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<v Sarah>Japan <00:00:00.440>wants <00:00:00.680>another <00:00:01.040>giant <00:00:01.504>data-center <00:00:02.133>buildout.

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<v Sarah>The <00:00:03.422>calendar <00:00:03.980>may <00:00:04.208>have <00:00:04.440>other <00:00:04.760>ideas.

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<v Sarah>This <00:00:06.800>is <00:00:06.980>The <00:00:07.088>Data <00:00:07.337>Center <00:00:07.760>Daily.

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<v Sarah>Today: <00:00:09.133>Japan’s <00:00:09.742>capacity <00:00:10.307>clock, <00:00:11.097>Oracle’s <00:00:11.560>new <00:00:11.728>debt <00:00:12.000>terms, <00:00:12.580>and <00:00:12.920>whether <00:00:13.264>Loudoun <00:00:13.680>County <00:00:14.200>can <00:00:14.390>legally <00:00:14.920>hit <00:00:15.147>pause.

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<v Matt>Three <00:00:16.960>fights, <00:00:17.920>same <00:00:18.307>basic <00:00:18.711>question: <00:00:19.820>who <00:00:20.048>gets <00:00:20.293>to <00:00:20.480>say <00:00:20.840>yes—and <00:00:21.740>who’s <00:00:22.067>stuck <00:00:22.453>carrying <00:00:22.900>the <00:00:23.040>bill <00:00:23.408>when <00:00:23.616>they <00:00:23.760>don’t.

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<v Sarah>Bloomberg <00:00:25.289>writes:

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<v Quote>NTT <00:00:27.167>Data <00:00:27.527>Group <00:00:27.807>Corp.

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<v Quote>expects <00:00:28.794>to <00:00:28.900>spend <00:00:29.194>at <00:00:29.300>least <00:00:29.607>$9 <00:00:30.097>billion <00:00:31.037>through <00:00:31.567>2033 <00:00:32.394>to <00:00:32.660>quadruple <00:00:33.207>computing <00:00:33.647>capacity <00:00:34.340>to <00:00:34.527>1 <00:00:34.667>gigawatt, <00:00:35.611>addressing <00:00:36.087>a <00:00:36.194>surge <00:00:36.554>in <00:00:36.676>demand <00:00:37.114>in <00:00:37.247>Japan.

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<v Quote>The <00:00:38.567>country’s <00:00:39.047>biggest <00:00:39.391>data <00:00:39.693>center <00:00:40.029>operator

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<v Quote>which <00:00:40.900>is <00:00:41.047>owned <00:00:41.327>by <00:00:41.516>government-backed <00:00:42.287>NTT <00:00:42.907>Inc.

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<v Quote>intends <00:00:43.994>to <00:00:44.107>add <00:00:44.327>roughly <00:00:44.767>750 <00:00:45.867>megawatts <00:00:46.394>of <00:00:46.518>capacity <00:00:47.151>over <00:00:47.427>the <00:00:47.535>next <00:00:47.780>seven <00:00:48.114>years.

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<v Matt>NTT <00:00:49.613>Data <00:00:50.013>is <00:00:50.233>talking <00:00:50.693>$9.6 <00:00:51.913>billion <00:00:53.013>for <00:00:53.533>750 <00:00:54.633>megawatts <00:00:55.363>through <00:00:56.013>2033—and <00:00:57.741>only <00:00:58.093>42 <00:00:58.713>megawatts <00:00:59.444>actually <00:01:00.061>gets <00:01:00.320>added <00:01:00.717>this <00:01:01.053>year.

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<v Matt>Seven <00:01:02.586>years <00:01:03.133>is <00:01:03.333>a <00:01:03.469>long <00:01:03.949>time <00:01:04.386>to <00:01:04.541>keep <00:01:04.783>calling <00:01:05.293>100 <00:01:05.913>megawatts <00:01:06.520>of <00:01:06.706>AI <00:01:07.053>demand <00:01:07.813>a <00:01:08.160>buildout.

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<v Sarah>The <00:01:09.741>near-term <00:01:10.310>marker <00:01:10.733>is <00:01:10.955>concrete: <00:01:11.973>a <00:01:12.173>100-megawatt <00:01:13.240>Tochigi <00:01:13.835>facility <00:01:14.390>starts <00:01:14.782>construction <00:01:15.437>next <00:01:15.757>year, <00:01:16.386>north <00:01:16.680>of <00:01:16.840>Tokyo.

