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Released September 22, 2025 | SUGAR LAND
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September 22, 2025--Researched by Industrial Info Resources (Sugar Land, Texas)--Microsoft Corporation (Redmond, Washington) announced last week that it would drop another $4 billion on a second data center complex to be built near its current $3.3 billion development in Mount Pleasant, Wisconsin. In addition to power from a new solar plant being built in the state, the facility also will require new fossil-fueled power generation.
At last, the Wisconsin village of Mount Pleasant will see the several billions of dollars in cutting-edge technology that it was promised several years ago. In 2017, Taiwanese manufacturer Foxconn (New Taipei City), one of the world's largest electronics producers, announced plans to develop a $10 billion liquid crystal display (LCD) screen plant in Mount Pleasant. Foxconn held a groundbreaking ceremony in 2018 that was attended by U.S. President Donald Trump during his first term, in which he referred to the project as the "Eighth Wonder of the World."
After overhauling the village's tax schemes and financial structure to accommodate the massive facility, as well as forcing multiple families to lose their homes through high-pressure buyouts or eminent domain, the Foxconn project began fizzling out, with the company scaling it back slowly at first, leading to the announcement of a massive reduction in the facility's scope in 2021. In short, the project as envisioned never happened, and while Foxconn currently does manufacture some electronics at the site, its investment in the area shrank to less than $700 million for a much smaller facility that required only a fraction of the land set aside and more than 11,000 fewer workers than originally envisioned.
In 2024, Microsoft announced plans to use part of the land to construct a $3.3 billion artificial intelligence (AI) data center complex. Construction kicked off quickly, and now, that first facility is approaching completion and expected to enter operations next year.
And as that project winds down, Microsoft has announced plans to invest the even larger sum of $4.3 billion in Mount Pleasant for a similar complex with even more advanced specifications. Already bragging that its initial $3.3 billion investment will soon lead see the startup of "the world's most powerful AI data center," Microsoft will make the complex bigger and more powerful. Microsoft President Brad Smith said in a town hall meeting that the first facility would house hundreds of thousands of NVIDIA (Santa Clara, California) Blackwell GB200 graphics processing units, capable of handling AI models. Smith said the second data center will come online in 2027 or later.
While more than $7 billion in investment is on the table for the area, the 2026 completion of initial construction will lead to about 500 full-time employees, growing to about 800 jobs after the second round of construction--a fraction of the number of employees envisioned under Foxconn's scheme.
Microsoft and its executives have hinted at the overall facility's final resource consumption but haven't been forthcoming with details. The initial data center will consume about 2.8 million gallons of water per year, which, skipping over the exact specs in favor of something slightly rosier, Microsoft said in press release was what a "typical restaurant or what an 18-hole golf course consumes in peak summer."
A recent article in the Wisconsin Examiner, however, notes that the nearby city of Racine's projections about the project showed water use escalating from 2.8 million gallons to up to 8.4 million gallons as additional the data facilities and substations came online. Since its initial Foxconn days, water resources have been a cause of concern for residents as the facility's water will be diverted from Lake Michigan. However, Foxconn initially requested the use of 7 million gallons per day, so Microsoft's potential 8.4 million gallons per year, which will rely on a closed-loop cooling system in addition the use of outside air for cooling, should prove much less divisive.
The data center's power consumption will probably stir up more controversy. According to CNBC, Smith said the two facilities will require approximately 900 megawatts (MW) of power, although a second source to confirm this statement was not readily available. The 900-MW estimate could be a simple doubling of the 450 MW expected to be consumed in the facility's initial iteration, although no exact figure for the combined facility appears to have been released.
One thing Microsoft is making no bones about: new natural gas-fired power will be required, and the company is working with We Energies (Milwaukee, Wisconsin) to that end. Renewable energy isn't entirely off the table, although the company's plans may not satisfy all critics. Microsoft has made a power purchase agreement (PPA) with Geronimo Power (Bloomington, Minnesota) (previously National Grid Renewables) for the output of a 250-MW solar power plant in Portage County, about 150 miles away. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the project report. Microsoft has vowed to offset the Wisconsin facility's fossil-fuel use by making PPAs for renewable energy in other locations, although this doesn't go far with some critics, who point out that purchasing renewable energy from possible out-of-state sources still adds, rather than subtracts, fossil-fueled power from Wisconsin's own grid.
So what kind of gas-fired projects are on We Energies' table? The company will probably need to add a bit more than what's currently on its books. We's largest gas-fired project involves transitioning its Oak Creek Power Plant in Milwaukee (about 30 miles from Mount Pleasant) from coal to gas. The 1,100-MW end result, however, will be replacing, virtually megawatt for megawatt, the power lost from coal rather than actually adding any new generation to the grid. (Click here for the project report.)
In addition, multiple uprates and the addition of a peaking station to its gas-fired fleet will add some additional power to We's portfolio, but not enough to put a significant dent in the Microsoft project's consumption, especially keeping in mind that other data centers are planned for the area, and while not on a similar scale to the Microsoft, will nevertheless require substantial power. Of particular note is an 11-building complex being planned by Vantage Data Centers (Denver, Colorado) in Port Washington, about 55 miles from Mount Pleasant. Subscribers to Industrial Info's GMI Industrial Manufacturing Project Database can learn more by viewing the related project reports.
On the subject of other data centers, Microsoft hasn't said whether the expanded plans for Mount Pleasant will affect its other plans in the state, in particular a potential data center in Kenosha, less than 20 miles from Mount Pleasant. Microsoft acquired 240 acres for the Kenosha development in January, but U.S. data center developers have become somewhat notorious for acquiring land without following through on projects. Industrial Info's coverage of the project includes construction of four buildings. (See project report.) With one of the world's most powerful data centers going up next door from the same company, however, Mount Pleasant's recent gain seems set to bring disappointment to Kenosha leaders.
