:max_bytes(150000):strip_icc()/GettyImages-2226698940-34bf60b3a0934b1f89d4f36e3031c740.jpg "Google Wants More Energy to Fuel AI. It’s Buying This Company to Help Power Its Data Centers.")
Key Takeaways
- Google parent Alphabet said Monday it’s buying energy infrastructure provider Intersect for $4.75 billion.
- CEO Sundar Pichai said the purchase will boost the firm’s ability to meet the power needs of AI data centers.
Google parent Alphabet just struck another big energy deal aimed at growing its AI data center footprint.
Alphabet (GOOGL) said Monday it’s buying energy infrastructure provider Intersect for $4.75 billion to help support its data center buildout.
CEO Sundar Pichai said the purchase of Intersect, which Google had already owned a stake in through a previous funding round, “will help us expand capacity, operate more nimbly in building new power generation in lockstep with new data center load, and reimagine energy solutions to drive US innovation and leadership.”
Why This Is Significiant
Like many of its Big Tech peers, Alphabet has said it plans to spend billions of dollars to raise its AI capacity. Monday’s deal underscores how that could involve buying other companies, as well as more partnerships.
Alphabet said its deal with Intersect would also serve its commitment to “unlock abundant, reliable, affordable energy supply that enables the buildout of data center infrastructure without passing on costs to grid customers.”
Alphabet shares were up less than 1% in recent trading. They’ve added nearly two-thirds of their value in 2025 as revenues surged, thanks in part to gains from AI.
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