Archive · 6 Sep 2025
Meta Secures $26 Billion for AI Data Center with Unique Guarantee
Meta is building a giant data center for artificial intelligence and needed a lot of money.
They borrowed $26 billion from investors, but to convince them to lend such a huge sum, Meta made a special promise.
Meta agreed to pay back investors if the data center's value drops, for example, if technology changes and the data center becomes outdated.
This promise is called a guarantee.
A joint venture will build and own the data center, while Meta will rent it.
This type of financing is new and may become a model for other tech companies.
The money will be paid back over 24 years.
Meta secured $26 billion in debt financing for an AI data center in Louisiana.
Meta offered a guarantee to investors to protect against potential losses if the data center's value declines.
The data center will be built and owned by a joint venture, but leased by Meta for 20 years.
Pimco is leading the financing, with Blue Owl Capital contributing equity.
The financing arrangement may set a precedent for future AI infrastructure projects.
- Who
- Meta Platforms Inc. (Meta), investors, and lenders like Pimco.
- What
- Meta secured $26 billion in debt financing for a new AI data center.
- When
- Financing is underway.
- Where
- Louisiana.
- Why
- To finance the construction of a large AI data center.
- Deal Value
- $26 billion
- Data Center Location
- Louisiana
- Data Center Size
- 4 million square feet
- Lease Duration
- 20 years
- Lead Lender
- Pacific Investment Management Co. (Pimco)
- Equity Partner
- Blue Owl Capital Inc. ($3 billion)
- Tenor of Bonds
- 24 years (including 4 years for construction)