AGP Executive Report

AI Infrastructure: Texas has suspended 17 data-center construction permits as communities push back against Big Tech’s power and water demands. Anthropic, meanwhile, is leasing dedicated computing capacity, including from planned facilities in Texas. Energy: EQT’s acquisition of a Texas natural-gas producer is set to create the nation’s largest gas company, underscoring the state’s role in a fast-consolidating industry. Houston Mobility: Tesla expanded its Robotaxi service across much of the 610 Loop, adding to the city’s autonomous-vehicle competition. Fort Worth Business: Dickies Arena is now Ariat Arena under a 10-year naming deal; Ariat has also invested $70 million in expanding its regional headquarters. Houston Gateway: United opened a new 765,000-square-foot Terminal B concourse at Bush Intercontinental, with 22 gates coming online in stages and its largest airport lounge now open. AI Oversight: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging ChatGPT safety claims mislead consumers and seeking restrictions on access by minors.

Grid Investment: Samsung SDI landed a 1-gigawatt-hour battery-storage deal for an Alpha Omega Power project in Texas, set to break ground next year. Separately, new solar and storage helped Texas meet record summer electricity demand while saving an estimated $3.55 billion in wholesale power costs versus 2021. Data Centers & Jobs: Texas has suspended 17 data-center construction permits as concerns grow over power demand. Carrier plans to invest $600 million in a Fort Worth plant, with 1,500 jobs expected. AI & Legal Risk: Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging deceptive practices and harm to Texans, including children. Clean-Energy Milestone: Fervo Energy’s landmark year included a successful IPO, project financing for enhanced geothermal power and a major Google power-purchase agreement.

AI Liability: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging ChatGPT gave dangerous advice and seeking limits on its use by children in Texas. Data Centers: The state has suspended 17 construction permits and shut down an automated approval portal as concerns over power costs and local impacts grow. President Trump urged developers to offer communities a financial dividend and supply electricity. Housing and Costs: A sluggish housing market is forcing sellers to cut prices and help buyers with costs, while high fuel prices are feeding inflation and weighing on consumers. Texas Investment: United Airlines plans a $2.6 billion expansion at Houston’s IAH, while Carrier’s planned $600 million Fort Worth plant is expected to bring 1,500 jobs. Energy: Rising oil prices are boosting producers’ revenues, but higher fuel and shipping costs are adding pressure on households and businesses.

LNG Exports: QatarEnergy agreed to buy up to 4 million tonnes of LNG a year from Cheniere through 2054, including supplies from its Corpus Christi facility, with deliveries expected to begin in 2031. Robotaxi Expansion: Tesla plans to bring its Cybercab service to Dallas next month and expand to more cities by year-end, building on robotaxi operations in Dallas and Houston. Data Center Pushback: Texas has suspended 17 data center construction permits and shut down an automated approval portal, as officials face pressure over the projects’ impacts. Jobs and Investment: Carrier’s planned $600 million Fort Worth plant is expected to bring 1,500 jobs, even as Texas shed 19,000 jobs in September and the Dallas Fed lowered its growth forecast.

Air Taxi Plans: Archer says it plans networks linking Austin, Dallas and Houston, adding a new contender to Texas’ urban transport market. West Texas Growth: Armadillo Hotel Group bought land near Fort Stockton for workforce housing, citing demand from data center and infrastructure projects. Data Center Scrutiny: Texas has suspended 17 construction permits and shut down an automated approval portal, signaling tougher oversight of the fast-growing sector. Jobs and Investment: Carrier’s planned $600 million Fort Worth plant is expected to bring 1,500 jobs, with the project fueling debate over data center demand. Energy Costs: The federal government is offering up to $150 million to expand U.S. refining capacity; the announcement came in Houston as North Texas drivers faced sharply higher gas prices than a year ago. Solar Industry Strain: A Texas-based study counted 91 U.S. home-solar companies that failed or exited the market since 2022.

