LAS CRUCES, N.M. — Oracle is advancing its U.S. artificial intelligence infrastructure footprint with a major data center investment in southern New Mexico, positioning the project as both a driver of economic growth and a cornerstone of America’s AI leadership.
The company announced it will serve as the tenant for Project Jupiter, a large-scale AI data center campus in Doña Ana County, describing the development as a long-term investment in jobs, infrastructure, and community development. Oracle said the site will ultimately support AI workloads for OpenAI once construction is complete.
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With 147 active data centers worldwide and 64 more in development, Oracle said it is applying its global experience to ensure the New Mexico campus meets both customer needs and community expectations.
Oracle estimates the project will generate approximately $384 million annually for Doña Ana County during construction, followed by $113 million per year in direct economic output once the facility becomes operational.
According to a study by the New Mexico Economic Development Department, state and county governments are expected to receive more than $600 million in gross revenue tax payments. Oracle also committed $360 million in direct payments to support local schools, infrastructure improvements, and public services, along with an additional $50 million dedicated to water system upgrades.
The company said the water investments aim to modernize aging infrastructure and address longstanding water-quality challenges tied to arsenic, salinity, agricultural byproducts, and other contaminants.
Beyond infrastructure, Oracle is making more than $6.9 million in supplemental community investments, including funding for workforce development programs and a $1.5 million donation to the Boys and Girls Club of Las Cruces.
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While early projections anticipated 750 permanent jobs and 2,500 construction jobs, Oracle and its development partners now expect those figures to be significantly higher. The campus is projected to create approximately 4,000 construction jobs and up to 1,500 permanent jobs onsite or within the county once completed.
Oracle said it plans to prioritize local hiring and will work closely with trade schools, community colleges, universities, and workforce development organizations to prepare residents for careers in technology and operations.
As part of that effort, Oracle Academy, the company’s global philanthropic education initiative, is expanding partnerships with New Mexico State University and Doña Ana Community College, supporting instruction in computer science, information systems, and project management.
Oracle emphasized that the New Mexico data center has been designed to avoid the heavy water usage commonly associated with AI facilities. The campus will rely on a closed-loop, non-evaporative cooling system that does not draw water from local municipal supplies.
After initial filling, operational water use will largely be limited to standard office needs such as restrooms and breakrooms, making consumption comparable to a typical office building, the company said.
Energy affordability was also highlighted as a core design priority. The data center will operate on a dedicated microgrid independent of the public power system, ensuring no impact on local ratepayers. Oracle said it will fund all energy-related infrastructure, including onsite transmission lines, battery storage, and a dedicated substation.
Power will be delivered by gas turbines equipped with advanced emission controls and continuous monitoring, with installed pollution controls expected to exceed newly issued U.S. Environmental Protection Agency standards by 50% or more. Oracle added that it is actively working to integrate renewable energy sources as the project progresses, aligning with New Mexico’s 2045 net-zero goals.
Oracle framed the New Mexico campus as part of a broader national strategy, alongside AI data centers in Texas, Michigan, and Wisconsin, to reinforce U.S. leadership in artificial intelligence.
The company said the investments are intended to drive innovation across sectors including medicine, education, and national security, while delivering lasting economic benefits to host communities.
Originally reported by Josh Pitcock, Senior Vice President, Oracle in Oracle.
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