The Pulse
Lambda Plans to Build a Data Center Campus in Lowndes County, Alabama, With an Estimated $33.1 Billion Investment
Lambda plans a proposed data center campus in Lowndes County, Alabama, with an estimated $33.1 billion investment. Lambda says it will pay the full cost of the facility’s power and grid infrastructure, and construction is expected to begin
AI.info Team · Written with AI · fact-checked ·
Lambda says it will pay the full cost of the power and grid infrastructure required to serve its proposed Lowndes County data center, through upfront commitments that apply even if project plans change. The proposed campus represents an estimated $33.1 billion investment in Alabama. Lambda announced plans for the Red Clay Technology Center Campus on November 4, 2026, and expects development to create more than 1,000 construction jobs over the course of development.
Projected tax revenue and anticipated full-time roles
Cloverleaf Infrastructure previously announced that the project represents more than $2.8 billion in projected local tax revenue through 2049, including more than $1.6 billion for Lowndes County Public Schools. Combined state and local tax revenue is projected to reach $3.4 billion through 2049. The project is anticipated to support more than 225 full-time roles across operations, technical and support functions. Lambda says it will work with local partners to identify opportunities for Lowndes County residents to fill operational positions and for local contractors to support construction.
Alabama Power and the construction schedule
The project will be powered by Alabama Power, pending regulatory approval. Construction is expected to begin in the first quarter of 2027 and is anticipated to take up to five years. The planned campus is near U.S. Highway 80 and Alabama Highway 21, with final design details to be developed as planning progresses. Lambda says its upfront financial commitments will cover the full cost of the power and grid infrastructure needed to serve the facility, even if project plans change. Lambda and Alabama Power have signed the White House Ratepayer Protection Pledge.
Cooling, water and site design
Lambda says the facility will deploy closed-loop cooling technology that significantly reduces water use compared with traditional data center cooling systems. Lambda plans to partner with N-Drip to support local farmers in conserving water. Lambda also says it will work with the community to return at least as much water as the facility uses. The project’s design will include setbacks, buffers, noise-reduction measures and DarkSky lighting to limit impacts on neighboring properties. Sight-line modeling will guide building placement and respect the character of surrounding properties, and Lambda says it is committed to upholding all requirements established in the Project Red Clay development agreements with Lowndes County.
A $10 million Community Benefits Agreement
In partnership with Cloverleaf Infrastructure, Lambda says it is investing $10 million through a Community Benefits Agreement with the Central Alabama Community Foundation, and is working to ensure the investment reflects community input and supports locally identified priorities.
“Building a successful project starts with building strong relationships in the community,” said Stephen Balaban, Co-founder and Chief Technology Officer at Lambda.
Lambda says it will continue engaging residents and local leaders, sharing project information and listening to community concerns and priorities as planning advances. Additional information about project timing, design and expected impacts will be shared as it becomes available.