BlackRock completes $40B acquisition deal for Aligned Data Centers

A high-powered consortium led by BlackRock, alongside tech giants Microsoft and Nvidia, has finalized a groundbreaking $40 billion acquisition of Aligned Data Centers. With close to 80 data center sites across multiple continents, Aligned is one of the world’s largest operators of such facilities, and this deal marks the single largest global transaction in the data center sector to date.

The acquisition is the first major venture by the AI Infrastructure Partnership, a collaborative initiative launched in September 2024 with the goal of bolstering artificial intelligence development by securing critical infrastructure. The consortium, which also includes prominent investors like Abu Dhabi-based MGX, Elon Musk’s xAI, Kuwait Investment Authority, and Singapore’s Temasek, aims to provide robust computing capacity to power the rapidly growing AI industry.

Strategic Move to Secure AI Infrastructure

Larry Fink, CEO of BlackRock and chairman of the AI Infrastructure Partnership, underscored the significance of the acquisition, saying it strengthens both AI development and investment opportunities. "The acquisition advances their goal of delivering essential infrastructure for AI development while providing attractive investment opportunities for clients", he said.

Aligned Data Centers, previously owned by Australian firm Macquarie Asset Management, boasts operations across 50 campuses located in the United States and Latin America. This extensive network offers immediate infrastructure to meet the increasing computing demands associated with artificial intelligence. The consortium’s expansion plans could potentially reach $100 billion, including debt financing, though the precise financial contributions from each partner in the acquisition remain undisclosed.

Surge in AI-Related Infrastructure Spending

The deal reflects a broader trend across the tech sector, where companies are racing to invest in infrastructure to support AI growth. Estimates from Morgan Stanley project that major technology firms such as Alphabet, Amazon, Meta, Microsoft, and CoreWeave will collectively spend $400 billion on AI infrastructure in 2025 alone.

OpenAI, the organization behind ChatGPT, has reportedly entered deals with semiconductor companies Nvidia, Advanced Micro Devices, and Broadcom that could cost over $1 trillion. These agreements aim to secure approximately 26 gigawatts of computing capacity - enough to power 20 million American homes.

Meta Platforms is also making significant strides, with plans for massive AI-focused data centers. Two of its facilities, named Prometheus and Hyperion, are designed to handle multi-gigawatt workloads, with Prometheus expected to go live in 2026.

Aligned’s Key Role in the AI Revolution

The acquisition places Aligned Data Centers in a prime position during a surge in data center investment. The company raised $12 billion earlier this year through equity and debt financing, one of the largest private capital infusions in the sector. Its operational and planned capacity exceeds 5 gigawatts across its campuses.

Joe Tigay, Portfolio Manager at Nvidia shareholder Equity Armor Investments, emphasized the value of data center assets in light of the growing AI boom. "The acquisition demonstrates the growing investment value of data center assets", Tigay stated. He noted that the rapid expansion of AI creates substantial opportunities for optimization by both investors and operators.

Publicly traded data center companies have also seen significant stock market gains. For instance, Applied Digital’s stock has surged over 400% this year, with an additional 5% increase following news of the Aligned acquisition.

Computing Capacity: A Critical Resource

As computing capacity becomes a bottleneck for AI development, control over data centers has emerged as a strategic priority. These facilities house the hardware and infrastructure needed to power AI workloads and train advanced machine learning models. Aligned’s extensive network provides companies with immediate access to this vital resource, circumventing the delays associated with constructing new facilities.

The completion of the $40 billion deal is subject to regulatory approvals and closing conditions, with finalization expected late next year. By securing Aligned’s extensive infrastructure, the AI Infrastructure Partnership positions itself at the forefront of technology investment, paving the way for future growth in artificial intelligence capabilities.

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