The post Blackstone and Digital Realty to Invest $7 Billion in Hyperscale Data Centers Across Europe and Northern Virginia appeared on BitcoinEthereumNews.com.

New York and San Francisco, Blackstone Inc. (NYSE: BX) and Digital Realty (NYSE: DLR) have announced a strategic joint venture with plans to construct four hyperscale data center campuses in key global locations, responding to the soaring demand for data center capacity driven by cloud services and artificial intelligence (AI) advancements.  With an estimated cost of nearly $7 billion, this ambitious project will see Blackstone investing $700 million for an 80% ownership stake, while Digital Realty will retain the remaining 20% interest. The new data centers are projected to provide approximately 500 megawatts (MW) of IT load capacity over the next several years. Expanding digital infrastructure to meet growing demand Development of facilities accounting for 46 MW is already underway, with a third of that capacity pre-leased to clients. This initial phase represents a significant step towards expanding global digital infrastructure capabilities to accommodate the ever-increasing demand for data processing, storage, and connectivity. Andy Power, the Chief Executive Officer of Digital Realty, expressed confidence that the collaboration with Blackstone will significantly satisfy growing customer needs for hyperscale infrastructure, backed by substantial private capital pools. The move comes at a time when businesses across various industries are increasingly relying on hyperscale data centers to support their digital operations, particularly in the realms of cloud computing and AI. Jon Gray, Chief Operating Officer of Blackstone, highlighted the rising demand for hyperscale data centers as a direct result of increased cloud adoption and AI innovations. As organizations leverage cloud services and harness the power of AI for data analytics and decision-making, the need for secure, scalable, and efficient data center facilities has become paramount. The global reach of the joint venture The joint venture between Blackstone and Digital Realty is set to have a global impact, with data center campuses planned in key…

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Filed under: News - @ December 8, 2023 12:12 pm