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<v Sarah>But <00:01:17.973>the <00:01:18.133>¥2 <00:01:18.383>billion <00:01:18.946>to <00:01:19.453>¥2.5 <00:01:20.383>billion <00:01:20.873>per-megawatt <00:01:21.835>estimate <00:01:22.449>excludes <00:01:23.453>Nvidia <00:01:23.993>accelerators

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<v Sarah>so <00:01:25.413>the <00:01:25.586>headline <00:01:26.113>capex <00:01:26.873>has <00:01:27.093>a <00:01:27.179>pretty <00:01:27.517>expensive <00:01:28.146>asterisk.

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<v Matt>Exactly. <00:01:30.936>Construction <00:01:31.513>and <00:01:31.741>equipment <00:01:32.253>are <00:01:32.573>one <00:01:32.877>bill.

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<v Matt>GPUs <00:01:34.633>are <00:01:34.863>another. <00:01:35.453>Then <00:01:36.146>there’s <00:01:36.546>power <00:01:36.866>delivery—its <00:01:38.013>own <00:01:38.318>unpleasant <00:01:39.035>conversation.

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<v Matt>Everybody <00:01:41.213>loves <00:01:41.693>a <00:01:41.873>one-gigawatt <00:01:42.802>target <00:01:43.333>until <00:01:43.986>somebody <00:01:44.473>has <00:01:44.706>to <00:01:44.866>energize <00:01:45.373>it.

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<v Sarah>Still, <00:01:46.802>credit <00:01:47.240>where <00:01:47.426>it’s <00:01:47.693>due: <00:01:48.433>the <00:01:48.557>plan <00:01:48.877>puts <00:01:49.213>$9.6 <00:01:50.293>billion <00:01:51.179>toward <00:01:51.513>one <00:01:51.773>gigawatt <00:01:52.413>by <00:01:52.653>2033.

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<v Sarah>That <00:01:54.626>is <00:01:54.781>more <00:01:55.030>useful <00:01:55.405>than <00:01:55.573>a <00:01:55.682>glossy <00:01:56.253>AI <00:01:56.653>campus <00:01:57.189>rendering <00:01:57.757>with <00:01:58.120>no <00:01:58.393>megawatts <00:01:59.044>attached.

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<v Sarah>This <00:02:00.797>one's <00:02:01.045>from <00:02:01.377>CRE <00:02:01.890>Daily:

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<v Quote>Pimco, <00:02:05.638>one <00:02:05.785>of <00:02:05.858>the <00:02:05.971>world’s <00:02:06.378>largest <00:02:06.851>asset <00:02:07.180>managers, <00:02:08.131>is <00:02:08.265>building <00:02:08.558>a <00:02:08.682>stronger <00:02:09.091>position <00:02:09.598>in <00:02:09.891>AI-driven <00:02:10.622>data <00:02:10.924>center <00:02:11.262>financing.

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<v Quote>Bloomberg <00:02:13.088>reports <00:02:13.478>the <00:02:13.646>firm <00:02:13.891>recently <00:02:14.380>anchored <00:02:14.910>debt <00:02:15.098>for <00:02:15.347>Oracle’s <00:02:15.878>$16B <00:02:16.846>data <00:02:17.404>center <00:02:17.747>campus <00:02:18.185>in <00:02:18.318>Saline, <00:02:18.985>Michigan.

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<v Quote>However, <00:02:20.758>Pimco <00:02:21.158>first <00:02:21.418>secured <00:02:21.902>bond <00:02:22.211>terms <00:02:22.510>that <00:02:22.698>matched <00:02:23.158>its <00:02:23.342>risk <00:02:23.660>strategy.

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<v Sarah>Pimco anchored Oracle’s $16 billion Saline campus financing with debt that runs alongside Oracle’s lease term.

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<v Sarah>Bank of America and the sponsors preferred cheaper, shorter-term paper; Pimco got the maturity and covenants it wanted.

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<v Matt>Good. A 19-year, 1.4-gigawatt DTE supply agreement helps support a project, but it doesn’t make the financing risk disappear.

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<v Matt>Pimco looked at this thing and said, “Fine—then our money stays protected for the whole ride.”

