AI data centers shift risk to bonds, leases and ratepayers — July 31, 2026

Meta’s El Paso data-center venture puts AI infrastructure risk on the balance sheet, with AWS pressing Virginia on transmission funding, PJM moving on reliability backstops, and Equinix tapping bonds as the buildout keeps forcing capital and grid-cost questions. In this episode: Top stories: 1. Meta identified El Paso, Texas, as the location of a proposed data center co-development venture in which it would hold a 20% interest. The proposed transaction includes approximately $2.3 billion of contributed assets, an approximately $1 billion distribution to Meta, future leases and approximately $13 billion of maximum residual-value-guarantee exposure. — U.S. Securities and Exchange Commission https://www.sec.gov/Archives/edgar/data/1326801/000162828026050705/meta-20260630.htm 2. Meta recorded $31.08 billion of second-quarter capital expenditures and issued $25.00 billion of fixed-rate senior unsecured notes. It also newly identified third-party AI token costs alongside data centers, technical infrastructure and cloud services as contributors to higher expenses. — Securities and Exchange Commission https://www.sec.gov/Archives/edgar/data/1326801/000162828026050705/meta-20260630.htm 3. Amazon Pushes Virginia to Let Data Centers Fund Grid Upgrades — Data Center Knowledge https://www.datacenterknowledge.com/energy-power-supply/amazon-pushes-virginia-to-let-ai-data-centers-fund-their-own-grid-upgrades 4. PJM Board Directs FERC Filing on Reliability Backstop Procurement and Interim Resource Adequacy Serv | Energy & Climate Counsel | Foley Hoag LLP — Energy & Climate Counsel https://foleyhoag.com/news-and-insights/blogs/energy-and-climate-counsel/2026/july/pjm-board-directs-ferc-filing-on-reliability-backstop-procurement-and-interim-resource-adequacy-serv/ 5. Equinix Data Center Deal Aims for $3 Billion — Bloomberg Markets https://headlinesbriefing.com/market/bloomberg-markets/equinix-data-center-deal-aims-for-3-billion-760f82f5 Follow and rate The Data Center Daily on Apple Podcasts or Spotify. Feedback? Email [email protected]