Business Recruitment: Washington small-business owners are weighing moves to Texas and other states as taxes and regulatory costs rise, according to the NFIB. Hiring: Amazon plans more than 11,000 jobs in the Dallas-Fort Worth area, with seasonal roles starting around $20 an hour and full-time base pay around $24. Future Mobility: Archer Aviation is planning electric air-taxi service in Austin, Houston and Dallas, with Austin flights possible as early as next year. Semiconductors: Texas A&M’s semiconductor summit drew more than 450 people, as leaders pointed to nearby Terafab as a potential boost for the Brazos Valley and its workforce. Houston Biotech: Immatics reported promising early results for two PRAME cancer treatments, including a 32% response rate for its bispecific therapy in advanced melanoma. AI and Consumer Protection: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging deceptive practices and harm to users, including children.

Energy: San Antonio-based Valero reported a profit surge of more than 500%, citing tight global fuel supplies and strong refining margins; its Gulf Coast refineries’ ability to process heavier crude also helped. AI Regulation: Texas sued OpenAI and CEO Sam Altman, alleging the company failed to protect consumers, including children, from harms linked to ChatGPT. New Mobility: Archer Aviation proposed electric air-taxi networks connecting Austin, Dallas and Houston, with flights it says could replace some 60-to-90-minute drives with 10-to-20-minute trips. Houston Investment: United Airlines is putting $2.6 billion into an expansion at George Bush Intercontinental Airport. Jobs: Texas led the nation in job gains over the past year, adding more than 154,000 positions.

Solar Manufacturing: Texas-based T1 Energy won a federal waiver to import up to 1.725 gigawatts of solar cells for its Wilmer plant while it builds a cell factory near Austin, helping keep production on track ahead of new tariffs. Houston Innovation: Agellus Tank Robotics took top honors at an energy startup competition with AI-powered robots that inspect and clean storage tanks without taking them offline. Rural Connectivity: A $9 million broadband project will bring high-speed internet to more than 2,700 households in Newton County. Houston Investment: United Airlines is putting $2.6 billion into an expansion at George Bush Intercontinental Airport. Trade and Jobs: Texas exports to China fell 32.9% last year, part of a nationwide decline that cost U.S. exporters billions in sales. Separately, Texas shed 19,000 jobs in September, prompting the Dallas Fed to lower its 2026 growth forecast. Solar and Ranching: A Texas farmer has grown his flock from 27 to 10,000 sheep by grazing solar farms, offering developers an alternative to mowing and a new revenue stream for ranchers.

Energy & Data Centers: Texas regulators say developers should bring reliable power of their own as data center demand grows, rather than shifting infrastructure costs to ratepayers. The debate is intensifying as the state weighs grid reliability and the effects of rapid expansion. Manufacturing: Carrier plans to invest more than $600 million in a Fort Worth engineering and manufacturing hub, expected to create 1,500 jobs. Jobs: Texas shed 19,000 jobs in September, and employment growth fell below its long-term average, prompting a weaker 2026 outlook from the Dallas Fed. Technology: Texas Instruments expects quarterly sales above Wall Street estimates, with AI-related demand boosting prospects for its chips. Houston Expansion: United Airlines is moving ahead with a $2.6 billion expansion at IAH, strengthening the airport’s role as a major hub.

Energy Markets: Brent crude climbed above $110 a barrel after attacks on Saudi oil facilities, raising fresh supply concerns as Texas businesses face higher energy costs. Texas Economy: State employment growth fell below its long-term average, with 19,000 jobs shed, according to the Dallas Fed. Technology: Texas Instruments forecast stronger-than-expected quarterly sales, while Tesla reported a 44% profit drop on flat revenue and began formal merger discussions with SpaceX. Data Centers: Texas’s data-center boom faces growing scrutiny over air quality and power demand; the state environmental agency shut down online permit filing after a controversy. Tourism: Circuit of the Americas’ U.S. Grand Prix could bring about $1.3 billion from out-of-state visitors to the Austin region, its founder estimates.

AI & Power: Texas A&M unveiled plans for its Reveille AI Compute Center at RELLIS, scheduled to open next summer, as data-center growth draws scrutiny over permits and power demand. Manufacturing: Dallas-based Rancher’s Premium Smokehouse plans to double production at its Texas facility to meet rising nationwide demand. Lockheed Martin will invest $300 million to expand missile production in Grand Prairie. Flood Recovery: FEMA denied individual disaster aid to Texans affected by July’s floods; state officials are reviewing an appeal as Hill Country businesses seek help reopening. Jobs & Energy: Texas added more than 15,000 workers and led the nation in year-over-year job gains, though oil and gas employment fell over the month. Chevron is also marketing older Gulf assets as it shifts toward newer projects.