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<v Sarah>And Dan Ivascyn personally approves every AI infrastructure deal at a firm managing $2.3 trillion.

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<v Sarah>That tells the market the Oracle template is financeable—but only once the borrower accepts lender-grade discipline.

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<v Sarah>Apparently “AI” is no longer sufficient collateral.

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<v Sarah>Here's <00:03:19.379>Emily <00:03:19.752>Wishingrad <00:03:20.485>at <00:03:20.672>Bisnow:

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<v Quote>The <00:03:21.939>Loudoun <00:03:22.257>County <00:03:22.571>Board <00:03:22.798>of <00:03:22.908>Supervisors <00:03:23.699>last <00:03:23.931>month <00:03:24.175>approved <00:03:24.611>a <00:03:24.737>motion <00:03:25.067>directing <00:03:25.617>county <00:03:25.958>staff <00:03:26.344>to <00:03:26.491>present <00:03:26.824>an <00:03:26.995>item <00:03:27.304>at <00:03:27.431>its <00:03:27.571>Sept.

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<v Quote>15 <00:03:28.441>meeting <00:03:28.979>that <00:03:29.184>would <00:03:29.307>establish <00:03:29.891>a <00:03:30.051>pause <00:03:30.518>along <00:03:30.867>with <00:03:30.971>a <00:03:31.064>legal <00:03:31.402>analysis <00:03:32.003>from <00:03:32.151>the <00:03:32.257>county’s <00:03:32.655>attorney.

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<v Matt>Loudoun <00:03:34.008>already <00:03:34.528>has <00:03:34.988>53 <00:03:35.528>million <00:03:36.005>square <00:03:36.396>feet <00:03:36.655>built, <00:03:37.438>another <00:03:37.948>40 <00:03:38.308>million <00:03:38.641>in <00:03:38.768>the <00:03:38.890>pipeline, <00:03:39.768>and <00:03:40.008>now <00:03:40.241>wants <00:03:40.535>to <00:03:40.695>pause <00:03:41.288>new <00:03:41.536>applications.

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<v Matt>Fine—put <00:03:44.028>a <00:03:44.172>date <00:03:44.455>on <00:03:44.548>the <00:03:44.735>pause, <00:03:45.548>define <00:03:46.060>what <00:03:46.241>it <00:03:46.417>covers, <00:03:47.108>and <00:03:47.288>prepare <00:03:47.748>for <00:03:47.935>every <00:03:48.332>developer <00:03:48.940>with <00:03:49.164>land <00:03:49.608>and <00:03:49.828>a <00:03:49.948>lawyer <00:03:50.455>to <00:03:50.572>show <00:03:50.908>up.

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<v Sarah>Sept. <00:03:53.028>15 <00:03:53.388>is <00:03:53.568>the <00:03:53.676>date <00:03:53.900>that <00:03:54.088>matters.

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<v Sarah>The <00:03:55.121>board <00:03:55.436>told <00:03:55.708>staff <00:03:56.135>to <00:03:56.228>bring <00:03:56.476>both <00:03:56.708>a <00:03:56.815>pause <00:03:57.219>proposal <00:03:57.968>and <00:03:58.528>the <00:03:58.645>county <00:03:59.032>attorney's <00:03:59.521>legal <00:03:59.868>analysis

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<v Sarah>because <00:04:01.281>Virginia's <00:04:01.845>Dillon's <00:04:02.348>Rule <00:04:02.748>may <00:04:03.041>leave <00:04:03.356>Loudoun <00:04:03.748>without <00:04:04.084>authority <00:04:04.641>to <00:04:04.817>impose <00:04:05.308>one.

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<v Sarah>A <00:04:06.492>moratorium <00:04:07.264>that <00:04:07.445>needs <00:04:07.763>permission <00:04:08.325>to <00:04:08.512>exist <00:04:08.965>is <00:04:09.112>a <00:04:09.221>fairly <00:04:09.703>material <00:04:10.352>detail.

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<v Matt>And <00:04:11.832>the <00:04:12.009>county's <00:04:12.466>trying <00:04:12.699>to <00:04:12.792>put <00:04:12.932>the <00:04:13.061>brakes <00:04:13.499>on <00:04:13.605>an <00:04:13.801>industry <00:04:14.544>that <00:04:14.736>delivered <00:04:15.352>$875 <00:04:17.032>million <00:04:17.899>in <00:04:18.112>2024 <00:04:19.019>taxes—38% <00:04:21.259>of <00:04:21.372>its <00:04:21.602>general <00:04:22.016>fund <00:04:22.332>revenue.

