AGP Executive Report

Data-Center Debate: Texas suspended 17 data-center construction permits and shut down an automated approval portal, sharpening concerns over the boom’s energy, water and air-quality costs. Fort Worth’s planned $600 million Carrier manufacturing and engineering center is also tied to growing data-center demand. AI and Texas Law: Attorney General Ken Paxton sued OpenAI and Sam Altman, alleging deceptive practices and harm to Texans, and seeking limits on ChatGPT use by children. Robotaxis: Tesla plans to begin Cybercab deliveries by year-end and expand beyond Austin, with Dallas next in line; the company already operates robotaxis in Houston. Space and Research: Texas State University’s first satellite launched aboard a SpaceX rocket, while Texas A&M unveiled a new research and AI-computing center. Biotech: Eli Lilly broke ground on a Houston facility to manufacture oral GLP-1 medicines.

Data Centers: Texas has suspended 17 construction permits and shut down its automated approval portal, as concerns grow that the data-center boom could reverse decades of air-quality gains. AI and Accountability: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging deceptive practices and harm to Texans. Texas Industry: Carrier plans a $600 million Fort Worth manufacturing and engineering center, with 1,500 jobs projected. Energy Research: Texas A&M is testing new materials for thermal energy storage. Sports Technology: UT Austin’s new Bevo Lab will use AI and analytics for game planning and roster decisions.

Data Centers: Texas continued processing data-center permits despite Gov. Greg Abbott’s announced pause, while regulators suspended some stormwater approvals. The projects are also drawing scrutiny over power, water and air-quality impacts. AI & Law: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging deceptive practices and harm to Texans. Energy Research: Texas A&M researchers are testing new materials for thermal energy storage, which could help manage energy demand. Manufacturing: Carrier plans to invest $600 million in a Denton County manufacturing and engineering center. Cancer Research: A personalized mRNA vaccine from Moderna and Merck cut the risk of melanoma recurrence or death by 42% when combined with Keytruda in a late-stage trial.

AI Accountability: Texas Attorney General Ken Paxton sued OpenAI and CEO Sam Altman, alleging ChatGPT has harmed users, including children, and that the company failed to disclose risks. Texas AI Growth: Austin-based VetClaims.ai says it has prepared more than 80,000 veterans’ claims since 2024, with a 438-person workforce combining AI tools and human review. Data Center Scrutiny: Texas continues data-center permitting amid questions about electricity, water and air pollution; Soluna and Applied Digital also plan a Texas facility. Advanced Manufacturing: Eli Lilly broke ground on a Houston plant for oral GLP-1 medicines, while Carrier plans a $600 million advanced manufacturing facility in Fort Worth. Semiconductor Supply: The U.S. designated helium a critical material, citing its role in chipmaking and risks to global supply. Space Research: Texas State’s first satellite launched, and Texas A&M unveiled a new research and AI compute center.

Wildlife Surveillance: USDA confirmed the first U.S. wildlife case of New World screwworm in a hunter-harvested elk in Pecos County. Texas officials are expanding surveillance as hunting season begins; no human cases have been reported. Biotech and Defense: Texas-based Warhound, founded by Palmer Luckey and Ben Lamm, raised $200 million to develop genetically enhanced working dogs for military, police and emergency use, pairing gene editing with protective gear and sensors. Data Center Debate: A study warns that nearly 300 planned Texas data centers could threaten air-quality gains, while reporting says projects continued to receive permits despite a state pause. Space and Research: Texas State University launched its first satellite aboard a SpaceX rocket, and Texas A&M unveiled a new research and AI computing center. Rural Connectivity: A $9 million broadband project in Newton County aims to bring high-speed service to more than 2,700 households. Energy Innovation: Houston startup Agellus Tank Robotics won top honors at Rice Alliance’s Energy Startup Village competition for robots that inspect and clean storage tanks while they remain in service.

Data Center Oversight: Texas regulators suspended permits issued after a probe found the TCEQ moved ahead despite Gov. Greg Abbott’s pause. The dispute adds to warnings that the AI data-center boom could reverse decades of cleaner-air gains. Space & Research: Texas State’s first satellite launched aboard a SpaceX rocket, while Texas A&M unveiled a new AI compute center and plans for a $200 million space institute. AI Infrastructure: UT researchers are studying oilfield wastewater as a cooling source for data centers, potentially easing pressure on water supplies. Wildlife Science: USDA confirmed New World screwworm in a hunted elk in Pecos County, the first U.S. wildlife detection in the current outbreak.

