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Midwest · SLG Market Intelligence

Wisconsin

A historic AI data-center buildout on the old Foxconn site, a new $111B biennial budget, and a centralized DET procurement motion — Wisconsin is becoming a national AI-infrastructure hub almost overnight.

Last updated Aug 5, 2026
$111.1B2025–27 Biennial BudgetVendorNet / DOAPrimary IT VehicleTrina ZanowState CIO / DET$7B+ (MSFT)AI Investment

Executive Summary

$111.1B1
2025–27 All-Funds Budget
2025 Act 15, signed July 3, 2025
$7B+3
Microsoft AI investment
Mount Pleasant (former Foxconn site)
$15B+5
Vantage 'Lighthouse' campus
Port Washington Stargate site, ~900MW
$1B+9
BEAD broadband allocation
Federal funds via PSC/DOA

Wisconsin enters the 2025–27 biennium with a $111.1B all-funds budget (2025 Act 15, signed July 3, 2025) and a once-in-a-generation AI-infrastructure story. Microsoft is building one of the world's most powerful AI data centers on the former Foxconn site in Mount Pleasant — a $3.3B first phase coming online in early 2026, plus a committed second campus that pushes total investment past $7B. Separately, Vantage/Oracle/OpenAI broke ground in December 2025 on the $15B+ 'Lighthouse' Stargate campus in Port Washington (~900MW). For Dell, the state's technology buying is centralized: the Department of Administration's Division of Enterprise Technology (DET) sets IT direction and the State Bureau of Procurement runs statewide contracts published through VendorNet, with DOA Secretary sign-off required on IT buys over $150K. Governor Evers' AI and broadband (BEAD, $1B+) agendas add agency-modernization tailwinds.

Where Dell can play
  • AI-infrastructure / 'AI factory' demand tied to the Mount Pleasant and Port Washington hyperscale buildout — PowerEdge, networking, storage, and services to the broader supply-chain and edge ecosystem around these campuses.
  • Whole-of-state cybersecurity buildout under DET and the State & Local Cybersecurity Grant Program (SLCGP) — secure infrastructure and managed detection/response for state, local, K-12, and tribal entities.
  • Agency modernization and endpoint/lifecycle refresh across a record $111.1B biennial budget centralized under DET.
  • Governed AI adoption following the Governor's Task Force on Workforce and AI — an opening for private/on-prem AI on sensitive government workloads.

Dell Action Plan

  • Lead the AI-infrastructure conversation: tie Dell ISG / AI Factory offerings to the Mount Pleasant and Port Washington hyperscale buildout and the surrounding supply-chain, edge, and UW research-computing ecosystem.
  • Pursue whole-of-state cybersecurity: position secure infrastructure and managed detection/response aligned to DET's NIST baseline and the SLCGP grant cycle (June 2026–Aug 2027).
  • Map the procurement path early: confirm Dell coverage on SBOP statewide contracts / VendorNet and account for the $150K DOA Secretary IT sign-off when forecasting agency deals.
  • Engage DET (Trina Zanow's organization) on shared-services and modernization across a record $111.1B biennial budget.
  • Position governed, private/on-prem AI for sensitive workloads as agencies operationalize the Governor's Workforce & AI action plan.

Budget & Fiscal

Wisconsin budgets on a two-year (biennial) cycle. The 2025–27 budget, enacted as 2025 Act 15 (signed July 3, 2025), totals roughly $111.1B all funds. There is no single 'state IT budget' line; technology spend is distributed across agencies, with the Department of Administration's Division of Enterprise Technology (DET) providing shared infrastructure and the State Bureau of Procurement running statewide IT contracts. Cybersecurity and broadband are funded through a mix of state appropriations and federal grant programs.

$111.1B1
2025–27 all funds
2025 Act 15
$1B+9
BEAD broadband
Federal NTIA funds
$150K7
DOA IT sign-off threshold
Exec Order 288 — Secretary approval
Technology & security funding this biennium
Microsoft AI data centers
Private; Mount Pleasant, two campuses
$7B+
Vantage 'Lighthouse' campus
Private; Port Washington Stargate site
$15B+
BEAD broadband
Federal allocation to Wisconsin
$1B+
  • Budget figures are biennial (two-year) totals; the data-center figures are privately funded capital investments, not state appropriations.
  • IT procurement above $150K requires DOA Secretary approval — confirm sign-off path early when forecasting agency deals.

