Alabama is emerging as a growing destination for data center development, with artificial intelligence, cloud computing, and hyperscale infrastructure driving billions of dollars in proposed and ongoing investment. Blackridge Research tracks 30 upcoming data center projects in Alabama, representing approximately 2.9 GW of planned capacity and USD 60.4 billion in projected construction expenditure.

Major developments in data center projects in Alabama include Meta's Montgomery data center campus, Google's Jackson County facility, Nebius's Birmingham AI factory, Applied Digital's Delta Forge 2 campus in Brookwood, and Digi Power X's AI data center in Columbiana. These projects span hyperscale computing, AI infrastructure, and cloud services, with development activity extending across Birmingham, Montgomery, Tuscaloosa County, Shelby County, and North Alabama.

This article explores Alabama's data center market, highlighting major locations and upcoming data center construction projects alongside their planned capacity, investment, developers, development status, and expected timelines.

Latest List of Top 5 Upcoming Data Center Projects in Alabama, USA 2026

Childersburg Data Center Campus, Alabama

Western Hospitality Partners (WHP), in partnership with Old Town 109 LLC, is advancing a proposed USD 6 billion hyperscale data center campus in Childersburg, Talladega County, Alabama. The development is planned to deliver approximately 500 MW of power capacity across up to 1,337.1 acres of the Childersburg Industrial Park.

The proposed campus uses a closed-loop, glycol-based cooling system. Alabama Power is expected to supply electricity through dedicated grid infrastructure upgrades. The project has advanced through zoning changes, site assessments, and municipal land actions.

Capacity and Power Infrastructure

The proposed Childersburg data center campus is planned to provide approximately 500 MW of power capacity, making it one of Alabama's largest proposed data center developments. The project covers up to 1,337.1 acres, although developers have indicated that less than 10% of the property would accommodate the data center buildings.

Alabama Power is the planned electricity provider for the campus. Western Hospitality Partners has committed approximately USD 6 million toward transmission lines and grid infrastructure improvements needed to support the facility's electricity requirements.

Development Status and Timeline

• Late 2024 to early 2025: Western Hospitality Partners approached the City of Childersburg regarding the potential redevelopment of approximately 1,337 acres within the industrial park.

• January 2026: The Childersburg City Council approved a zoning ordinance amendment establishing a Planned Unit Development (PUD) framework that permits data centers as a principal use.

• February 2026: The mayor and Old Town 109 LLC signed an amended purchase and sale agreement for the property.

• Mid-2026: Developers advanced site due diligence, including limestone drilling, feasibility testing, environmental mapping, and site preparation. WHP representatives reported spending more than USD 2 million on due diligence and allocating USD 6 million toward Alabama Power infrastructure upgrades.

• October 2026: The Childersburg City Council, acting as the Land Redevelopment Authority, voted to surplus approximately 1,337.1 acres to Old Town 109 LLC, advancing the proposed property transfer.

• Current status: Proposed and in development, with land acquisition and infrastructure preparation progressing. The timing of construction commencement and commercial operations has not been confirmed.

Key Contractors and Partners

Nebius Birmingham AI Factory (BHM01)

Nebius Group N.V., an Amsterdam-headquartered AI cloud infrastructure company, is developing the Nebius Birmingham AI Factory (BHM01), a 300-megawatt (MW) data center campus in the Oxmoor Valley neighborhood of Birmingham, Alabama. The project occupies approximately 75 to 80 acres along Milan Parkway and Lakeshore Parkway, on land formerly used by the Regions Bank Lakeshore Operations Center.

The development comprises two data center buildings totaling approximately 450,000 square feet and is being constructed by Hoar Construction. Nebius acquired the site in September 2025 for approximately USD 90 million through its affiliate, Alabama ADC Holdings LLC. The project is planned in two phases, beginning with 100 MW of compute capacity and adding another 200 MW as the campus expands. Initial commissioning is targeted for late 2026, with full build-out expected by 2028.

Capacity and Power Infrastructure

The Nebius Birmingham AI Factory is designed to support high-density computing workloads for artificial intelligence training, inference, and cloud services. The campus has a planned continuous power capacity of 300 MW, with electricity expected to be supplied by Alabama Power.

At full build-out, the facility is projected to consume approximately 2.6 billion kilowatt-hours (kWh) of electricity annually. Its high and relatively continuous power demand reflects the requirements of AI computing infrastructure, including GPU clusters, server racks, data center cooling equipment, and associated electrical systems.

The development is planned in two phases:

• Phase 1: Approximately 100 MW of compute capacity, targeted for commissioning in the fourth quarter of 2026.

