Alphabet has announced a definitive agreement to acquire data center and energy infrastructure provider Intersect for $4.75 billion.
With Intersect’s help, Alphabet aims to bolster the energy supply to its data centers.
The acquisition will enable more data center and generation capacity to come online, faster, while simultaneously accelerating energy development and innovation.
Through the acquisition, Alphabet acquires several gigawatts of energy and data center projects currently in development, or under construction. Google was already involved in these projects through its existing partnership with Intersect.
Intersect’s operations will remain separate from Alphabet and Google under the Intersect brand and will be led by Sheldon Kimber. It will partner closely with Google’s technical infrastructure team, continuing work on in-development, and new, joint projects; this includes the companies’ first announced co-located data center and power site, under construction in Haskell County, Texas.
Intersect’s existing operating assets in Texas, and its operating and in-development assets in California, will not be part of the acquisition. Those assets continue to operate as an independent company, supported by existing investors TPG Rise Climate, Climate Adaptive Infrastructure, and Greenbelt Capital Partners.
“Intersect will help us expand capacity, operate more nimbly in building new power generation in lockstep with new data center load, and reimagine energy solutions to drive US innovation and leadership. We look forward to welcoming Sheldon and the Intersect team,” said Sundar Pichai, CEO of Google and Alphabet.
