BlackRock, Global Infrastructure Partners (GIP), Microsoft, and MGX have announced the creation of a new alliance called the Global AI Infrastructure Investment Partnership (GAIIP) with the goal of making massive investments in data centers and the energy infrastructure needed to power them. This initiative aims to drive the development of artificial intelligence (AI) and economic growth, primarily in the United States.
Unprecedented Investment
The partnership aims to initially unlock $30 billion of private capital over time, coming from investors, asset owners, and corporate partners. It is expected that this amount could mobilize up to $100 billion in total investment potential, including debt financing.
Larry Fink, Chairman and CEO of BlackRock, emphasized the importance of this initiative: “Mobilizing private capital to build AI infrastructure like data centers and energy will unlock a long-term investment opportunity worth trillions of dollars. Data centers are the foundation of the digital economy, and these investments will help drive economic growth, create jobs, and spur technological innovation in AI.”
Strategic Alliance
The partnership brings together leading technology investors such as BlackRock, GIP, and MGX, along with Microsoft’s expertise. Additionally, chip manufacturer NVIDIA will also support GAIIP, offering its expertise in AI data centers and AI factories to benefit the artificial intelligence ecosystem.
Brad Smith, President of Microsoft, stated, “The capital expenditure needed for AI infrastructure and the new energy to power it extends beyond what any single company or government can fund alone. This financial partnership will not only help advance technology but enhance national competitiveness, security, and economic prosperity.”
Impact on the Energy Sector
The growing demand for energy from data centers is having a significant impact on the energy sector. According to a recent study by EPRI, data centers could consume up to 9% of electricity generation in the United States by 2030, more than double the current amount used.
An analysis by McKinsey projects that the United States will be the fastest-growing market for data centers, increasing from a demand of 25 GW in 2024 to over 80 GW in 2030. This poses significant challenges for energy supply and highlights the need for investments in energy infrastructure.
Conclusion
The establishment of GAIIP represents a significant milestone in the development of the infrastructure needed to drive the next generation of AI technologies. With a potential investment of $100 billion, this alliance seeks not only to promote technological innovation but also to generate economic growth and create jobs in the United States and its partner countries.