SoftBank and American Electric Power Launch Huge Combined AI Data Center and Power Project

Author photo: Larry O'Brien
ByLarry O'Brien
Category:
Acquisition or Partnership

In a move that signals a tectonic shift for both the American energy landscape and the global race for artificial intelligence, the U.S. Department of Energy (DOE) has announced a monumental public-private partnership in southern Ohio. Anchored at the former Portsmouth Gaseous Diffusion Plant in Pike County, this $33.3 billion project—funded largely by Japan’s SoftBank Group—aims to create one of the world's largest AI data center and power complexes.

A Behemoth Scale for AI

The centerpiece of the announcement is a staggering 10-gigawatt (GW) data center campus. To put that in perspective, a single gigawatt can power roughly 750,000 homes; this facility alone will require a power supply equivalent to nearly one-third of Ohio’s current total generation capacity. SoftBank’s CEO, Masayoshi Son, has described the vision as part of a broader infrastructure push that could eventually see up to $500 billion channeled into such campuses to secure US leadership in AI.

Innovative Power and Grid Stability

A project of this magnitude requires a radical approach to energy. To avoid straining the existing local grid, SoftBank’s affiliate, SB Energy, is planning to build 10 GW of new power generation, including 9.2 GW of natural gas–fired electricity.

Key highlights of the power infrastructure include:

  • Grid Protection: SB Energy is investing $4.2 billion specifically for new electrical transmission lines and grid upgrades in partnership with AEP Ohio.

  • Ratepayer Safeguards: In alignment with federal "Ratepayer Protection" goals, SoftBank is covering the full cost of these infrastructure improvements, ensuring that local residents do not see their utility bills rise to fund the data center’s needs.

  • Excess Capacity: Any surplus power or transmission capacity generated by the project will be fed back into the local grid to help lower energy costs for the broader community.

Revitalizing Pike County

The choice of the Portsmouth Gaseous Diffusion Plant site is deeply symbolic. Once a Cold War–era hub for uranium enrichment, the federal land is now being repurposed as the "PORTS Technology Campus." This transition not only breathes new economic life into Appalachian Ohio but also includes commitments from SB Energy to pay for accelerated environmental remediation and cleanup at the historic site. Beyond the infrastructure, the project is expected to create thousands of regional jobs and modernize the energy footprint of southern Ohio.

Engage with ARC Advisory Group

Representative End User Clients
Representative Automation Clients
Representative Software Clients