California Data Center Intel

Recent California data center news

• May 29, 2026

  The Breaking Points: Water Is the New Constraint for AI Data Centers

  Data Center Knowledge reports that water infrastructure constraints are emerging as a major limit on AI data center expansion.

  • Main finding: Large AI data center proposals are requesting multi‑MGD water capacities (example: a Virginia campus requested up to 2 MGD initially, with potential future demand up to 8 MGD) and explicitly require continuous evaporative cooling for uninterrupted operations; these projected demands often exceed municipal water and wastewater planning assumptions.
  • Background and specifics: Researchers’ paper “Small Bottle, Big Pipe” estimates U.S. data centers could require 697 million to 1.45 billion gallons/day of new water capacity through 2030; Texas’ draft 2027 State Water Plan estimates roughly $174 billion in water infrastructure projects may be needed over the next 50 years to meet growing AI demand and related upgrades (reservoirs, treatment, reclaimed-water networks).
• May 27, 2026

  Cogent Communications to Sell 10 Data Centers to I Squared Capital

  Cogent Communications has agreed to sell 10 data centers to I Squared Capital for $225 million in cash.

  • Transaction details: Cogent is selling 10 data center facilities to I Squared Capital for $225 million (cash); the deal is expected to close in Q3 2026. The portfolio provides approximately 53 megawatts of power capacity and about 259,000 square feet of colocation space across nine U.S. markets (Phoenix; Anaheim, CA; Burbank, CA; Stockton, CA; Atlanta; Chicago; Elkridge, MD; Kansas City, MO; Nashville, TN; Houston).
  • Platform and investment plan:I Squared Capital will create a new U.S. data center operating platform focused on high-density deployments, colocation and AI inference infrastructure, and plans to invest $1 billion via customer-led expansion, capital investment and additional acquisitions; the facilities are fee simple, liquid-cooling enabled with room for expansion and positioned near local internet exchanges. I Squared is described as a Miami-based infrastructure investor with about $60 billion in assets under management.
• May 27, 2026

  US energy storage installations hit Q1 record, up 32% year over year: SEIA

  SEIA reported record 9.7 GWh of battery energy storage installed in Q1 2026.

  • Main announcement: SEIA said the U.S. installed 9.7 GWh of battery energy storage in Q1 2026 (a 32% YoY increase), with commercial & industrial 648 MWh, utility-scale 1.5 GW / 7.8 GWh, and residential 515 MWh; Benchmark Mineral Intelligence (for SEIA) forecasts 613 GWh of U.S. storage deployment by 2030.
  • Background and details: SEIA and Benchmark highlighted data centers as a major driver (example: Meta + Enbridge will build 365 MW solar colocated with 200 MW / 1.6 GWh of Tesla batteries to support a Cheyenne, WY data center with 8-hour discharge capability); SEIA also flagged 101 GW of clean projects under political threat and said 36% of projects due by 2030 could be affected; 13 states have storage targets and cumulative deployment leaders include California 60.6 GWh, Texas 29.2 GWh, Arizona 20.2 GWh.
• May 27, 2026

  Cogent to Sell Phoenix Data Center as Part of $225 Million National Portfolio Deal

  Cogent Communications Holdings, Inc. has announced the sale of 10 U.S. data center facilities to an I Squared Capital-sponsored entity for $225 million in cash.

  • Sale details: Cogent will sell 10 facilities located in Phoenix, Anaheim, Burbank, Stockton, Atlanta, Chicago, Elkridge, Kansas City, Nashville, and Houston for $225 million in cash; the transaction is expected to close on the later of June 12, 2026 or the expiration/termination of the applicable Hart-Scott-Rodino waiting period. (Cogent’s Tucson data center is not included in the announced sale.)
  • Portfolio & financing: The acquired portfolio comprises approximately 53 megawatts of installed power capacity and approximately 259,000 square feet of colocation space across nine U.S. markets; I Squared Capital has committed up to $1 billion to build the new U.S. data center operating platform via capital investment, customer-led expansion, and additional acquisitions. Proceeds from the sale are expected to support Cogent deleveraging tied to its 2023 Sprint wireline acquisition and will be contributed to Cogent Communications Group (its borrowing entity).
• May 25, 2026

  US installed 9.7GWh of new BESS in Q1 2026, SEIA reports

  SEIA released its Energy Storage Market Outlook Q2 2026 (ESMO) on 21 May reporting the US installed 9.7GWh of new battery energy storage system (BESS) capacity in Q1 2026.

  • Main announcement: SEIA’s ESMO reports 9.7GWh (6.77GW) of BESS entered operation in Q1 2026 (utility-scale + BTM), with 7.8GWh/1.5GW from utility-scale and 515MWh residential deployments; SEIA increased its 2030 installation forecast to over 610GWh. Report released 21 May, created in collaboration with Benchmark Mineral Intelligence.
  • Context & details: Q1 residential decline (28%) attributed to the expiration of the 25D tax credit and project front-loading into Q4 2025; SEIA cites 467 solar+storage projects with permits pending as vulnerable to delays. The note references major corporate LDES commitments: Google’s 30GWh iron-air deal with Form Energy and Meta’s reservation of up to 100GWh from Noon Energy; SEIA links higher storage interest to energy price volatility from geopolitical tensions (mentions US-Israel-Iran dynamics).
• May 22, 2026

  How utilities can ensure grid readiness: A holistic framework from NEOS Advisory

  NEOS Advisory has developed an integrated framework for utility readiness.

