Alphabet, the parent company of Google, has agreed to buy Intersect, a U.S. clean energy developer, in a deal valued at $4.75 billion in cash plus assumed debt. The transaction was announced in December 2025 and is expected to close in the first half of 2026.

The acquisition helps Alphabet gain more strength for its growing data center operations. It also supports the growth of its artificial intelligence (AI) services.

The deal includes Intersect’s team, energy projects under development, and data center infrastructure. Intersect will keep running independently with its current leaders. It will also collaborate closely with Alphabet’s technical teams.

Why AI Growth Is Forcing Alphabet to Secure Its Own Power

Alphabet runs one of the world’s largest cloud and AI businesses. These services need huge amounts of electricity. AI applications, such as large language models and cloud computing tools, require powerful data centers.

The electricity demand from these centers is growing fast. Many power grids struggle to keep up with this demand. That makes reliable and clean power especially important for companies like Alphabet.

By buying Intersect, Alphabet can gain more control over the supply of electricity for its data centers. The clean energy projects Intersect develops include solar power, battery storage, and other generation capacity. Owning these assets lets Alphabet bring new power online faster. It also reduces reliance on outside energy suppliers.

Alphabet has already worked with Intersect. Google took a minority stake in Intersect in 2024 and partnered on several projects before the acquisition. The full purchase builds on that existing relationship.

• SEE MORE: Google’s $20B Deal with Intersect Power and TPG Rise: How Can It Transform Data Centers?

Google CEO Sundar Pichai noted that this deal with Intersect will:

“help us expand capacity, operate more nimbly in building new power generation in lockstep with new data center load, and reimagine energy solutions to drive US innovation and leadership.”

Intersect Power: Building Energy for the AI Era

Intersect Power was founded in 2016 and grew into a significant player in the clean energy sector. The company builds and develops large solar projects, battery storage systems, and data centers. These projects combine power generation with computing facilities. Intersect has offices in several U.S. states and works with technology and infrastructure partners.

By late 2025, Intersect will manage over 10.8 gigawatts (GW) of energy projects. These projects will be operating, under construction, or in development by 2028. To put that in context, this is more than 20x the electricity production of the Hoover Dam.

Some of Intersect’s clean energy work includes building solar plants in California and battery storage facilities in Texas. These projects are designed to serve both utility grids and data centers with cleaner power sources

Before the acquisition, Intersect had raised more than $2 billion in equity and project financing from investors. It also had existing partnerships with Google and other technology firms.

What Alphabet Is Getting in the Deal: Inside the $4.75B Acquisition

Alphabet is paying $4.75 billion in cash and will also assume Intersect’s existing debt. The acquisition includes the following key elements:

• The Intersect leadership team and staff.
• A portfolio of energy projects in development or under construction.
• Joint infrastructure projects with Google.
• Access to emerging technologies in energy generation and storage.

Not every Intersect asset will transfer to Alphabet. Some facilities and projects in Texas and California will stay independent. They will continue to be backed by current investors. Alphabet is focusing on projects that directly support its data center and cloud operations.

Intersect will remain a separate brand and company after the deal closes, led by its current CEO, Sheldon Kimber. The company will continue its broader work while collaborating with Alphabet on shared energy and data center goals.

The Role of Clean Energy and AI

Large data centers consumed 4% of U.S. electricity in 2024, with hyperscale demand hitting 61.8 GW in 2025 (up 22% YoY) amid AI-driven growth to 106-123 GW by 2035.

Alphabet’s facilities used 30.8 TWh in 2024, doubling from 2020 and 95.8% of its total power, for AI model training and cloud services. U.S. grids face record demand in 2025-2026, with data centers projected to double to 9% of electricity by 2030.

Acquiring Intersect Power advances Alphabet’s 24/7 carbon-free by 2030 and net-zero goals. Intersect’s 10.8+ GW pipeline of solar (e.g., 828 MWp TX Lumina) and battery storage (multi-GWh) enables a direct clean supply. This reduces data center emissions intensity, building on Alphabet’s 12% Scope 2 cut in 2024 despite surging demand.

Alphabet aims for net-zero emissions in its operations and value chain by 2030. It also targets 24/7 carbon-free energy for all data centers and offices by the same year. Additionally, it seeks to enable 1 gigaton of annual emissions reductions for users and partners.

