Google announced Tuesday that it has signed a deal to invest in and buy energy from what's expected to be the largest solar facility in the United States, according to a press release from Cypress Creek Energy and a company blog post. The tech giant will act as an "anchor investor" and offtaker for the Steel River Energy Center, a combined 2.5 GW solar and 2.9 GWh battery storage project that broke ground Tuesday in Mississippi County, Arkansas. The project is slated for full completion in 2029.
The facility will be built in three phases, with the first two phases bringing 1.6 GW of solar generation and 1.9 GWh of battery storage online, according to the releases. Google signed a power purchase agreement to receive energy from those first two phases and called Steel River "the largest solar and storage project across its portfolio to date." The project is expected to create 700 construction jobs during each phase and generate an estimated $300 million in local tax revenue to Mississippi County over its lifetime. Google committed $5 million for local energy affordability initiatives benefiting residents and K-12 schools in Arkansas, while Cypress Creek will add a $3 million community investment that begins with a $400,000 contribution to build a new playground in a nearby school district.
The report notes that solar and battery storage systems accounted for 91% of all new electricity generation capacity in the U.S. in the first quarter of this year, according to a June report from the Solar Energy Industries Association. Cypress Creek CEO Kevin Smith said the project will be built with solar panels made entirely in the U.S., and the company said "nearly all" of the steel for the project's structure will come from Mississippi County facilities. "Some people still question whether a domestic solar supply chain is possible. This project is proof," Smith said in the July 14 release. Google didn't disclose the financial terms of its investment or offtake agreements.
Google called Steel River "a game changer" in its company blog because it pairs solar arrays with advanced battery storage systems, addressing one of renewable energy's core challenges: intermittency. The deal comes as Google's artificial intelligence buildout has driven emissions increases over the past three years. The company's latest sustainability report found that its 2025 carbon footprint is 18% higher than in 2024 and 81% higher than its 2019 baseline, underscoring the pressure on tech companies to secure clean energy as data center demand surges. The Arkansas project represents Google's largest single commitment to solar and storage infrastructure to date, a signal that hyperscale tech companies are racing to lock in renewable capacity ahead of AI-driven electricity demand that shows no signs of slowing.