CNBC's MacKenzie Sigalos reports on Amazon's plan to build a $3 billion data center in Mississippi.

Mississippi

Amazon has unveiled plans to invest $3 billion in constructing a new data center in Mississippi, with construction expected to begin in 2026. This initiative adds to an existing $10 billion infrastructure investment in the state and is part of Amazon's strategy to expand its AI campus footprint across the United States.

The project will rely on electricity supplied by Entergy Mississippi, primarily from natural gas and nuclear sources. The region has attracted other major tech companies due to its favorable geography, competitive power pricing, and supportive tax laws, positioning Mississippi as an emerging hub for generative AI development.

Amazon to build $3 billion data center in Mississippi

I'm getting a news alert on Amazon today. For that, let's turn to Mackenzie Sagalos. Hey, Mack. Hey, Carl. So Amazon has just unveiled plans to spend $3 billion to build a new data center in Mississippi with construction set to begin in 2026. Now, this project builds on a separate $10 billion infrastructure investment that is already underway in the state. And together, they really mark this next phase in Amazon's push to scale AI campuses across the US. But the big question with these builds is whether there's enough reliable power to keep them running. Entergy Mississippi will be supplying electricity, leveraging grid capacity, powered largely by natural gas and nuclear to support the site. Now, this AWS expansion, it is one of multiple hyperscale campuses in development across the state, and also part of this broader effort to position Mississippi as an emerging hub for generative AI customers. It also comes as Amazon deepens its relationships with both anthropic and open AI. AWS, remember, just committed to building a dedicated compound to support open AI's compute needs. Guys? Mac, just your thoughts about geography here. Obviously, we've talked about Louisiana and the Rocky Mountain West, but this is spreading a little bit, yeah? Precisely, and that's why you're seeing names like Meta, Google, Amazon, and XAI all building in that quadrant. So it's Louisiana, Arkansas, and Tennessee that has very hospitable geographies. It's flat land, it's power that's more competitive in its pricing compared to other parts of the country. And at the same time, you also have very welcoming lawmakers, and so there's advantageous tax laws that have made this a real bright spot for these hyperscale compute build-outs.

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Washington

Ukraine Invasion

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Kyiv

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Cambridge

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Beirut

Middle East Conflict

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San Francisco

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New York

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Johannesburg

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Jerusalem

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London

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Warsaw

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Paris

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Breakdown