Microsoft and BlackRock have announced a joint initiative to launch an over $30 billion fund aimed at investing in artificial intelligence (AI) infrastructure, with a focus on building data centres and energy projects.
According to the the Financial Times, the new investment vehicle, known as the Global AI Infrastructure Investment Partnership, is designed to enhance AI supply chains and energy sourcing to support the growing computational demands of AI technologies.
AI models, especially those used for deep learning and large-scale data processing, require significant computational power, which in turn drives higher energy consumption. To meet these demands, tech companies must string together thousands of chips in clusters to achieve the necessary data-processing capacity, leading to a surge in demand for specialised data centres.
The fund will be backed by MGX, an Abu Dhabi-based investment company, which will serve as a general partner, while Nvidia, a leading AI chipmaker, will provide technological expertise. According to BlackRock and Microsoft, the partnership could mobilize up to $100 billion in total investment, factoring in potential debt financing.
While the bulk of investments will be focused on the United States, a portion will also be allocated to partner countries.