Autonomy and Space: Tesla’s third-quarter profit fell 43% as it ramped up AI and robotics spending. The company is still aiming to sell its driverless Cybercabs by year-end, despite a federal safety probe; paid rides are already operating in Austin. Meanwhile, Texas State University’s first satellite has reached orbit aboard a SpaceX rocket. Research: UTHealth Houston researchers secured a five-year, $3.4 million grant to study psilocybin-assisted therapy for people with both cocaine use disorder and depression. Data Center Impacts: New warnings say Texas’s data center boom could undo decades of air-quality progress, while the state has continued permitting projects despite a pause order from Gov. Greg Abbott.

Data Center Scrutiny: Texas continued issuing data-center permits despite Gov. Greg Abbott’s announced pause, a new report says. The projects are also drawing concern over air quality and water use. Space & Chips: Texas State’s first satellite launched aboard a SpaceX rocket. Meanwhile, Tesla and SpaceX have begun merger talks, with their Texas Terafab chip project cited as a strategic link. Taiwan is also planning a $4 billion Texas hub to support the U.S. chip supply chain. Research & Infrastructure: UT researchers are studying whether Permian oilfield wastewater could cool AI data centers, potentially easing demand for freshwater.

Texas Chip Push: Elon Musk says the SpaceX-Tesla Terafab project aims to begin volume chip production in Texas by late 2028, with a first test chip targeted for mid-2027—an ambitious schedule for the planned AI and robotics factory. Data Center Pressure: A new report says Texas continued issuing data center permits despite Gov. Greg Abbott’s pause, as nearly 300 proposed projects raise concerns about air quality and water use. UT researchers are studying Permian oilfield wastewater as a possible cooling source. Houston Manufacturing: Apple plans to invest up to $100 million in Houston-based Perryman Company to supply recycled titanium for upcoming iPhones. Cancer Research: UTHealth Houston scientists identified the PLD1 enzyme as a potential target for slowing aggressive lung tumors, which currently have limited treatment options.

Space Industry: Texas is lobbying to host the new U.S. Space Academy, with state space leaders discussing up to $100 million in taxpayer support for the bid. Clinical Research: Fortrea’s $45 million acquisition adds a 200-bed clinical research unit in San Antonio and a bioanalytical lab in Austin. Autonomous Systems: Austin-based Wild West Systems is developing weapons and software for military robots, backed by a 20,000-square-foot manufacturing operation. AI Infrastructure: Texas researchers are studying whether Permian wastewater could cool AI data centers, even as a report finds data-center permits continued despite the state’s announced pause. Semiconductors: Taiwan is planning a $4 billion Texas hub for chip suppliers, while TSMC is exploring a possible expansion as AI-chip demand surges. Energy Storage: Houston’s Alchemy Industrial won a federal prototype award to advance battery storage systems for defense use.

AI Infrastructure: Texas continued processing data-center permits despite Gov. Greg Abbott’s announced pause, according to a new report. UT researchers are also exploring whether Permian oilfield wastewater could cool data centers, potentially easing pressure on water supplies. Semiconductors: Taiwan-backed plans for a $4 billion Texas hub aim to bring chip suppliers closer to U.S. manufacturers, while TSMC is reportedly considering a Texas expansion as AI chip demand rises. Space Manufacturing: Blue Origin plans to establish manufacturing operations in Hutto, adding to Texas’ growing role in the space industry. Health Innovation: Austin-based Oracle and AstraZeneca will explore using AI and health data to help identify clinical-trial participants and bring research insights into care. Separately, MD Anderson and a statewide coalition unveiled a five-year plan to eliminate cervical cancer in Texas by 2032 through expanded vaccination, screening and follow-up care. Aerospace Engineering: Fort Worth-based Bell Textron and Dutch firm PhotonFirst will develop fiber-optic sensing for aircraft monitoring, with the goal of improving maintenance and fleet availability.

