Calpine and CyrusOne Join Forces for Data Center Development in Texas

Calpine and CyrusOne Unite for Innovative Data Center Development in Texas



On July 30, 2025, Calpine Corporation, based in Houston, and Dallas-based CyrusOne unveiled a major partnership aimed at bolstering Texas's data center infrastructure. The collaboration includes a 190-megawatt (MW) agreement that will cater to a state-of-the-art data center located next to the Thad Hill Energy Center in Bosque County, Texas. This monumental agreement promises to significantly impact the local economy by creating jobs and promoting technological advancements in the region.

Rick Peña, Executive Vice President of Corporate Development at Calpine, expressed enthusiasm for the project, emphasizing its importance in paving the way for innovative data center infrastructure that can handle the increasing demand for digital services. He noted, "This first-of-its-kind project establishes Calpine as a leader in reliable, scalable power solutions for hyperscale customers." The new facility is currently under construction and is anticipated to commence operations in the fourth quarter of 2026.

Project Overview



The data center, designated as DFW10, will cover over 190,000 square feet in its initial phase and will incorporate scalable capacity designed to meet emerging market demands. This ambitious initiative emphasizes sustainability, featuring climate-neutral strategies, water conservation efforts, and biodiversity protection measures, as well as the capability to respond to emergencies during ERCOT grid events. Notably, the total investment for this infrastructure project is projected at $1.2 billion.

CyrusOne, renowned for its expertise in data center development and operations, articulated its commitment to leveraging Calpine’s unique Powered Land Capabilities (PLC). John Hatem, Chief Operating Officer at CyrusOne, stated, "We’re proud to be part of this landmark project... this campus demonstrates our commitment to delivering scalable, reliable infrastructure for our Intelliscale® customers." As artificial intelligence continues to drive exponential data demand, the need for robust, flexible infrastructure will only grow.

The Role of Calpine



For decades, Calpine has positioned itself as a premier provider of energy solutions tailored for industrial-scale consumers. With a generation capability of approximately 9,000 MW across ERCOT, Calpine is well-equipped to supply the necessary power demands of data centers in the Bosque area. Their innovative PLC suite provides essential resources for large-load, mission-critical users, reaffirming Calpine’s status as a crucial energy partner for hyperscale data centers.

Peña remarked, "Our world-class fleet is designed to support fast-paced development... This agreement further cements our role as a strategic energy partner, ensuring reliability for all Texans and bolstering the ERCOT grid."

Investing in Local Communities



State Representative Angelia Orr emphasized the broader implications of this partnership for Texas, stating, "This partnership is a win for Bosque County and for Texas... by bringing together world-class energy infrastructure and cutting-edge data center development, Calpine and CyrusOne are helping to power the future while investing in rural communities like ours." The collaboration promises to generate not only job opportunities but also enhanced economic stability within the region.

Future Prospects



As the project unfolds, the focus on integration of sustainable practices will likely set a precedent in the data center industry. The DFW10 campus aims to meet not only the immediate requirements of businesses and consumers in Texas but also adapt to the evolving demands shaped by the rapid advancements in technology. The successful completion of this project will be crucial in determining Texas's position in the competitive landscape of global data infrastructure.

Both Calpine and CyrusOne plan to commemorate this significant agreement with a ceremony at the construction site later this autumn, emphasizing their commitment to collaboration and innovation in the energy and technology sectors. As they embark on this journey together, the eyes of the tech world will be closely watching Texas as it takes strides towards a more sustainable and technologically advanced future.

Topics Business Technology)

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