is to become a hub for data centers, leveraging its abundant power supply to attract significant investments. According to a McKinsey & Co. report, the artificial intelligence boom could result in nearly $7 trillion in capital outlays worldwide by 2030.
PG&E Corp. President Carla Peterman noted that the utility had doubled the capacity of its Santa Teresa substation and installed new transformer and circuits as part of the Equinix project, ensuring that the costs did not fall on other customers. The company aims to connect 15 data centers in the South Bay over the next five years, which it expects to create 25,000 jobs, $227 million in property taxes, and $390 million in sales tax revenue.
The deal also has a positive impact on the city's budget, with the single 99MW data center expected to generate between $3.5 million and $6.4 million in annual revenue. The agreement demonstrates PG&E's commitment to stabilizing bills and reducing prices for its customers, as the company seeks to buck the national trend of rising electric prices.
As the city looks to the future, Mayor Mahan emphasized that investments like this would enable San Jose to "make progress toward a city that works for everyone." With its unique set of circumstances, the city is well-positioned to power the digital growth while maintaining its quality of life.
Mayor Matt Mahan hailed the deal as a major milestone for the city, saying it would enable San Jose to "power the future without sacrificing our quality of life or core values." The agreement promises infrastructure and speed improvements, which are crucial for attracting major investments and creating high-paying jobs in the data center sector.
The city's vision is to become a hub for data centers, leveraging its abundant power supply to attract significant investments. According to a McKinsey & Co. report, the artificial intelligence boom could result in nearly $7 trillion in capital outlays worldwide by 2030.
PG&E Corp. President Carla Peterman noted that the utility had doubled the capacity of its Santa Teresa substation and installed new transformer and circuits as part of the Equinix project, ensuring that the costs did not fall on other customers. The company aims to connect 15 data centers in the South Bay over the next five years, which it expects to create 25,000 jobs, $227 million in property taxes, and $390 million in sales tax revenue.
The deal also has a positive impact on the city's budget, with the single 99MW data center expected to generate between $3.5 million and $6.4 million in annual revenue. The agreement demonstrates PG&E's commitment to stabilizing bills and reducing prices for its customers, as the company seeks to buck the national trend of rising electric prices.
As the city looks to the future, Mayor Mahan emphasized that investments like this would enable San Jose to "make progress toward a city that works for everyone." With its unique set of circumstances, the city is well-positioned to power the digital growth while maintaining its quality of life.
! It's amazing how a strategic partnership with PG&E has not only secured reliable power supply but also paved the way for massive investments in the data center sector 
. The economic benefits are undeniable, with estimates suggesting that this deal could generate up to $6.4 million in annual revenue for the city 
. Moreover, the creation of 25,000 jobs and significant tax revenues will undoubtedly boost the local economy and improve quality of life for residents 
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. With the artificial intelligence boom expected to reach $7 trillion by 2030, it's clear that cities like San Jose need to be proactive in investing in their infrastructure and attracting major investments 
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. It demonstrates the importance of public-private partnerships in driving economic growth and progress 
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So I think what's really cool about San Jose making history here is that they're not just jumping on the data center bandwagon, they're actually proactively planning for their own future and making it happen in a way that benefits everyone. The city's vision to become a hub for data centers makes total sense, especially with the artificial intelligence boom taking off worldwide. It's awesome to see PG&E stepping up too, doubling the capacity of their Santa Teresa substation and installing new infrastructure as part of the Equinix project.
gotta love how they're thinking ahead on the ai boom, might just make them a hub for data centers 
but seriously, $2.5 million in annual revenue is no joke that's like a small town's budget 
and it's not just about the benjamins, this could be a game changer for jobs too imagine 25k new positions popping up in the south bay 
and let's not forget about the quality of life, which they're trying to protect 
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I'm not saying it's all bad, but we gotta consider the bigger picture. What kind of jobs will these data centers create? Will they be high-paying, or just more sweatshop-style gigs? And what about the impact on our environment? We're already dealing with climate change and pollution; can we really 'power' a better future without harming ourselves in the process? 
?
. 25,000 new gigs, yeah sure, but where's the safety net for those who can't afford to make a living in this gig economy? The city's gonna have to figure out how to ensure that everyone benefits from this boom 
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. We'll see how this whole thing plays out, but I've got my eye on it 
The fact that this deal will generate revenue for the city without sacrificing its quality of life or core values is just the icing on the cake 
! It's a win-win situation, and I'm loving every minute of it 
It's great to see them attracting investments and creating jobs for their residents. The fact that they're aiming to become a hub for data centers is a big plus, especially with the AI boom on the horizon 
. With the potential for $7 trillion in capital outlays worldwide by 2030, they're definitely on the right track 
. Plus, who wouldn't want their city to be a hub for data centers and artificial intelligence? It sounds like the future is looking bright for San Jose! 
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I'm intrigued by San Jose's bold move into data center infrastructure, which promises to propel the city forward economically. The $2.5 million annual revenue generated by this single 20 MW data center might seem like a modest return, but considering the broader context, it's a strategic investment that could have far-reaching consequences. With the global artificial intelligence boom anticipated to hit nearly $7 trillion by 2030, cities like San Jose are well-positioned to capitalize on this trend.
. The idea of creating 25k jobs and generating so much revenue for the city's budget is mind-blowing 
It's like they're taking a giant leap forward in terms of innovation and economic growth. $2.5 million in annual revenue isn't bad either 
. The city should keep pushing forward with this vision and see how far they can take it 
!