Space Research: NASA’s Houston-based simulated Mars crew has completed a year in isolation, collecting health and performance data to help prepare for future long-duration missions. Energy: Entergy Texas brought its 1,215-megawatt Orange County power station online, adding capacity as regional electricity demand is forecast to rise. Data Centers: Texas researchers say Permian oilfield wastewater could help cool AI data centers, as concerns about data centers’ water use and power demands draw more scrutiny. Semiconductors: Samsung announced $22.8 million in Texas workforce and community investments, while TSMC is exploring an expansion and Taiwan is backing a proposed $4 billion Texas chip-supply hub. Houston Technology: The city confirmed Kevin Berry as CIO, putting him in charge of technology services for nearly 22,000 employees across 23 departments.

Space Industry: A South Korean supplier is shipping 950 tons of steel pipe for SpaceX launch facilities in Texas and Florida, including water-deluge systems that protect pads and equipment during launches. AI and Water: University of Texas researchers are studying Permian oilfield wastewater as a cooling source for AI data centers, even as Lubbock pauses new data-center permits and Texas officials press 156 facilities to report water use. Chipmaking: TSMC is exploring a Texas expansion, while Taiwan plans a $4 billion industrial park to bring chip suppliers closer to U.S. manufacturers; Samsung also announced $22.8 million in Texas workforce investments. Biotech: Island Pharmaceuticals has completed screening ahead of a Marburg drug study, with a separate 12-animal trial planned at Texas Biomed. Privacy and Surveillance: El Paso has blocked future Flock camera installations amid privacy concerns, adding to statewide scrutiny of license-plate reader technology.

AI Infrastructure: University of Texas researchers modeled Permian oilfield wastewater as a cooling source for AI data centers, as Texas weighs the strain these facilities place on water and power. Lubbock has paused new data-center projects pending a state audit, while candidates and residents press for tighter controls. Semiconductors: Samsung announced $22.8 million in Texas investments for workforce and community programs. TSMC is exploring a Texas expansion, and Taiwan plans a $4 billion supplier hub to support U.S. chip manufacturing. Space & Community: A look at SpaceX’s Boca Chica base finds new development and jobs, but also concerns about who benefits and the effects on wetlands and wildlife as launch ambitions grow. Cybersecurity: The FBI disrupted a North Korean corporate espionage operation in North Texas, part of a broader effort targeting schemes that used stolen U.S. identities and laptop farms to generate revenue. Autonomous Transport: Waabi and Warrior Logistics have begun customer operations with autonomous trucks in Texas, putting the state on the road-testing map for driverless freight.

AI and Water: University of Texas researchers are studying whether Permian oilfield wastewater could cool AI data centers, as water use fuels growing opposition. Texas Attorney General Ken Paxton has sought water-use reports from 156 data centers, and Lubbock has paused new projects pending review. Semiconductor Workforce: Samsung Austin Semiconductor announced $22.8 million for Central Texas workforce and community programs. The investment comes as TSMC scouts Texas for a possible plant, intensifying competition for skilled workers. Space Research: Texas State University launched its first satellite, a milestone for the university’s space program. Autonomous Freight: Waabi and Dallas-based Warrior Logistics are partnering on self-driving truck operations in Texas. Aerial Ambitions: Tesla demonstrated its rocket-thruster-equipped Roadster at a SpaceX site in Texas, but production is not targeted until 2028.

Texas Test Flight: Tesla’s long-delayed Roadster performed jumps and flips using compressed-gas thrusters at SpaceX’s McGregor site. Production is now targeted for 2028, but the stunt doesn’t make it a practical flying car. Data Center Scrutiny: Lubbock has moved to pause new data center projects as Texas reviews permits, while Attorney General Ken Paxton sent water-reporting compliance letters to 156 centers. A UT Austin study points to one possible pressure valve: treating brackish groundwater and oilfield wastewater for cooling could spare freshwater, with a modest energy cost. Chip Investment: Taiwan is raising $4 billion for a Texas industrial complex to support U.S. chipmaking, as TSMC explores a Texas expansion amid surging AI-chip demand. Tech Oversight: Texas Comptroller has barred state grants from funding license-plate readers after a Brenham officer was fired following an audit of alleged misuse.