• Phase 2: An additional 200 MW, bringing the campus to its planned 300 MW capacity as construction progresses through 2027 and 2028.

Development Status and Timeline

The Nebius Birmingham AI Factory is under construction, progressing through a phased development program led by Hoar Construction. The project is transforming a former bank operations site into a large-scale AI computing facility.

• September 30, 2025: Nebius acquired the approximately 75-to-80-acre site through its affiliate, Alabama ADC Holdings LLC, in a transaction valued at approximately USD 90 million.

• January 2026: Initial building permit applications were submitted, and municipal reviews began for the planned data center buildings and associated infrastructure.

• March 2026: The Birmingham Zoning Board of Adjustment denied a variance sought for the proposed switching station and substation, creating a dispute over the electrical infrastructure's approval requirements.

• April 2026: Birmingham officials determined that the planned switching station and substation did not require the special zoning approval initially sought, allowing work on the electrical infrastructure to advance.

• Second quarter of 2026: Construction progressed following site preparation, demolition activities, and initial permitting milestones.

• Fourth quarter of 2026: Initial commissioning is targeted for the first 100 MW of compute capacity.

• 2027: Construction and equipment deployment are expected to continue as the second phase adds capacity.

• 2028: Full build-out is targeted, with the campus expected to reach its planned 300 MW power capacity.

Key Contractors and Partners

Applied Digital Delta Forge 2 AI Data Center

Applied Digital Corporation is developing Delta Forge 2, a proposed USD 3.2 billion hyperscale AI data center campus near Brookwood in Tuscaloosa County, Alabama. The project occupies approximately 1,300 acres near Brookwood Industrial Parkway, with the initial development phase covering roughly 160 acres. The campus is planned to deliver 210 megawatts (MW) of critical IT capacity across approximately 1.2 million to 1.3 million square feet of data center space.

The total investment comprises approximately USD 2.5 billion from Applied Digital and USD 800 million from the project’s undisclosed hyperscale tenant. The tenant has committed to a 15-year, USD 5.2 billion take-or-pay lease covering the full 210 MW of critical IT load.

Capacity and Power Infrastructure

The Delta Forge 2 campus is designed as a high-density AI computing facility to support intensive artificial intelligence training, inference, and cloud computing workloads. The project has a contracted critical IT load of 210 MW, with the entire capacity committed under a 15-year take-or-pay lease agreement with an investment-grade U.S. hyperscaler.

At full build-out, the campus is expected to span approximately 1.26 million square feet. The initial development phase covers roughly 160 acres within the larger 1,300-acre property, allowing space for data center buildings and supporting infrastructure.

Grid Connectivity and Electrical Infrastructure

Alabama Power is the planned electricity provider for Delta Forge 2. The site was selected partly because of its proximity to an existing Alabama Power substation, which offers a potential advantage in connecting the campus to the regional electricity grid.

Delta Forge 2 is planned to use a closed-loop cooling system designed to manage heat generated by high-performance computing equipment while limiting water consumption.

Development Status and Timeline

Delta Forge 2 has progressed from its initial customer agreement and environmental permitting into early construction. Applied Digital confirmed Brookwood as the project location in September 2026, following earlier disclosures about the 210 MW hyperscale lease.

• June 8, 2026: Applied Digital signed a 15-year, USD 5.2 billion take-or-pay lease agreement with an undisclosed investment-grade U.S. hyperscaler for 210 MW of critical IT capacity at Delta Forge 2.

• July 20, 2026: The Alabama Department of Environmental Management (ADEM) reportedly issued a construction stormwater permit authorizing initial land disturbance.

• September 24-25, 2026: Applied Digital publicly identified Brookwood in Tuscaloosa County as the location of Delta Forge 2 and disclosed the project's estimated USD 3.2 billion investment.

• October 1, 2026: Construction was reported to have commenced, marking the transition into early site development and civil works.

• First quarter of 2028: Initial operations are targeted, with the first phase expected to begin delivering computing capacity.

• By the end of 2028: Full project completion is targeted, with the campus expected to reach approximately 1.26 million square feet and its planned 210 MW critical IT load.

Key Contractors and Partners

Meta Montgomery Data Center

The Meta Montgomery Data Center is an AI-optimized facility being developed by Meta Platforms off Interstate 65 in Montgomery, Alabama, across from the Hyundai Motor Manufacturing plant. Announced in May 2024 with an initial investment of USD 800 million, the project expanded in September 2025 with an additional USD 700 million, bringing the reported total investment to more than USD 1.5 billion.