In 2024, it secured over 8 GW of clean energy. It achieved 66% carbon-free energy (CFE), matching 80% hourly CFE in 9/20 grids. Despite a 27% rise in electricity use, it cut data center emissions by 12%, bringing them down to 3.1 MtCO2e. Its portfolio includes power purchase agreements (PPAs) and investments in wind, solar, geothermal, and storage. It also has supplier mandates for 100% renewables by 2029.

Intersect plans to explore more technologies. Along with solar and storage, it will look into long-duration storage and advanced generation solutions. This will help diversify the energy supply. These technologies could further support data center growth with more reliable and cleaner power.

Big Tech’s Race to Control Energy Supply

Alphabet is not alone in addressing power needs for AI growth. Other big technology companies are also investing in clean energy, grid modernization, and direct power supply.

Microsoft, for example, has expanded renewable energy contracts and supported nuclear and other low-carbon projects. Amazon has pursued long-term agreements with nuclear power plants and investments in small modular reactor research.

The Intersect acquisition reflects a trend in which cloud and AI companies look beyond simple power purchase agreements. Some companies are adding energy development. This helps them get electricity faster and cut down on grid capacity issues.

Energy infrastructure has become a strategic asset for firms with large data center footprints. Owning or controlling generation and storage helps companies plan capacity better. This way, they can avoid grid connection delays and may reduce long-term costs.

What the Deal Signals for AI and Energy Markets

Alphabet expects the Intersect deal to close in early 2026, pending regulatory approval and standard closing conditions. The acquisition will give Alphabet direct access to clean energy projects. It will also provide talent to support data center expansion.

The transaction also sends a signal about how technology firms are adapting to the challenges of powering AI. Data centers are critical infrastructure for cloud services, search, video, and generative AI. Securing reliable, scalable, and cleaner energy sources is now central to growth strategies for Alphabet and its peers.

• READ MORE: Google’s Bold Climate Actions: AI in the Amazon and Solar Power in Space!

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The forests of Panay Island, a major Philippine island in the Western Visayas, have been heavily degraded over decades of logging, mining, and slash-and-burn agriculture. Nationwide, only about 3% of old-growth forests remain. 

Tree cover loss has hurt biodiversity. It has also weakened local water systems, raised landslide risks, and added to carbon emissions. Addressing these challenges requires combining ecological restoration with innovative finance and technology solutions.

Recent talks in the Philippines highlight how technology can boost reforestation. This method speeds up forest recovery. It also improves monitoring and links ecological results to carbon finance. 

In December 2025, a key forum in Iloilo gathered government agencies, academics, the military, and civil society. They discussed using drones, AI mapping, and other tools to restore Panay’s damaged landscapes. The Sulu Garden Foundation (SGF) hosted the event.

SGF is a Panay-based nonprofit engaged in ecological restoration and community-focused reforestation. The organization works on research-informed planting strategies, supports biodiversity conservation in degraded landscapes, and works with local stakeholders to improve forest recovery. 

These efforts build on programs like the National Greening Program (NGP) from the Department of Environment and Natural Resources. In 2022, the NGP planted nearly 2 million seedlings over 2,818 hectares. 

The NGP is a big step for reforestation, but experts say past projects often had trouble. They rarely reached long-term survival rates of over 50%. This was especially true in steep, remote, and fire-prone areas. It underscores the need for precision tools, adaptive planning, and integrated community participation.

Re-Greening Panay: Science and Community at the Forefront

The Central Panay Mountains span about 65 miles and reach around 7,000 feet. They are one of the Philippines’ key biodiversity hotspots. These mountains are home to endemic species, many of which are threatened by habitat loss.

Deforestation, illegal logging, and unsustainable farming practices continue to erode forest cover, contributing to soil erosion and downstream flooding.

SGF’s reforestation initiatives in Panay focus on three core elements:

• ecological restoration grounded in research,
• community-led stewardship, and
• sustainable finance mechanisms through carbon credits. 

Connecting forest restoration to clear carbon results helps local efforts cut CO₂ emissions from deforestation. This also creates incentives for landowners and communities to protect forests. The approach also provides a framework for integrating small-scale initiatives with national nature-based climate strategies.

