Meta Builds $10B AI Data Center in Indiana as Compute Arms Race Accelerates

The tech giant's massive new facility signals AI's shift from ambition to infrastructure

Published on Feb. 12, 2026

Meta has begun construction on a roughly $10 billion data center project in Lebanon, Indiana, a signal that the company is still in full 'build' mode as AI demand shifts from model demos to industrial-scale infrastructure. The site is expected to come online in late 2027 or early 2028 and is designed for about 1 gigawatt of power, putting it in the same class as the mega-facilities now reshaping utility planning, land use, and regional power markets.

Why it matters

The AI boom is increasingly constrained by physical realities: grid interconnects, transmission buildouts, water availability, and local permitting battles. Meta's move also underscores a trend in how Big Tech is deploying capital: data centers are no longer 'backend IT,' they're strategic assets that determine how fast a company can train, fine-tune, and serve frontier models at scale. As these builds multiply, regulators and community groups are scrutinizing who pays for infrastructure upgrades, how power is sourced, and what long-term obligations companies carry after the ribbon cutting.

The details

Meta's new data center in Lebanon, Indiana will be a roughly $10 billion project and is expected to come online in late 2027 or early 2028. The facility is designed for about 1 gigawatt of power, putting it in the same class as other mega data centers that are reshaping utility planning, land use, and regional power markets. This signals that Meta is still in full 'build' mode as AI demand shifts from model demos to industrial-scale infrastructure.

  • The new data center is expected to come online in late 2027 or early 2028.

The players

Meta

An American technology conglomerate and the parent company of social media platforms like Facebook, Instagram, and WhatsApp.

Lebanon, Indiana

The location of Meta's new $10 billion data center project.

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The takeaway

AI competition is becoming a contest of power capacity, permitting speed, and hardware supply, not just algorithms. Meta's massive data center investment in Indiana underscores how the tech industry's focus is shifting from AI model development to building the underlying infrastructure needed to deploy and scale these models in the real world.