Microsoft and BlackRock are spearheading an initiative to raise up to $100 billion for the development of data centers and energy infrastructure to support the growing demands of artificial intelligence (AI).
The two companies, alongside Global Infrastructure Partners (GIP) and UAE-based tech investor MGX, have formed the Global Artificial Intelligence Infrastructure Investment Partnership (GAIIP), which aims to drive AI innovation and support sustainable growth.
The partnership initially seeks to gather $30 billion in private equity, with a long-term goal of mobilizing up to $100 billion, including through debt financing. These funds will be used to build the necessary infrastructure to power AI-driven technologies, which rely on energy-intensive data centers packed with advanced GPUs.
“We are committed to ensuring AI helps advance innovation and drives growth across every sector of the economy,” Microsoft CEO Satya Nadella said in a statement.
The initiative seeks to foster AI infrastructure development in the US and partner countries.
The formation of this investment group reflects the increasing demand for AI-specific data centers, driven by applications like generative AI models, such as OpenAI’s ChatGPT. As AI’s computational needs soar, so too does the need for sustainable and scalable energy solutions.
BlackRock CEO Larry Fink noted that the partnership represents a long-term investment opportunity.
“[AI infrastructure] will help power economic growth, create jobs, and drive AI technology innovation,” Fink stated.
With input from CNBC, Reuters, PYMNTS, and Tech Crunch.
