Data Centers Are Powering Texas' Economy
A statewide network of local chambers and economic development corporations turning Texas' data center boom into lasting, local prosperity — from bigger tax bases to good jobs and new infrastructure.
An initiative of the Texas Association of Business — The Texas State Chamber
Texas by the numbers
A once-in-a-generation investment opportunity
Data centers bring big, long-term, steel-in-the-ground investment to the Texas towns that host them. Here's what that looks like on the ground.
Bigger tax base
Data centers are expensive to build — which means major property tax revenue that funds schools, roads, police, and fire departments.
Good jobs
Hundreds of construction jobs during the build, then permanent, high-value technical and maintenance roles once they're running.
They stay
Data centers typically operate for decades — steady, long-term investments with permanent, positive economic impact.
They attract more
Modern companies want to locate in communities with strong digital infrastructure. One anchor draws the next.
What most people don't know
Many data center companies don't just plug into a town's existing power and water — they build their own. New power plants, new water systems, new roads, and new equipment, paid for by the company rather than local taxpayers. That new infrastructure benefits the entire community.
Myth vs. Fact
The concerns are real, and they deserve real answers. Tap each one.
Texas runs its own electric grid, and its operators plan years ahead for new demand — when a data center comes to town, they know and plan for it. Many centers build their own power plants right next door, adding new electricity to the area rather than just drawing from it. Some can even dial back their usage when the grid is strained, like on the hottest summer days, to help keep the lights on for everyone.
All the data centers in Texas combined use less than half of one percent of the state's water. Newer facilities are designed to use even less — some cool with air, some recycle the same water over and over, and some use treated wastewater to help preserve local supplies of fresh drinking water.
Construction alone employs hundreds of skilled tradespeople — electricians, HVAC specialists, concrete crews — often for years. Once operational, each facility supports permanent technical and maintenance staff, and every data center job supports roughly six more jobs across the local economy.
It's often the opposite. Many companies make substantial private investments in new power and water infrastructure, adding capacity to a community rather than relying on existing systems. Those privately funded improvements frequently deliver benefits well beyond a single project — supporting long-term community growth.
Five issues shaping Texas' digital future
Data centers sit at the intersection of the issues chambers and EDCs care about most.
The backbone of the modern economy
Every text, swipe, video call, hospital record, and AI tool runs through a data center. Texas is home to more than 300 of them — critical infrastructure that increasingly supports every sector of our economy.
- Long-term, steel-in-the-ground community investment
- Major property-tax revenue for local services
- Economic growth and responsible resource use, coexisting today
Anchoring the AI & cloud era in Texas
The infrastructure powering artificial intelligence and cloud computing is being built now — and Texas is winning more than its share. Ensuring the data powering American business is stored and secured here at home is a generational opportunity.
- Multi-billion-dollar AI infrastructure landing in Texas towns
- Communities positioned for the businesses of the future
- A stronger case for every chamber's economic development pitch
Bringing new power to the grid
Texas plans its grid years ahead, and many data centers build their own generation on-site — adding electricity to the region. Some can even reduce demand during peak strain to protect reliability for everyone.
- New, privately funded power generation near host communities
- Demand flexibility that supports grid reliability
- Outcome-focused policy over prescriptive mandates
Innovation, not trade-offs
Texas doesn't have to choose between water stewardship and digital leadership. The industry is deploying efficient cooling, recycling and reuse, and treated-wastewater systems that protect fresh drinking-water supplies.
- All Texas data centers combined: <0.5% of state water use
- Air cooling, closed-loop recycling, and wastewater reuse
- New demand driving a homegrown water-tech ecosystem
Careers, not just construction
From the trades that build these facilities to the technicians who run them, data centers create durable career pathways — and a ripple of jobs throughout the local economy.
- Hundreds of skilled construction jobs per project
- Permanent technical and maintenance roles
- ~6 additional jobs supported for every data center job
Texas is leading — and communities are winning
Coverage of the investment, jobs, and opportunity data centers are bringing to Texas.
Data Center Water Usage: House Committee on Natural Resources
Data center water use is comparable to — and often far lower than — many everyday sectors, from golf courses to avocado orchards, while the economic opportunity for Texas is significant.
Read the storyHow Data Centers Benefit Texas Communities
A look at the tax base, jobs, and infrastructure investment data centers deliver to the towns that host them.
Read the storyTexas Data Center Markets Are Booming
Why Texas has become one of the fastest-growing data center markets in the country — and what's driving it.
Read the storyTexas' 2025 Hyperscale Construction Pipeline
Billions in construction spending and a robust multi-year pipeline of projects landing across the state.
Read the storyHundreds of Data Centers Are Coming to Texas
What the wave of new data center investment means for communities across the state.
Read the storyHelp shape the future of Texas digital infrastructure
The Texas Digital Infrastructure Coalition is a statewide network of chambers and economic development corporations navigating the opportunities in data centers, AI, energy, water, and workforce — together.
Get involved
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