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Meta Signs Deal for Advanced Geothermal Power in New Mexico to Support AI Expansion

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Meta has signed an agreement with XGS Energy to develop 150 megawatts of advanced geothermal electricity in New Mexico. The clean energy will power Meta’s expanding artificial intelligence data centers, marking a step forward in the tech giant’s efforts to source sustainable energy for its operations.

This deal highlights a growing trend among major technology companies to secure large-scale, low-carbon power supplies to meet soaring electricity demands driven by AI development. Advanced geothermal energy, unlike conventional geothermal, generates power without relying on natural water sources and produces no climate-warming emissions.

While 150 megawatts is a small portion of the gigawatts of power that Big Tech firms seek for AI data centers, it represents about 4% of total U.S. geothermal production capacity. New Mexico has significant untapped geothermal potential, estimated at around 160,000 megawatts.

The Meta-XGS project is planned to be phased in and operational by the end of this decade. The electricity generated will feed into the local grid and support Meta’s regional operations.

Urvi Parekh, Meta’s Global Head of Energy, said, “With next-generation geothermal technologies like XGS ready for scale, geothermal can be a major player in supporting the advancement of technologies like AI as well as domestic data center development. We’re excited to partner with XGS to unlock a new category of energy supply for our operations in New Mexico.”

Meta and TikTok Challenge EU Tech Supervisory Fees at General Court

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Meta Platforms and TikTok have taken their dispute over the European Union’s supervisory fees to the EU General Court, the bloc’s second highest judicial authority. Both companies argue that the fees imposed under the 2022 Digital Services Act (DSA) are disproportionate and based on flawed calculations.

The DSA requires large online platforms, including Meta, TikTok, and 16 other firms, to pay an annual supervisory fee of 0.05% of their global net income. This fee is intended to cover the European Commission’s costs for monitoring compliance with the law. The fee’s size depends on each company’s average monthly active users and their profit or loss status in the previous year.

Meta questioned the methodology used by the Commission, saying it unfairly applied group-level revenue rather than that of the subsidiary. Meta’s lawyer, Assimakis Komninos, criticized the fee’s calculation as opaque and inconsistent with the DSA’s principles, describing it as a “black box” that led to “implausible and absurd results.”

TikTok, owned by ByteDance, echoed these concerns. TikTok’s lawyer Bill Batchelor accused the Commission of inflating fees through double-counting users who access the platform on multiple devices and argued that the fee exceeded legal limits by referencing group profits rather than individual entities.

The European Commission defended its approach. Commission lawyer Lorna Armati said using consolidated group profits was justified, as the group’s total financial resources are available to pay the fee. She also rejected claims of insufficient transparency or unfair treatment.

The court is expected to deliver its ruling on these cases, Meta Platforms Ireland v Commission and TikTok Technology v Commission, next year.

Brazil’s Supreme Court Moves Toward Holding Social Media Platforms Accountable for User Posts

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Brazil’s Supreme Court ruled on Wednesday that social media platforms may be held responsible for certain illegal content posted by users on their sites, though key details of the ruling remain unresolved. In a preliminary vote, six of the 11 justices favored holding platforms accountable, which could lead to fines for companies that fail to remove unlawful posts.

This decision affects major players like Meta’s Facebook and Instagram, TikTok, Elon Musk’s X, and Alphabet’s Google in Brazil’s vast market of over 200 million users. Currently, under Brazilian law, platforms are only liable if they ignore a court order to remove content. The court majority sees this as a “veil of irresponsibility,” as Justice Gilmar Mendes stated, since companies are not presently held accountable even when aware of illegal content.

Meta warned in a 2024 statement that such a ruling could make platforms liable for nearly all types of content without prior notification. Google expressed openness to improving the law but emphasized the need for clear procedures to avoid legal uncertainty and indiscriminate content removal. TikTok and X representatives in Brazil did not respond to requests for comment.

The court has yet to define which content types would be considered illegal and is working towards consensus. Four judges are yet to vote in this ongoing trial, with the next session scheduled for Thursday. Changing earlier votes is possible but rare.