Alphabet has agreed to acquire Intersect, a provider of data center and energy infrastructure solutions, in a deal valued at $4.75 billion in cash plus the assumption of debt. Google previously took a minority stake in Intersect through an earlier funding round.
Alphabet noted the acquisition is designed to speed the buildout of data center and power generation capacity in the U.S., bringing additional projects online faster while supporting Google’s expanding technical infrastructure footprint. The transaction includes Intersect’s workforce and a pipeline of multiple gigawatts of energy and data center projects that are in development or under construction through the company’s existing partnership with Google. Alphabet also said Intersect will explore emerging technologies to diversify and increase energy supply as Google continues expanding U.S. data center investments to meet demand from Cloud customers and users.
Intersect will continue to operate as a separate business under the Intersect brand, led by founder and CEO Sheldon Kimber. The company is expected to work closely with Google’s technical infrastructure team on existing and new joint developments, including a co-located data center and power site currently under construction in Haskell County, Texas.
Alphabet noted that certain Intersect assets are excluded from the acquisition. Intersect’s existing operating holdings in Texas, along with its operating and in-development assets in California, will remain outside the transaction and continue operating as an independent company backed by existing investors TPG Rise Climate, Climate Adaptive Infrastructure, and Greenbelt Capital Partners. The company said customers of those assets should expect continuity of service through a seamless transition.
Alphabet framed the deal as part of a broader effort to expand reliable, affordable power for data center growth while avoiding additional costs for grid customers. The company said it is pursuing partnerships and pathways to responsibly increase energy supply and accelerate the commercialization of advanced energy technologies, citing advanced geothermal, long-duration energy storage, and gas with carbon capture and storage. Alphabet also said it is deploying AI to accelerate grid connections for new power plants and to support energy-efficiency and affordability programs in data center communities.
The acquisition remains subject to customary closing conditions and is expected to close in the first half of 2026.
KEY QUOTES:
“Intersect 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. We look forward to welcoming Sheldon and the Intersect team.”
Sundar Pichai, CEO, Google and Alphabet
“Intersect has always been focused on bringing innovation to the industry and we look forward to accelerating at scale as part of Google. Modern infrastructure is the linchpin of American competitiveness in AI. We share Google’s conviction that energy innovation and community investment are the pillars of what must come next.”
Sheldon Kimber, Founder and CEO, Intersect