Subscribers can click here to see Industrial Info's multiple project reports relating to Microsoft's Mount Pleasant development.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
At last, the Wisconsin village of Mount Pleasant will see the several billions of dollars in cutting-edge technology that it was promised several years ago. In 2017, Taiwanese manufacturer Foxconn (New Taipei City), one of the world's largest electronics producers, announced plans to develop a $10 billion liquid crystal display (LCD) screen plant in Mount Pleasant. Foxconn held a groundbreaking ceremony in 2018 that was attended by U.S. President Donald Trump during his first term, in which he referred to the project as the "Eighth Wonder of the World."
After overhauling the village's tax schemes and financial structure to accommodate the massive facility, as well as forcing multiple families to lose their homes through high-pressure buyouts or eminent domain, the Foxconn project began fizzling out, with the company scaling it back slowly at first, leading to the announcement of a massive reduction in the facility's scope in 2021. In short, the project as envisioned never happened, and while Foxconn currently does manufacture some electronics at the site, its investment in the area shrank to less than $700 million for a much smaller facility that required only a fraction of the land set aside and more than 11,000 fewer workers than originally envisioned.
In 2024, Microsoft announced plans to use part of the land to construct a $3.3 billion artificial intelligence (AI) data center complex. Construction kicked off quickly, and now, that first facility is approaching completion and expected to enter operations next year.
And as that project winds down, Microsoft has announced plans to invest the even larger sum of $4.3 billion in Mount Pleasant for a similar complex with even more advanced specifications. Already bragging that its initial $3.3 billion investment will soon lead see the startup of "the world's most powerful AI data center," Microsoft will make the complex bigger and more powerful. Microsoft President Brad Smith said in a town hall meeting that the first facility would house hundreds of thousands of NVIDIA (Santa Clara, California) Blackwell GB200 graphics processing units, capable of handling AI models. Smith said the second data center will come online in 2027 or later.
While more than $7 billion in investment is on the table for the area, the 2026 completion of initial construction will lead to about 500 full-time employees, growing to about 800 jobs after the second round of construction--a fraction of the number of employees envisioned under Foxconn's scheme.
Microsoft and its executives have hinted at the overall facility's final resource consumption but haven't been forthcoming with details. The initial data center will consume about 2.8 million gallons of water per year, which, skipping over the exact specs in favor of something slightly rosier, Microsoft said in press release was what a "typical restaurant or what an 18-hole golf course consumes in peak summer."
A recent article in the Wisconsin Examiner, however, notes that the nearby city of Racine's projections about the project showed water use escalating from 2.8 million gallons to up to 8.4 million gallons as additional the data facilities and substations came online. Since its initial Foxconn days, water resources have been a cause of concern for residents as the facility's water will be diverted from Lake Michigan. However, Foxconn initially requested the use of 7 million gallons per day, so Microsoft's potential 8.4 million gallons per year, which will rely on a closed-loop cooling system in addition the use of outside air for cooling, should prove much less divisive.
The data center's power consumption will probably stir up more controversy. According to CNBC, Smith said the two facilities will require approximately 900 megawatts (MW) of power, although a second source to confirm this statement was not readily available. The 900-MW estimate could be a simple doubling of the 450 MW expected to be consumed in the facility's initial iteration, although no exact figure for the combined facility appears to have been released.
One thing Microsoft is making no bones about: new natural gas-fired power will be required, and the company is working with We Energies (Milwaukee, Wisconsin) to that end. Renewable energy isn't entirely off the table, although the company's plans may not satisfy all critics. Microsoft has made a power purchase agreement (PPA) with Geronimo Power (Bloomington, Minnesota) (previously National Grid Renewables) for the output of a 250-MW solar power plant in Portage County, about 150 miles away. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more by viewing the project report. Microsoft has vowed to offset the Wisconsin facility's fossil-fuel use by making PPAs for renewable energy in other locations, although this doesn't go far with some critics, who point out that purchasing renewable energy from possible out-of-state sources still adds, rather than subtracts, fossil-fueled power from Wisconsin's own grid.
So what kind of gas-fired projects are on We Energies' table? The company will probably need to add a bit more than what's currently on its books. We's largest gas-fired project involves transitioning its Oak Creek Power Plant in Milwaukee (about 30 miles from Mount Pleasant) from coal to gas. The 1,100-MW end result, however, will be replacing, virtually megawatt for megawatt, the power lost from coal rather than actually adding any new generation to the grid. (Click here for the project report.)
In addition, multiple uprates and the addition of a peaking station to its gas-fired fleet will add some additional power to We's portfolio, but not enough to put a significant dent in the Microsoft project's consumption, especially keeping in mind that other data centers are planned for the area, and while not on a similar scale to the Microsoft, will nevertheless require substantial power. Of particular note is an 11-building complex being planned by Vantage Data Centers (Denver, Colorado) in Port Washington, about 55 miles from Mount Pleasant. Subscribers to Industrial Info's GMI Industrial Manufacturing Project Database can learn more by viewing the related project reports.
On the subject of other data centers, Microsoft hasn't said whether the expanded plans for Mount Pleasant will affect its other plans in the state, in particular a potential data center in Kenosha, less than 20 miles from Mount Pleasant. Microsoft acquired 240 acres for the Kenosha development in January, but U.S. data center developers have become somewhat notorious for acquiring land without following through on projects. Industrial Info's coverage of the project includes construction of four buildings. (See project report.) With one of the world's most powerful data centers going up next door from the same company, however, Mount Pleasant's recent gain seems set to bring disappointment to Kenosha leaders.
Subscribers can click here to see Industrial Info's multiple project reports relating to Microsoft's Mount Pleasant development.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
