Alphabet to Acquire Intersect to Advance U.S. Energy Innovation

Alphabet has announced a definitive agreement to acquire Intersect, which provides data center and energy infrastructure solutions, for $4.75 billion in cash, plus the assumption of debt. Google already owns a minority stake in Intersect from a previously announced funding round.

Intersect delivers infrastructure for data centers and other energy-intensive industries by co-locating industrial demand with dedicated gas and renewable power generation.

Included in the transaction are Intersect’s team and multiple gigawatts of energy and data center projects in development, or under construction, from its existing partnership with Google. Intersect will also explore a range of emerging technologies to increase and diversify energy supply, while supporting Google’s U.S. data center investments to meet its Cloud customers’ and users’ demand.

Intersect’s existing operating assets in Texas, and its operating and in-development assets in California, will not be part of the acquisition. Those assets continue to operate as an independent company, supported by existing investors.

Intersect’s operations will remain separate from Alphabet and Google under the Intersect brand and will be led by Sheldon Kimber. It will partner closely with Google’s technical infrastructure team, continuing work on in-development, and new, joint projects; this includes the companies’ first announced co-located data center and power site, under construction in Haskell County, Texas.

“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,” said Sundar Pichai, CEO of Google and Alphabet.

The deal is subject to customary closing conditions and anticipated to close in the first half of 2026.

Channel Impact^®
The acquisition is expected to enable more data center and generation capacity to come online, faster, while accelerating energy development and innovation.