Initiatives & Policy

Microsoft Mount Pleasant AI Data Centers3

Phase 1 online early 2026

Microsoft is building what it calls one of the world's most powerful AI data centers on the former Foxconn site in Mount Pleasant — a $3.3B first phase (housing hundreds of thousands of NVIDIA GB200 GPUs) coming online in early 2026, plus a committed ~$4B second campus that pushes total investment past $7B. It also includes a manufacturing-focused AI co-innovation lab and a 100,000-resident AI skilling initiative. The strongest single tailwind for Dell AI-infrastructure and ISG demand in the state and its supply-chain ecosystem.

Dell fit90
Budget strength90
AI InfrastructureData CentersHyperscale

Vantage 'Lighthouse' / Stargate Port Washington5

Broke ground Dec 2025

OpenAI, Oracle, and Vantage Data Centers are developing a $15B+ campus in Port Washington (~27 miles north of Milwaukee) — four data centers totaling ~2.5M sq ft and up to ~900MW of AI capacity, completing around 2028. Part of OpenAI/Oracle's Stargate expansion. A second anchor for AI-infrastructure, networking, and edge/ecosystem opportunity in southeastern Wisconsin.

Dell fit85
Budget strength90
AI InfrastructureStargateHyperscale

Whole-of-State Cybersecurity (DET / SLCGP)11

Active

DET sets statewide cybersecurity policy on a NIST 800-53 Rev. 5 baseline and coordinates a whole-of-state approach across state agencies, local government, K-12, higher-ed, and tribes. The federally funded State & Local Cybersecurity Grant Program (SLCGP), administered with Wisconsin Emergency Management, funds local hardening — projects run June 2026 through August 2027, capped at $100K per entity. An opening for secure infrastructure and managed detection/response.

Dell fit75
Budget strength60
CybersecurityWhole-of-StateGrants

Governor's Task Force on Workforce & AI10

Final action plan released

Created by Executive Order #211, the task force released a final action plan to connect workers with AI skills and advance responsible AI adoption, backed by federal workforce funding (e.g., WisTRAIN, ~$7M). As agencies operationalize governed AI, there's an opening to lead with private/on-prem AI for sensitive government workloads rather than open public models.

Dell fit65
Budget strength45
AIPolicyWorkforce

BEAD Broadband Expansion9

Restructuring underway

Wisconsin has access to more than $1B through the federal BEAD program, with the PSC and DOA leading deployment to unserved areas. NTIA's June 2025 'BEAD Restructuring Policy Notice' forced significant program changes. Drives connectivity, edge, and downstream modernization demand across rural Wisconsin.

Dell fit50
Budget strength65
BroadbandFederal FundsDigital Equity

Procurement & Competition

Technology buying in Wisconsin is centralized under the Department of Administration (DOA). The State Bureau of Procurement (SBOP) administers procurement law and runs statewide contracts for goods and services used across state government, UW System, and participating municipalities. Contracts and solicitations are published through VendorNet, the state's online purchasing portal, which also supports cooperative purchasing. Under Executive Order 288, agencies must obtain DOA Secretary approval before making an IT purchase over $150,000.

Vehicle / gateWhat it means for Dell
VendorNet statewide contractsPrimary portal for state contracts and solicitations; supports cooperative purchasing by agencies, UW System, and municipalities. Confirm Dell agreements and resellers are current and correctly scoped.
State Bureau of Procurement (SBOP)Sets procurement policy and runs mandatory/statewide contracts for goods and services across state government.
DET shared technology servicesDOA's Division of Enterprise Technology provides shared infrastructure, hosting, and security services to executive-branch agencies.
Key buying entityRole
DOA — Division of Enterprise Technology (DET)Central IT authority — shared infrastructure, cybersecurity policy, and statewide technology direction.
State Bureau of Procurement (SBOP)Runs statewide contracts and VendorNet; enforces procurement policy and the $150K IT sign-off.
University of Wisconsin SystemLarge, semi-independent buyer of research computing and AI infrastructure across campuses; ~$1.2B modernization in Act 15.
Department of Health Services (DHS)Among the largest agency IT spenders; data-heavy modernization.
Competitive landscape

Wisconsin is a centralized, contract-driven market — buys flow through SBOP statewide contracts and VendorNet, with DOA Secretary sign-off on larger IT deals. Differentiation tends to come from AI-infrastructure capability tied to the data-center buildout, whole-of-state cybersecurity, and services that map to DET's shared-services model rather than price alone.

