SEATTLE (dpa-AFX) - Amazon has announced a $20 billion investment to develop two large-scale data center campuses in Pennsylvania, marking the state's largest-ever private capital infusion.
The tech giant's cloud division, Amazon Web Services, will build the facilities in Luzerne and Bucks counties-one adjacent to the Susquehanna nuclear power plant and the other at the Keystone Trade Center in Fairless Hills.
Kevin Miller, AWS Vice President of Global Data Centers, confirmed the projects, which are expected to create at least 1,250 jobs across construction, engineering, cybersecurity, and network operations. The expansion reflects Amazon's broader push to scale its AI and cloud computing infrastructure, amid intensifying competition in the tech sector.
The data center near the Susquehanna plant has triggered federal scrutiny. Amazon acquired the site from Talen Energy for $650 million with plans to directly draw up to 960 megawatts roughly 40% of the nuclear facility's output-via a 'behind-the-meter' arrangement.
This setup bypasses the traditional power grid, enabling faster energy access but raising concerns about fairness, grid stability, and whether large users should pay standard transmission fees. The Federal Energy Regulatory Commission has temporarily blocked the deal on procedural grounds, with a final ruling still pending.
The developments come as Big Tech deepens its investments in data infrastructure. Since early 2024, Amazon has pledged around $10 billion each to data center projects in Mississippi, Indiana, Ohio, and North Carolina.
Microsoft has similarly struck a deal to restart Pennsylvania's Three Mile Island nuclear reactor to power its own facilities, while plans are underway to transform a former coal plant in the state into a $10 billion natural gas-fueled data center hub.
Despite the economic boost, data center growth has stirred bipartisan concern across the U.S., with critics citing noise, aesthetic issues, housing impacts, and potential national security risks.
It remains unclear whether Amazon received state tax incentives for its Pennsylvania investment, as Governor Josh Shapiro's office declined to comment.
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