BlackRock, Microsoft to raise $30 billion for data centers, energy infrastructure

BlackRock and a trio of partners aim to raise $30 billion to invest in data centers and the supporting power infrastructure that those voracious centers require, according to a joint news release.

Other members of the quartet’s “Global AI Infrastructure Investment Partnership” are Microsoft, Global Infrastructure Partners, the $100 billion infrastructure-focused alternatives firm BlackRock is poised to acquire, and MGX, an Abu Dhabi-based technology investment company launched earlier this year by the United Arab Emirates.

In addition, NVIDIA, the AI-focused semiconductor giant, will support the efforts as well.

Larry Fink, BlackRock chairman and CEO, in the news release said investing in data centers, the bedrock of the digital economy, will help unlock a “multi-trillion-dollar, long-term investment opportunity,” powering economic growth, creating jobs and driving AI technology innovation.

BlackRock, GIP, Microsoft and MGX will contribute some of the $30 billion in capital the partnership is looking to raise, and look to external clients to furnish the rest.

Debt financing should boost the partnership’s financial firepower to around $100 billion, the news release said.

BlackRock spokesman Ed Sweeney declined to provide further details beyond the news release.

The news release said GAIIP will “make investments in new and expanded data centers to meet growing demand for computing power, as well as energy infrastructure to create new sources of power for these facilities.”

The infrastructure investments will be “chiefly in the United States fueling AI innovation and economic growth,” with the remainder to be invested in U.S. partner countries, the news release said.

But the partnership will support “an open architecture and broad ecosystem,” offering full access on a non-exclusive basis for a diverse range of partners and companies.

Brad Smith, vice chair and president of Microsoft, in the news release noted that the capital spending requirements for AI infrastructure go “beyond what any single company or government can finance,” adding that GAIIP’s efforts will help advance technology while enhancing “national competitiveness, security, and economic prosperity.”