Google completes US$4.75 billion Intersect Power acquisition, initial focus on California & Texas solar-plus-storage

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A Google data centre campus. CEO Sundar Pichai said the company would spend US$185 billion on AI-related capital expenditure this year. Image: Chad Davis/Flickr.

Google has finalised its acquisition of US renewable energy developer Intersect Power, as part of its plan to power its data centre expansions in the US.

The tech giant has completed its US$4.75 billion purchase of asset manager TPG Rise Climate’s share of Intersect, closing a transaction that began in December 2025.

In tandem with Google’s assumption of Intersect, the company’s lead shareholders, including TPG, Google, Climate Adaptive Infrastructure (CAI), and Greenbelt Capital Partners, have spun off Intersect’s grid-tied power business into a new independent power producer (IPP), IPX Power. The new entity will focus on co-located solar and battery energy storage system (BESS) projects, primarily across Texas and California.

“Google’s recognition of Intersect’s unique capabilities underscores the strength of its platform,” said Jamie Gilbert, business unit partner at TPG Rise Climate.

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The acquisition is a significant step in the role that big tech firms are playing in the US power sector. Big tech companies like Google, Amazon and Meta have been the biggest corporate buyers of power—particularly solar power—in the US over recent years, as they look to secure power for their expansive data centre operations.

The acquisition gives Google a “scalable model for meeting growing compute demand”, TPG said, and will allow the co-location of power sources with data centres. The company has said it will invest US$40 billion in building three data centres in Texas through 2027, and in its earnings call earlier this month CEO Sundar Pichai said the company would spend US$185 billion on AI-related capital expenditure this year.

Last week, big tech bosses gathered at a White House meeting with president Donald Trump where he announced a ‘ratepayer protection pledge’, which will require companies to provide, build or buy their own energy to power data centre development. Google, Amazon, Meta, Microsoft, Oracle, OpenAI and xAI have all signed the pledge, which, in principle, will see them coordinate arrangements with grid operators, state governments and utilities.

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