Jackson Jambalaya

Amazon will spend $16 billion on two new data centers currently under construction in Madison County. The original investment was $10 billion. Yahoo News (courtesy of Bloomberg News) reported:  

Amazon.com Inc. is expected to spend 60% more than previously announced on a massive data center project in Mississippi, underscoring the escalating costs for artificial intelligence infrastructure.

The company will spend $16 billion to construct two data center campuses north of the state capital Jackson, according to state planning documents reviewed by Bloomberg. When Amazon announced the project a year ago, the company put the price tag at $10 billion and called it “the single largest capital investment in Mississippi’s history.”...

But despite all the tax breaks and other incentives being lavished on the project, the state expects most of the jobs created to be filled by contractors, the previously unreported documents show. They also reveal how data center costs keep getting bigger, owing in large part to the need for expensive equipment from suppliers like Nvidia Corp.

The largest chunk of Amazon’s planned spending — $7.2 billion — will go toward servers, fiber-optic cable and other technology infrastructure, according to the January-dated state planning documents. The state expects the $16 billion to be spent by the end of next year.

Mississippi gave Amazon tax breaks and $278 million of incentives in the form of infrastructure upgrades and workforce training.

Most of the state’s direct outlay — $172 million — is earmarked for proposed sewer upgrades such as a new wastewater treatment facility that can handle 8 million gallons per day, the documents show. Data centers generate significant wastewater keeping the facilities and power-hungry servers cool.

In lieu of taxes, Amazon will pay fees to the county, the documents show. During the first five years of the project, the state estimates Amazon’s fees will be about $209 million, according to the Mississippi Development Authority spokesperson. The state has said these fees will repay much of the incentive package and that the project will boost ancillary industries such as construction, housing and entertainment....

Amazon has said the Mississippi project will create at least 1,000 full-time jobs. But the documents show that almost two-thirds of them will be filled by contractors, not Amazon employees with company benefits. Full-time headcount, including contractors, will hit 1,000 in 2027 then remain flat, the state documents show. The workers will initially make about $80,000 a year.  Rest of article.