The campus, one of the largest data centers by Meta, is planned to span nearly 1.3 million square feet across four buildings on a roughly 1,500-acre site. The facility is designed to support artificial intelligence, machine learning, and other high-density computing workloads.

Capacity and Power Infrastructure

The four-building campus has an estimated total power capacity of approximately 195 MW. Building 1 has been reported to have a dedicated capacity of around 93 MW, while subsequent buildings are planned as part of the campus expansion.

Alabama Power is the project's primary electricity utility partner. The site was selected partly for its access to existing high-capacity electrical infrastructure in Montgomery's industrial corridor. A dedicated on-site substation supports the delivery of electricity to the campus.

Meta has stated that it will cover the electricity and infrastructure costs associated with its operations, including the upgrades required to serve the facility.

Renewable Energy and Sustainability

Meta aims to match 100% of the campus's electricity consumption with clean and renewable energy. The company has announced plans to bring approximately 227 MW of new renewable energy projects online in Alabama to support its operations.

The project's renewable energy portfolio includes utility-scale solar developments in Baldwin County, including SR Stockton I and SR Stockton II. These projects have been reported as contributing to the clean energy supply supporting Meta's Alabama operations.

Development Status and Timeline

The Meta Montgomery Data Center is under development, with initial operations targeted for the end of 2026.

• May 2024: Meta announced the project with an initial investment of USD 800 million and plans for a 715,000-square-foot facility.

• September 2025: Meta announced a USD 700 million expansion, increasing the reported total investment to more than USD 1.5 billion and expanding the campus plan to nearly 1.3 million square feet across four buildings.

• End of 2026: Initial operations are expected to begin, subject to construction and commissioning progress.

Key Contractors and Partners

Digi Power X AI Data Center

Digi Power X is developing a 40 MW Tier III AI data center in Columbiana, Shelby County, Alabama. The project is backed by a reported USD 1.1 billion, 10-year colocation agreement with Cerebras Systems and a USD 200 million debt financing commitment syndicated by Goldman Sachs to support project completion and expansion.

The facility is designed to support high-performance AI computing workloads through dedicated data center infrastructure and access to advanced accelerators. The development is planned in two phases, comprising 15 MW of IT load in Phase 1 and an additional 25 MW in Phase 2.

Capacity and Power Infrastructure

The Digi Power X AI data center is designed to support high-density computing and AI accelerator workloads, with a planned total IT load of 40 MW.

• Total IT capacity: 40 MW across two development phases.

• Phase 1: 15 MW of IT load, targeted for completion in December 2026.

• Phase 2: An additional 25 MW, targeted for completion in March 2027.

• Power capability: The company has reported access to approximately 70 MW of power capability at the site.

Alabama Power is the project's utility partner, supporting electricity delivery and grid interconnection. Digi Power X has reported completing a dedicated on-site substation serving the first phase. The project also uses modular infrastructure through the ARMS (AI Ready Modular Solutions) platform, developed in collaboration with US Data Centers Inc.

Supermicro is a technology partner for bare-metal GPU infrastructure, including access to NVIDIA Blackwell accelerators. Cerebras Systems is the reported anchor tenant under the long-term colocation agreement. Direct-to-chip cooling has been identified as part of the planned infrastructure for the main facility. 

Development Status and Timeline

The Columbiana facility is progressing through modular deployment and phased construction, with the first phase targeted for completion in late 2026.

• May 2026: The site reportedly began operating an initial ARMS 200 modular unit for AI computing workloads.

• December 2026: Phase 1 is targeted to deliver 15 MW of IT capacity.

• March 2027: Phase 2 is targeted to add 25 MW, bringing planned total IT capacity to 40 MW.

Key Contractors and Partners

Alabama Data Centers: Market Overview

Alabama's data center market includes hyperscale campuses, colocation facilities, enterprise data centers, and edge infrastructure. Established developments include Google's Jackson County campus near Bridgeport and Meta's Huntsville campus, while newer projects are expanding the state's AI and cloud computing capacity.

How Many Data Centers Does Alabama Have?

Blackridge Research tracks Alabama's operating data center market across different facility types and development categories. The total number of facilities can vary depending on whether the count includes only hyperscale and colocation sites or also covers enterprise and smaller edge facilities. 

As of October 2026, there are approximately 18 to 25 operating data center facilities at the project level.

Alabama's development pipeline is also expanding. Blackridge Research tracks 30 upcoming data center projects in the state, representing approximately 2.9 GW of planned capacity and USD 60.4 billion in projected construction expenditure. The pipeline includes projects at planning, announced, and under-construction stages.