Manufacturing: Apple is committing up to $100 million to Houston-based Perryman Company for U.S.-made titanium in upcoming iPhones, giving the family-owned supplier a high-profile boost. Energy Markets: Brent crude climbed above $110 a barrel as Middle East supply fears and falling U.S. inventories lifted prices, with implications for Texas producers and consumers. Jobs: Texas added 154,300 jobs over the past year, outpacing the nation, though oil and gas employment slipped in September. Data Centers: Texas’s rapid data-center expansion faces growing scrutiny over air quality and water use, while permits continue despite a reported pause. Texas Tech: Austin-based Capsum, which makes products for prestige beauty brands, sold a majority stake to Motion Equity Partners; its Austin plant supports a U.S. market that accounts for about one-third of sales. Space Economy: SpaceX reported its first quarterly profit, driven partly by a sharp rise in AI revenue, as independent directors at the Texas-linked company and Tesla explore a possible merger.

Jobs & Energy: Texas led the nation in 12-month job gains, adding 154,300 jobs, even as upstream employment fell in September. Data Centers & Power: Texas continued processing data-center permits despite Gov. Greg Abbott’s pause directive, renewing concerns about air quality and water use. Separately, the DOE announced $50 million for Houston-area grid resilience. Manufacturing: Apple says its Houston facility, which builds AI servers, will start making Mac minis this year as the company expands U.S. production. Its wider manufacturing push includes up to $100 million in titanium purchases from a Pennsylvania supplier. Dallas Finance: Major Wall Street firms are building or considering substantial Dallas offices, strengthening the city’s financial sector and potentially expanding investment options for retirement plans and church borrowers.

AI Infrastructure: Texas continued processing data-center permits despite Gov. Greg Abbott’s announced pause, even as a report warns the $10 trillion national buildout could strain power supplies and erode tax revenue. Jobs & Investment: Texas added more than 154,000 jobs over the past year. Taiwan also plans a $4 billion Texas hub for chip suppliers, while Samsung announced $22.8 million in Central Texas investments. Energy: Entergy Texas’ Orange County power station is now online as electricity demand grows. Household Finances: A review of 166 Texas nonprofit hospitals found 44% bill patients before checking whether they qualify for financial aid, potentially pushing eligible families into debt.

Energy Investment: The Fifth Circuit cleared Texas to block a China-linked investment in state energy-grid assets, ruling federal regulations do not override the state restriction. Power Supply: Entergy Texas has put its 1,215-megawatt Orange County plant online. It can power more than 230,000 homes, as the utility forecasts 13% demand growth by 2028. Houston Manufacturing: Fluence Energy faces a securities lawsuit alleging it misled investors about its ability to ramp production at its Houston facility; the claims have not been proven. Business Growth: Texas added 154,300 jobs over the past year, outpacing national growth. Lockheed Martin also plans a $300 million expansion of its Grand Prairie manufacturing operations, while Taiwan is planning a $4 billion industrial park investment in Texas. Real Estate Rules: Proposed Texas attorney general rules under SB 17 could add reporting and diligence obligations for real-estate deal participants. The rules are not final.

Consumer Costs: North Texas energy prices rose 17.4% and fruit-and-vegetable prices 14.5% over the year through September, as higher fuel costs pushed up shipping expenses. Property Rights: The Texas Supreme Court allowed former landowners to pursue a claim to buy back property left unused after a highway route change; it did not order the state to return the land. Industrial Growth: A five-building, 514,726-square-foot industrial park is planned for Fort Worth’s AllianceTexas area, where the region accounts for 12% of U.S. industrial space under development. Investment: Samsung is putting $22.8 million into Texas workforce development, while TSMC is weighing a Texas chip facility and Taiwan plans a supplier hub worth up to $4 billion. South Texas producers are also exploring a “mini Haynesville” gas play. Power & Water: A 1,215-megawatt Texas plant could deliver up to $1 billion in savings as data-center demand grows, intensifying scrutiny of the industry’s water use. Business Conditions: Texas job growth is outpacing the national rate, but falling border crossings are straining South Texas businesses and local budgets.