Power Structure

Decision-makerWhy they matter
Tony Evers15
Governor · State of Wisconsin
Signed the $111.1B 2025–27 budget; champions AI workforce, broadband, and the data-center economic agenda. NOT seeking re-election — 2026 is an open-seat race (primary Aug 11, general Nov 3); a new administration takes office Jan 2027, so expect leadership turnover atop the executive branch. Build relationships at the career/agency (DET) level that will outlast the transition.
Trina Zanow6
State CIO & DET Administrator · DOA — Division of Enterprise Technology
25-year state veteran, former DET deputy administrator; owns statewide IT direction and shared services.
Bill Brinkley8
State Chief Information Security Officer · DOA — DET Security Bureau
Leads statewide cybersecurity on a NIST 800-53 Rev. 5 baseline and the whole-of-state approach.
Kathy Blumenfeld7
Secretary · Department of Administration
DOA leadership; Secretary approval is required on IT purchases over $150K (Exec Order 288).
Renée Wachter12
Interim President · Universities of Wisconsin
UW-Superior chancellor named Interim President by the Board of Regents May 8, 2026 (effective May 18), replacing the acting Chris Patton arrangement after President Jay Rothman was fired Apr 7; a permanent-president search (chaired by Regent Ashok Rai) is underway. Oversees a large research-computing and AI-infrastructure buyer (~$1.2B modernization in Act 15).

News & Signals

Jul 31 2026
Data CentersPolicyEnergy
Oracle-PSC collateral dispute over Port Washington power supply spills into court, but We Energies says the project stays on track17
Oracle (BBB- rated) sued the PSC in Ozaukee County Circuit Court over the AAA- credit/collateral threshold the PSC set for 'very large customer' data-center power deals, after the PSC rejected We Energies' own bid to loosen the rule; We Energies CEO Scott Lauber told investors the Lighthouse/Stargate site stays on track for 'as soon as late 2027' regardless of the outcome, and two other prospective data-center customers are already in talks for We Energies service. Shows real financing/regulatory friction behind the second hyperscale anchor, even as the site itself keeps moving.
Jun 2026
AI InfrastructureData Centers
Microsoft declares 'Fairwater' Mount Pleasant datacenter complete and fully operational13
Microsoft announced June 23, 2026 that construction is finished and the facility is live — Brad Smith calls it 'the world's most powerful supercomputer,' with ~550 full-time staff on-site. A second adjacent facility is under construction (targeting 2028). The anchor AI-infrastructure ecosystem in southeastern Wisconsin is now operating, not planned.
May 2026
LeadershipHigher Ed
Regents name Renée Wachter Interim President of Universities of Wisconsin12
Stabilizes leadership of a ~$1.2B-modernization research/AI-infrastructure buyer after Rothman's April firing; permanent-president search (chaired by Regent Ashok Rai) aims to seat a permanent president by year-end — fresh executive relationships to build.
Apr 2026
Data CentersPolicyEnergy
Wisconsin PSC overhauls We Energies data-center tariff; ratepayers shielded from generation costs15
On Apr 24, 2026 the Public Service Commission required large data centers to pay the full cost of 'bespoke' generation, set 15-year minimum contract terms, and lowered the tariff-eligibility threshold from 500MW to 100MW. Establishes a clearer, more predictable regulatory baseline for the hyperscale buildout driving Dell AI-infrastructure demand.
Jan 2026
AIData Centers
Microsoft proposes $13.3B Mount Pleasant expansion; 15 more data-center buildings approved3
Sustained multi-billion-dollar AI-infrastructure growth and rising state/local power, permitting, and IT-ecosystem demand.
Dec 2025
Data CentersStargate
Vantage/Oracle/OpenAI break ground on $15B+ 'Lighthouse' Stargate campus in Port Washington4
Second hyperscale anchor (~900MW) for AI-infrastructure demand near Milwaukee.
Sep 2025
AIData Centers
Microsoft commits additional ~$4B for a second Wisconsin data center (>$7B total)2
Doubles down on Wisconsin as a national AI-compute hub.