A Strategic Partnership with Ukraine: Drones for Forests

Amid these developments, international collaboration is playing an important role. The Philippines and Ukraine are looking into working together on drone technology. They aim to share knowledge and possibly produce drones together for defense and research. 

SGF recognizes the potential of these tools for reforestation. The organization plans to test drone-assisted mapping, seed dispersal, and monitoring. These tools will help tackle challenges from rugged terrain and scattered planting areas.

At the December forum, Ukrainian Ambassador Yuliia Fediv met with Philippine representatives. They talked about how drones and AI can aid in hybrid reforestation. This method combines fast-growing pioneer species with slower-growing native trees. The goal is to mimic natural regrowth. 

• RELATED: Nestlé to Plant 11 Million Trees in Brazil to Generate Carbon Credits and Boost Sustainability

Drone-assisted mapping helps project teams check if land is suitable, improve planting density, and track seedling survival in real time. These tasks are hard to do with traditional ground methods.

Technical advisers noted that these tools could boost seedling survival rates. Instead of the usual 30–50%, rates might exceed 80%. This depends on the terrain and species mix. They help quickly find areas hit by fires, pests, or illegal logging. This allows for fast action. 

Drone technology combines data collection, mapping, and monitoring. This creates a strong platform for measuring carbon sequestration. It also helps to report results that meet global verification standards.

Representatives from the Department of Agriculture VI, Department of Science and Technology VI, and the Philippine Army contributed insights on logistics, operational deployment, and integration with community reforestation teams.

The session highlighted the need to cross-train local drone operators, foresters, and volunteers. This helps build lasting skills for tech-driven restoration efforts.

Carbon Finance and Policy Context

An important dimension of Panay’s reforestation efforts is the potential for carbon finance. Verified carbon credits let projects earn money for CO₂ absorbed by restored forests. This creates ongoing funding for maintenance, community engagement, and ecological monitoring. 

High-quality credits rely on clear measurement, reporting, and verification (MRV) systems. These systems track forest growth and carbon buildup over time. Standards like Verra and the Gold Standard help ensure credibility in global carbon markets.

The Philippines is increasingly formalizing its approach to carbon pricing and market mechanisms. House Bill No. 11375, the Philippine Carbon Pricing Act, sets up a national carbon pricing system. It encourages emission cuts in various sectors and also directs funds to projects that help, like reforestation. 

The bill creates a system for companies and government agencies. They can trade or buy carbon credits. This supports both compliance and voluntary programs. This law would create a clear policy framework for forest-based carbon projects. It would work alongside current environmental rules and global climate agreements.

Integrating Technology, Communities, and Policy

Combining drones, AI, and carbon finance with community-led restoration aligns with broader national priorities. Accurate monitoring and verification boost carbon accounting. They also enhance local engagement and improve environmental governance. 

Piloting drone-assisted seed dispersal in select Panay sites, conducting research on optimal seed varieties, and providing training for MRV systems are key steps to ensure long-term success.

Past restoration efforts have shown the importance of science-based planning and stakeholder coordination. Technology integration solves many issues from earlier programs. It helps with hard-to-reach areas, boosts manpower, and makes tracking survival rates and canopy growth easier over time. When paired with emerging carbon finance frameworks, these innovations offer scalable solutions for large-scale ecological restoration.

The forum also outlined the next steps for pilot projects:

• Implement drone-assisted mapping and seed dispersal in targeted reforestation areas.
• Conduct ecological research to choose tree species. Focus on balancing growth rates and biodiversity needs.
• Cross-training local teams in drone operation, forest management, and MRV systems.
• Explore integration with carbon credit markets and potential policy incentives under House Bill No. 11375.

These steps help make reforested areas strong, fair, and financially wise. Stakeholders aim to build a model using global knowledge, local insights, and policy backing. They hope this model can adapt to other areas in the Philippines dealing with similar deforestation issues.

Toward Climate-Resilient Forests

Restoring Panay’s forests is a long-term project that requires careful planning, enough funding, and collaboration across sectors. The SGF and Ukraine partnership starts a new era, adapting defense tech to boost ecological resilience. This comes as national forest cover has stalled at 7 million hectares.

As the Philippines develops its national carbon market and implements supportive policies, reforestation efforts can become more sustainable and integrated with broader climate mitigation strategies.

• READ MORE: Philippines Aims for Nickel Dominance with New Mining Reforms

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