Cheyenne, Wyoming, is poised to become a nexus for advanced digital infrastructure with the planned construction of a massive AI data center. This monumental project is slated to consume an unprecedented amount of Wyoming energy, potentially surpassing the total electricity usage of all homes across the state, with capacities designed for significant future expansion.

The strategic choice of Cheyenne for such a colossal undertaking is no coincidence. The region boasts a naturally cool climate, which is ideal for maintaining optimal operating temperatures for vast server farms, coupled with an abundant supply of relatively inexpensive Wyoming energy from a state known for its prolific energy production.

This new AI data center builds upon an established foundation of technological investment in the area. Cheyenne has already been a key location for major tech players, notably hosting Microsoft data centers since 2012, and a substantial facility by Meta Platforms is currently nearing completion, further solidifying Cheyenne’s growing reputation as a Cheyenne technology hub.

The latest venture is a collaborative effort between Tallgrass, a regional energy infrastructure company, and Crusoe, a specialized AI data center developer. Initial plans project an electricity demand of 1.8 gigawatts, with the capability to scale up to an astounding 10 gigawatts, signifying a substantial commitment to cutting-edge digital infrastructure.

To put the scale into perspective, one gigawatt can power approximately one million homes. However, Wyoming, as the least populated U.S. state with roughly 590,000 residents, is also a significant energy exporter. Renowned for its coal, oil, and natural gas production, Wyoming generates about 12 times more energy than it consumes, largely exporting nearly three-fifths of its produced electricity, underscoring its pivotal role in the national energy consumption landscape.

Given the immense energy consumption requirements, this proposed AI data center will feature its own dedicated power generation sources, combining natural gas with a substantial emphasis on renewable energy. This approach aims to provide a reliable and potentially more sustainable power supply for the facility, mitigating some environmental concerns.

While AI data centers are inherently energy-intensive, the integration of renewable energy sources is a critical step towards reducing their environmental footprint. Nevertheless, the sheer scale of these projects could still exert pressure on existing grids, potentially leading to increased electricity bills for local consumers as utilities adapt to meet these colossal demands, impacting local economic development.

The chosen site for the AI data center is several miles south of Cheyenne, near the Colorado state line, off U.S. 85. Although the project requires final approval from state and local regulators, city officials express optimism that construction could commence in the near future, marking a significant step in Cheyenne technology expansion.

The push for massive AI data centers reflects a broader industry trend, with companies like OpenAI actively seeking vast sites for their computing needs, exemplified by projects like “Stargate.” While OpenAI has explored various U.S. locations and recently partnered with Oracle for additional capacity, it’s notable that Wyoming was not initially among the states publicly identified for their expansion efforts, highlighting the competitive landscape for digital infrastructure development and its impact on economic development.