  • Main announcement: NEOS Advisory has published an integrated, iterative utility readiness framework that connects resource adequacy, hosting capacity, network master planning, digitalization, and investment planning into a single strategic capability. The article cites key factual metrics: the IEA forecasts global electricity demand growth of 3.6% p.a. between 2026–2030, data center electricity consumption projected to ~945 TWh by 2030, ~3,000 GW of renewable projects waiting in grid connection queues (1,500 GW in advanced stages), and typical grid build lead times of 5–15 years vs 1–5 years for wind/solar. It also outlines a seven-phase implementation roadmap and highlights Phase 2 (integrated planning model) and Phase 6 (digital implementation) as specific implementation risk points.
  • Context and details: The article is an explanatory long-read (thought leadership / guidance) drawing on global regulatory and technical references (NERC, FERC Order 2023, IEA, NREL, ARENA, Ofgem, EU Electricity Market Reform Regulation 2024/1747). It describes concrete program elements (shared spatial dataset/GIS, ADMS/DERMS/AMI/SCADA stacks, dynamic operating envelopes, grid-enhancing technologies, scenario-based master planning) and prescribes operational requirements and sequencing (data quality first, parallel digitalization, workforce and supply-chain planning).
• May 22, 2026

  US Adds 9.7 GWh Energy Storage Capacity in Strongest Q1 on Record

  The US energy storage sector recorded a record first quarter in 2026, installing 9.7 GWh of new capacity according to a SEIA and Benchmark Mineral Intelligence report.

  • Main announcement: The report from Solar Energy Industries Association (SEIA) and Benchmark Mineral Intelligence states 9.7 GWh installed in Q1 2026, with utility-scale 7.8 GWh, C&I 648 MWh, residential 515 MWh, and a raised long-term forecast of more than 610 GWh cumulative by 2030. The article cites technology companies (Google, Meta) procuring tens of thousands of MWh of storage capacity to support AI and hyperscale data centre operations.
  • Context and details: The piece notes 467 solar and storage projects have permits pending (per SEIA analysis), highlights leading states Texas, Arizona, California, and links accelerated storage investment to energy price volatility and domestic manufacturing. It warns federal permitting delays in Washington could slow deployments and affect AI infrastructure timelines.
• May 21, 2026

  From Uptime to Resilience: AI Infrastructure Changes the Data Center Risk Equation

  Zurich North America has published its 2026 U.S. report ‘Data Center Risks Right Now: 6 Critical Questions to Enable a Resilient Buildout.’

  • Main announcement: Zurich North America presents a 2026 U.S. report arguing that the AI-driven data center buildout is now an industrial megaproject combining construction, operational, power, weather, supply-chain, labor, cyber/physical, and financial risks; the report provides concrete risk framing including an illustrative three-mile, 20-building AI campus requiring ~2,000 MW and notes insured project average values rising from ~$150 million (5 years ago) to roughly $3 billion today, with upper-end projects reaching tens of billions.
  • Key details and background: The report recommends integrating lifecycle risk review, using Estimated Maximum Loss (EML) instead of full replacement value for bankability, and highlights concrete constraints including potential $200 billion annual power-generation investment needs, 2 GW reviewed project scale, turbine lead times of ~3+ years, and replacement/asset cost estimates such as $900M–$1.5B for land/construction/power/cooling for a 100 MW AI site plus $2.5B+ for servers/network/GPU; it also cites labor shortfalls (Associated Builders and Contractors: ~349,000 net new workers needed in 2026) and specific weather and equipment failure examples.
• May 21, 2026

  Google, Blackstone back AI infrastructure venture to support data center demand

  Blackstone and Google announced a joint venture to create an AI-focused company offering compute-as-a-service using Google’s TPUs and Blackstone capital.

  • Main announcement: Blackstone and Google announced a joint venture; Blackstone is making an initial $5 billion equity capital investment, Google will provide TPUs, hardware, software and services, and Benjamin Treynor Sloss was named CEO; the venture expects 500 megawatts of data center capacity online by 2027.
  • Background and details: TheJV is positioned to give customers an option to run workloads on Google TPUs outside Google Cloud; Blackstone recently consolidated growth businesses into Blackstone N1 to focus on AI, and Blackstone’s AI portfolio includes OpenAI and Anthropic PBC; the announcement cites broader demand context from EIA and NEMA projections on rising commercial/data center electricity use.
• May 21, 2026

  Greater Together LA: remarks by Sir Christian Turner

  British Ambassador to the USA Christian Turner delivered opening remarks at Greater Together LA on 20 May 2026, promoting the UK‑US economic corridor and announcing recent UK policy and partnership moves to accelerate trade, investment and clean energy collaboration.

  • Main announcement/action: The Ambassador set out the UK‑US economic agenda, highlighting over $335 billion attracted across 8 sectors, bilateral trade exceeding $430 billion annually, and over $1.7 trillion invested in each other’s economies; he referenced a new Energy Independence Bill (announced recently) and a memorandum of understanding with California on clean energy technology (signed this year), and promoted the UK‑US Technology Prosperity Deal for AI, quantum and civil nuclear cooperation.

    • Date: 20 May 2026
    • Time: not specified
    • Location: Greater Together LA summit, Los Angeles
    • Agenda/subject: UK‑US trade & investment, technology (AI/quantum/civil nuclear), clean energy collaboration, data centres, and partnership promotion

  • Background and additional details: The speech framed the announcement with economic context: fastest growing G7 economy in Q1 2026, a target to reduce administrative burden on businesses by 25% by the end of this Parliament, data centres benefiting from fast‑track approval processes, and examples of inward investment such as GSK $30 billion into US R&D, Core Weave $1.5 billion AI cloud investment in Scotland, Universal Studios theme park delivering £50 billion economic value, and the recent removal of whisky tariffs agreed during the State Visit (two weeks prior).