Overview of Alabama's Data Center Market and Growth

Alabama's data center development is concentrated around established technology and industrial hubs, including Huntsville, Montgomery, Birmingham, and Jackson County. Google's Jackson County campus has operated since 2019, while Meta's Huntsville campus opened in September 2021. Meta's Montgomery campus, announced in May 2024, has further expanded the state's hyperscale footprint.

Recent developments reflect growing demand for AI computing infrastructure. Nebius is developing an AI factory in Birmingham, Applied Digital is advancing its Delta Forge 2 campus in Brookwood, and Digi Power X is developing an AI data center in Columbiana. Other proposed projects include QTS's Project Marvel in Bessemer and Cloverleaf Infrastructure's Project Red Clay in Lowndes County.

Together, these developments position Alabama as a growing data center market, while power availability, infrastructure investment, project approvals, and tax policy remain important factors influencing future construction.

Major Data Center Locations in Alabama

Alabama's data center market spans established technology hubs and emerging AI infrastructure sites. Google operates its data center in Jackson County near Bridgeport, while Meta has campuses in Montgomery and Huntsville. Birmingham is emerging as an AI infrastructure hub with Nebius's planned 300 MW facility, while Applied Digital's Delta Forge 2 campus is planned near Brookwood in Tuscaloosa County. 

Additional developments include Digi Power X's 40 MW AI data center in Columbiana and Western Hospitality Partners' proposed 500 MW campus in Childersburg.

Google Data Center in Alabama: What We Know

Is there a Google data center in Alabama?

Yes. Google operates a data center campus in Jackson County near Bridgeport, Alabama. The company announced the project in June 2015 as a USD 600 million investment at the former TVA Widows Creek coal plant site. Construction began in 2018, and the campus has operated since 2019.

Google says its total investment in Alabama exceeds USD 2 billion. In June 2026, the company announced a further USD 1.5 billion investment across 2026 and 2027. However, the announcement did not specify a new megawatt capacity or confirm a separate campus elsewhere in the state.

Google data center in Bridgeport, Alabama

The Jackson County campus is Google's confirmed Alabama data center. It reuses part of the former Widows Creek power plant's infrastructure and receives electricity from TVA.

Google has committed to paying its electricity and related infrastructure costs. Its community commitments include a USD 2 million Energy Impact Fund with TVA and the Community Action Agency of Northeast Alabama, USD 550,000 over five years for STEM kits in Jackson County schools, and digital-skills training for more than 130,000 Alabamians.

Google data center in Jackson County and North Alabama

Google's confirmed Alabama data center is in Jackson County. Meta's Huntsville campus is a separate facility, operated by Meta rather than Google.

Google AI data center and Alabama expansion plans

Google's USD 1.5 billion expansion announcement covers investment during 2026 and 2027, but the company has not publicly broken out the investment into AI capacity or disclosed additional megawatts.

Alabama Data Center Moratorium and Legislation

Is Alabama considering a data center moratorium?

A proposed statewide pause has become part of the policy debate, but it is not the same as an enacted statewide ban. Local moratoriums include:

• Birmingham: A six-month moratorium on data centers over 20 MW was approved in March 2026, with exemptions for Nebius and DC BLOX.

• Homewood: A 12-month moratorium was approved in June 2026, with the option of a six-month extension.

• Leeds, Cullman, Springville, and Fort Payne: Moratoriums were adopted in June 2026 for periods of up to one year.

• Shelby County, Westover area: A six-month moratorium was adopted in August 2026 for a proposed campus.

• Morgan County: Commissioners voted for a one-year ban in June 2026, although the legal authority for the measure is unclear.

• Rogersville: A moratorium was under consideration as of July 2026.

Alabama data center bill and legislation

Several 2026 measures address data center electricity costs and tax incentives.

Conclusion

Alabama's data center market is expanding, driven by demand for AI computing, cloud services, and hyperscale infrastructure. Blackridge Research tracks 30 upcoming data center projects in the state, representing approximately 2.9 GW of planned capacity and USD 60.4 billion in projected construction expenditure. 

Major developments include Meta's Montgomery campus, Nebius's Birmingham AI factory, Applied Digital's Delta Forge 2 in Brookwood, and Digi Power X's Columbiana facility, alongside Google's established Jackson County campus. 

The pace of development will depend on power availability, grid infrastructure, permitting, construction progress, and community considerations. Distinguishing operational facilities from planned and proposed projects is essential to understanding Alabama's evolving data center landscape.

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