BlackRock, Microsoft join global $100bn AI investment

BlackRock, Global Infrastructure Partners (GIP), Microsoft, and MGX have announced the Global AI Infrastructure Investment Partnership (GAIIP) “to 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 companies said the partnership will initially seek to unlock $30 billion of private equity capital over time from investors, asset owners, corporates, which in turn will mobilize up to $100 billion in total investment potential when including debt financing.

“These infrastructure investments will be chiefly in the United States fueling AI innovation and economic growth, and the remainder will be invested in U.S. partner countries,” said the partners.

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

“NVIDIA will support GAIIP, offering its expertise in AI data centers and AI factories to benefit the AI ecosystem.

“GAIIP will also actively engage with industry leaders to help enhance AI supply chains and energy sourcing for the benefit of its customers and the industry.

“The founders of the partnership bring together leading global investors BlackRock, GIP, and MGX, an artificial intelligence and advanced technology investor, with funding as well as expertise from Microsoft.

“GAIIP combines deep understanding of infrastructure and technology to drive efficient scaling of data centers, with energy, power, and decarbonization investment capabilities for related enabling infrastructure for AI.”

BlackRock chairman and CEO Larry Fink said: “Mobilizing private capital to build AI infrastructure like data centers and power will unlock a multi-trillion-dollar long-term investment opportunity.

“Data centers are the bedrock of the digital economy, and these investments will help power economic growth, create jobs, and drive AI technology innovation.”

Microsoft CEO Satya Nadella said: “We are committed to ensuring AI helps advance innovation and drives growth across every sector of the economy.

“The Global AI Infrastructure Investment Partnership will help us deliver on this vision, as we bring together financial and industry leaders to build the infrastructure of the future and power it in a sustainable way.”

Microsoft president Brad Smith said: “The capital spending needed for AI infrastructure and the new energy to power it goes beyond what any single company or government can finance.

“This financial partnership will not only help advance technology, but enhance national competitiveness, security, and economic prosperity.”

MGX CEO Ahmed Yahia Al Idrissi said: “Building the necessary infrastructure required to advance and accelerate the adoption of AI will reshape and revitalize almost every aspect of how we live.

“Similar to our transportation infrastructure, new data centers and power sources will enable growth and commerce in the future innovation economy.”

Bayo Ogunlesi, chairman and CEO of Global Infrastructure Partners, said: “There is a clear need to mobilize significant amounts of private capital to fund investments in essential infrastructure. One manifestation of this is the capital required to support the development of AI.

“We are highly confident that the combined capabilities of our partnership will help accelerate the pace of investments in AI-related infrastructure.”

NVIDIA CEO Jensen Huang said: “Accelerated computing and generative AI are driving a growing need for AI infrastructure for the next industrial revolution.

“NVIDIA will use its expertise as a full stack computing platform to support GAIIP and its portfolio companies on the design and integration of AI factories to propel industry innovation.”

Sheikh Tahnoon bin Zayed Al Nahyan, Chairman of MGX, said: “Artificial intelligence is not just an industry of the future, it underpins the future.

“Through this unique partnership, we will enable faster innovation, technological breakthroughs and transformational productivity gains across the global economy.  The investments we make today will secure a more sustainable, prosperous and equitable future for all mankind.”

MGX was created in Abu Dhabi earlier this year to invest in AI and advanced technologies with global partners to enable the technology fabric of the global economy, focusing on AI infrastructure; AI-enabled technology; and semiconductors.