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Inside Amazon’s $15 Billion Data Center Expansion in Northwest Indiana, State’s Largest Construction Project

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Amazon Announces $15 Billion Data Center Expansion in Northwest Indiana, State’s Largest Construction Project

The Amazon Indiana Data Center Expansion Project is a digital infrastructure development planned in the United States. Amazon Web Services announced plans to invest an additional US$15 billion in the development of new data center campuses across Northwest Indiana. This built on an existing US$11 billion data center project currently under construction in New Carlisle.

The expansion is being undertaken in partnership with the State of Indiana, the Indiana Economic Development Corporation, and Northern Indiana Public Service Company (NIPSCO). The project involves the construction of multiple data center facilities and associated infrastructure and is expected to support employment in data center operations and technical services across the region. Other than the Amazon data center expansion, data centers across Indiana are gradually taking shape as RadiusDC targets Plainfield to build two data centers. 

Local news reports noted that the Planfield plan commission this week unanimously approved a primary plat petition for a data center project. Furthermore, according to Planfield’s website, Radius Data Centers has noted its interests to set up the project.

The company seeks to develop the project on a combined 31 acres, each totaling 100,853 sq. ft. This will be located on the southwest corner of Smith Road and Allpoints Parkway. The site is currently zoned for office/warehouse use.

RadiusDC Plainfield Indiana Data Centers

Powering the Future: A One-of-a-Kind Utility Agreement

At the heart of the expansion is a special power purchase agreement forged among Amazon, NIPSCO, and its new subsidiary, GenCo. The agreement locks in 2.4 gigawatts of power for the massive data centers while segregating the substantial infrastructure costs from existing NIPSCO residential and commercial ratepayers.

According to Vince Parisi, president and COO of NIPSCO, this agreement will save existing customers approximately $1 billion in costs over 15 years by having Amazon cover the full expense of the necessary new energy infrastructure.

Power has long been a flashpoint for Indiana residents worried that data-center demand could drive up their bills, and while Amazon’s NIPSCO deal aims to shield them from those costs, the state is also independently expanding its capacity—evidenced by Duke Energy’s $3.3 billion conversion of its Cayuga Station to natural gas to boost grid supply.

Building on Existing Momentum

The new $15 billion investment is on top of the already-operational $11 billion “Project Rainier” campus in New Carlisle, which trains AI models for the startup Anthropic. The new campuses will focus on expanding this capacity further.

While state officials tout the economic benefits and the creation of high-wage jobs, the project has not been without local controversy. The initial New Carlisle project faced criticism and a temporary halt order from the Indiana Department of Environmental Management earlier this year over unauthorized impacts to wetlands. Amazon officials have since said they are working with regulatory bodies on revised applications and mitigation efforts.

Amazon plans to begin construction on the new data centers in 2026, while the existing campuses in New Carlisle aim to reach full operational status by the end of 2025. The company and local officials have not yet confirmed the exact locations for the new campuses in Northwest Indiana, but Amazon indicated they will select the sites soon.

While state incentives are available for projects of this scale, the finalization of local tax abatements and community impact contributions (CIC) will depend on which specific communities are ultimately selected to host the new campuses.

This historic investment, building on an existing $11 billion project currently underway in New Carlisle
This historic investment, building on an existing $11 billion project currently underway in New Carlisle

Amazon Indiana Data Center Expansion: Factsheet

Location: Northwest Indiana, USA

DevOps Engineer: Amazon Web Services (AWS)

Partners: State of Indiana, Indiana Economic Development Corporation (IEDC), Northern Indiana Public Service Company (NIPSCO)

Project Type: Data Center Campus Expansion

Investment: $15 billion in addition to the existing $11 billion “Project Rainier”

Jobs Created: At least 1,100 new high-skilled positions

Key Dates:

Existing Project Rainier operational: 2025 – Anthropic trains AI models

New campus construction start: 2026

Key Features:

Largest single construction project in Indiana history

Focus on AI and global digital economy infrastructure

Unique 2.4 GW power purchase agreement with NIPSCO/GenCo

Savings of $1 billion to existing ratepayers over 15 years

Environmental & Regulatory:

Previous project faced IDEM stoppage due to wetland impacts

Amazon working on revised applications & mitigation.

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