BlackRock and Microsoft are launching a $30B fund for AI infrastructure, boosting data centers and energy resources to support AI development and supply chains.
BlackRock and Microsoft plan to launch a more than $30 billion fund to invest in artificial intelligence infrastructure to build data centers and energy projects, the companies said on Tuesday.
AI models, especially those used for deep learning and large-scale data processing, require substantial computational power, leading to higher energy consumption.
The computing requirements for AI have dictated that tech companies string thousands of chips in clusters to achieve the necessary data-crunching power, leading to a surge in demand for these specialized data centers.
BlackRock and Microsoft said the investment vehicle, known as the Global AI Infrastructure Investment Partnership, aims to enhance AI supply chains and energy sourcing.
MGX, the Abu Dhabi-backed investment company, will be a general partner in the fund, while AI chip firm Nvidia will provide expertise.
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The companies said the partnership will mobilize up to $100 billion in total investment potential, including debt financing.
The investments will be chiefly in the United States and the remainder in its partner countries, according to the companies.
The Financial Times had first reported on the development.
