Army Taps Private Capital to Build Data Centers on Its Bases

March 26, 2026, 9:00 AM UTC

The US Army has announced the first group of companies that will build data centers on military bases, as the armed forces address a growing need for artificial intelligence computing power.

The Army plans to work with Carlyle Group Inc. to build a data center at Fort Bliss in Texas, and KKR & Co.-backed data-center operator CyrusOne to construct another at Dugway Proving Ground, Utah, Army Secretary Dan Driscoll told reporters.

Each project is expected to involve the companies investing billions of dollars.

The centers will be built on underused Army land through 50-year leases, allowing private developers to ...

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