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<v Matt>Residents <00:04:24.232>see <00:04:24.414>construction <00:04:25.192>and <00:04:25.376>grid <00:04:25.689>strain; <00:04:26.532>the <00:04:26.649>budget <00:04:27.040>sees <00:04:27.312>a <00:04:27.472>giant <00:04:27.939>check <00:04:28.304>with <00:04:28.489>server <00:04:28.885>racks <00:04:29.205>on <00:04:29.365>it.

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<v Sarah>We <00:04:29.840>just <00:04:30.072>saw <00:04:30.262>capital <00:04:30.821>demand <00:04:31.292>tighter <00:04:31.792>terms <00:04:32.224>from <00:04:32.421>Oracle's <00:04:32.956>Michigan <00:04:33.392>build.

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<v Sarah>Now <00:04:34.576>Loudoun <00:04:34.958>brings <00:04:35.285>in <00:04:35.412>the <00:04:35.536>land-use <00:04:36.083>constraint: <00:04:37.040>even <00:04:37.280>with <00:04:37.536>financing <00:04:38.165>lined <00:04:38.512>up

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<v Sarah>a <00:04:39.120>developer <00:04:39.592>could <00:04:39.832>still <00:04:40.085>be <00:04:40.232>waiting <00:04:40.565>on <00:04:40.712>a <00:04:40.798>county <00:04:41.136>vote <00:04:41.440>that <00:04:41.712>may <00:04:41.992>not <00:04:42.182>survive <00:04:42.725>legal <00:04:43.072>review.

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<v Host>If <00:04:45.395>you’re <00:04:45.509>tracking <00:04:45.905>the <00:04:46.073>tech <00:04:46.285>and <00:04:46.425>policy <00:04:46.969>reshaping <00:04:47.465>data <00:04:47.835>centers, <00:04:48.625>check <00:04:48.865>out <00:04:49.033>Anthropic <00:04:49.598>Pentagon <00:04:50.092>Watch.

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<v Host>It’s <00:04:51.345>a <00:04:51.425>daily <00:04:51.678>briefing <00:04:52.132>on <00:04:52.233>Anthropic’s <00:04:52.932>fight <00:04:53.097>with <00:04:53.245>the <00:04:53.465>DoD <00:04:53.993>over <00:04:54.276>Claude, <00:04:55.003>military <00:04:55.918>AI <00:04:56.285>use, <00:04:57.029>autonomous <00:04:57.535>weapons, <00:04:58.465>and <00:04:58.692>AI <00:04:58.952>procurement <00:04:59.532>blacklisting.

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<v Host>Find <00:05:01.438>it <00:05:01.589>wherever <00:05:01.965>you <00:05:02.071>listen <00:05:02.372>to <00:05:02.532>podcasts.

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<v Host>We’re <00:05:04.421>watching <00:05:04.769>Sept.

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<v Host>15, <00:05:05.953>when <00:05:06.513>Loudoun <00:05:06.842>County <00:05:07.252>staff <00:05:07.605>are <00:05:07.725>set <00:05:07.932>to <00:05:08.035>present <00:05:08.425>a <00:05:08.518>proposed <00:05:08.985>development <00:05:09.532>pause <00:05:10.185>and <00:05:10.598>legal <00:05:10.936>analysis <00:05:11.558>to <00:05:11.685>the <00:05:11.785>Board <00:05:12.012>of <00:05:12.111>Supervisors.

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<v Host>You’ll <00:05:13.857>find <00:05:14.038>links <00:05:14.332>to <00:05:14.425>every <00:05:14.678>story <00:05:14.972>in <00:05:15.045>the <00:05:15.153>show <00:05:15.398>notes <00:05:15.692>if <00:05:15.785>you <00:05:15.921>want <00:05:16.012>to <00:05:16.125>dig <00:05:16.374>deeper.

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<v Host>That’s <00:05:18.005>The <00:05:18.129>Data <00:05:18.431>Center <00:05:18.758>Daily <00:05:19.065>for <00:05:19.265>today.

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<v Host>This <00:05:20.652>is <00:05:20.745>a <00:05:20.835>Lantern <00:05:21.295>Podcast.