Microsoft and BlackRock Among Major Companies on Global Partnership to Invest an Initial $30 Billion in AI Infrastructure with Plans to $100 Billion

A consortium of major companies, including Microsoft and BlackRock, has announced plans to raise up to $100 billion to fund the development of data centers designed for artificial intelligence (AI) and the energy systems needed to support them.

This initiative, known as the Global Artificial Intelligence Infrastructure Investment Partnership (GAIIP), was revealed in a recent press release. The group also includes Global Infrastructure Partners (GIP), an infrastructure investment firm currently being acquired by BlackRock, as well as MGX, a technology investment company based in the United Arab Emirates.

In a statement, Microsoft CEO Satya Nadella emphasized the company’s commitment to advancing AI-driven innovation across industries. He highlighted the collaboration between financial and industry leaders to build the next generation of infrastructure, with a focus on sustainability.

The partnership aims to raise an initial $30 billion, with plans to eventually scale the fund to $100 billion, including through debt financing.

The rapid expansion of data centers equipped with Nvidia GPUs, essential for running generative AI models like OpenAI’s ChatGPT, has fueled this effort. These powerful processors require substantial energy, creating supply chain constraints as tech companies race to build the necessary infrastructure.

Microsoft’s contribution to the project is in addition to its ongoing capital investments, particularly for expanding its Azure cloud platform, which serves AI clients like OpenAI. In July, Microsoft disclosed that it had spent $19 billion in the fiscal fourth quarter on capital expenditures, including assets acquired through finance leases.

Meanwhile, BlackRock’s acquisition of GIP is moving forward, with the deal expected to close on October 1. The transaction, valued at $3 billion in cash and approximately 12 million shares of BlackRock common stock, was first announced in January.

MGX, another key player in the partnership, was founded in March through a collaboration between Abu Dhabi’s Mubadala and AI company G42, underscoring the global nature of the investment strategy.

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