San Jose Becomes Data Center Power Hub, Boosting City's Revenue and Quality of Life.
Under a historic agreement with PG&E, San Jose has become the first city to supply power to a data center as part of its infrastructure upgrade plans. Equinix’s new 40 megawatt data center at 123 Great Oaks Blvd. is set to bring in approximately $2.5 million annually for the city, equivalent to funding the salaries of 12 police officers or 25 interim housing units.
Mayor Matt Mahan hailed this milestone as a significant step towards making progress toward a city that works for everyone, citing partnership and high standards established between the city and PG&E as key factors in achieving this goal. San Jose has secured its place as a data center hub with an abundance of power, attracting major investments and creating high-paying jobs.
According to a McKinsey & Co. report, the artificial intelligence boom could result in nearly $7 trillion in capital outlays worldwide by 2030, highlighting San Jose's strategic location as a key player in this digital growth landscape. The city has created unique circumstances that will allow it to power its future without sacrificing quality of life or core values.
The historic agreement promises infrastructure and speed improvements for large energy customers, including guaranteed service delivery under the new deal. PG&E Corp. President Carla Peterman stated that approximately 93% of the electricity powering the Equinix project will come from carbon-free sources, including renewable energy. This not only benefits the environment but also contributes to lower prices for all PG&E customers.
San Jose's mayor emphasized its role as the most power-ready city in California, attracting large load customers who want to establish data centers or manufacturing facilities with guaranteed power supply. The city's ability to generate steady revenue from local data centers is crucial in addressing its upcoming budget shortfall next year due to higher costs and stagnant revenue.
In the near future, PG&E expects to connect 15 data centers in the South Bay – totaling nearly 1.3 gigawatts - which will create 25,000 jobs, $227 million in property taxes, and $390 million in sales tax revenue. This marks a significant step forward for San Jose as it solidifies its position as a hub for digital growth, balancing economic development with environmental sustainability.
Under a historic agreement with PG&E, San Jose has become the first city to supply power to a data center as part of its infrastructure upgrade plans. Equinix’s new 40 megawatt data center at 123 Great Oaks Blvd. is set to bring in approximately $2.5 million annually for the city, equivalent to funding the salaries of 12 police officers or 25 interim housing units.
Mayor Matt Mahan hailed this milestone as a significant step towards making progress toward a city that works for everyone, citing partnership and high standards established between the city and PG&E as key factors in achieving this goal. San Jose has secured its place as a data center hub with an abundance of power, attracting major investments and creating high-paying jobs.
According to a McKinsey & Co. report, the artificial intelligence boom could result in nearly $7 trillion in capital outlays worldwide by 2030, highlighting San Jose's strategic location as a key player in this digital growth landscape. The city has created unique circumstances that will allow it to power its future without sacrificing quality of life or core values.
The historic agreement promises infrastructure and speed improvements for large energy customers, including guaranteed service delivery under the new deal. PG&E Corp. President Carla Peterman stated that approximately 93% of the electricity powering the Equinix project will come from carbon-free sources, including renewable energy. This not only benefits the environment but also contributes to lower prices for all PG&E customers.
San Jose's mayor emphasized its role as the most power-ready city in California, attracting large load customers who want to establish data centers or manufacturing facilities with guaranteed power supply. The city's ability to generate steady revenue from local data centers is crucial in addressing its upcoming budget shortfall next year due to higher costs and stagnant revenue.
In the near future, PG&E expects to connect 15 data centers in the South Bay – totaling nearly 1.3 gigawatts - which will create 25,000 jobs, $227 million in property taxes, and $390 million in sales tax revenue. This marks a significant step forward for San Jose as it solidifies its position as a hub for digital growth, balancing economic development with environmental sustainability.
I think this is awesome, our city is really stepping up its game! I mean, who wouldn't want to attract massive investments and create jobs? 
But seriously, the fact that we're powering these data centers with mostly carbon-free energy is a huge win for the environment. It's like, we can have progress without sacrificing our values, you know? 
And I love how PG&E is committed to making this deal work – it's all about collaboration and setting high standards. Let's keep doing this! 
i mean it's great that they're attracting major investments and creating high-paying jobs but like what about the environment tho? 93% of electricity coming from carbon-free sources sounds good on paper but like how much is still being used? and also $2.5 million annually might seem like a lot but think about all the low-income families who are struggling to make ends meet... maybe they could use that cash instead 
... still glad PG&E is makin some moves towards renewable energy 
. And let's talk about that budget shortfall... how much of that $2.5 million annually is actually going to benefit the people living in San Jose, rather than just lining the city's pockets? Shouldn't some of those funds be going towards actual housing and police officer salaries instead of just being a sweet bonus for the city? 
! It's awesome that they're creating jobs and revenue without sacrificing their quality of life 
. And yay for PG&E Corp getting all sustainable with renewable energy 
! Guess we'll see a lot more green initiatives popping up around here soon 
Interesting how San Jose is positioning itself as the go-to spot for data centers, too... bet that's gonna bring in some serious cash 
I'm so proud of San Jose! It's amazing how this historic agreement between the city and PG&E is going to bring in not just revenue but also create high-paying jobs and contribute to the environment 
! The fact that PG&E is committing to carbon-free energy sources is just the icing on the cake 
. It feels like San Jose is really stepping up its game and becoming the hub of digital growth in California 
anyone know if i can get free pizza in santa clara county 
! The fact that they're attracting massive investments, creating high-paying jobs, and reducing carbon emissions is just win-win 
. Mayor Mahan's got some serious skills, btw 
, for making this deal happen with PG&E. And can we talk about the financial benefits? $2.5 million annually is a game-changer 
and I hope it sets an example for other cities to follow 
. The future looks bright for this city, and I'm hyped to see what's next 
!
- just 'cause it's 93% doesn't make it all sunshine and rainbows. We need more than just renewable energy, we need a comprehensive plan to address climate change. And what about the revenue stream? $2.5 million ain't gonna cut it when we're facing budget shortfalls and stagnant growth. It's just a Band-Aid solution until our economic fundamentals get fixed