Cherokee County inks $2.1B deal with data center developer

Cherokee County is the latest county to announce a deal for a new data center, adding to the growing fleet of the energy gobblers across the Palmetto State.

Texas-based Cielo Digital Infrastructure has pledged to invest $2.1 billion in a data center campus with four 400,000-square-foot buildings near Gaffney in South Carolina’s Upstate. The center is expected to open by the end of 2028 and employ 30 people.

“This project not only brings cutting-edge technology to our region but also creates high-quality jobs and long-term economic growth,” Cherokee County Council Chairman Tim Spencer said in a statement.

The center joins previously announced centers including a $2.8 billion investment by NorthMark Strategies in Spartanburg County, an $800 million center in Aiken being developed by Facebook parent company Meta, a $1 billion QTS data center under development in York County, a pair of Google data centers in the Lowcountry, and four DC Blox data centers — two operating and two under development — around the state.

These centers house rows of computer servers needed to keep ever-advancing artificial intelligence and other technology humming. But they also use vast amounts of energy, with larger centers requiring upwards of 200 megawatts each.

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Cielo, on its website, advertises the Gaffney property as having a capacity of up to 300 megawatts.

The company, which bills itself more as an expert in data center development than a center operator, did not respond to questions from the SC Daily Gazette about whether it will retain ownership of the site or build it on behalf of other users.

“We identify and negotiate sites ready for data center development,” the company website reads. Our site selection process includes comprehensive understanding of power flows and fiber access across the U.S.”

Cherokee County Council finalized the deal with Cielo this week, offering tax incentives to entice the company to the area.

But Ken Moon, executive director of the county’s development board, would not provide any details on the size or length of those tax breaks, saying “the paperwork has not been finalized.” He told the Gazette that would not be made public for a few weeks.