Blackstone has agreed to acquire data-center operator AirTrunk for $16.1 billion, marking its largest investment in the Asia-Pacific region as it aims to capitalize on the growth of AI and cloud computing. AirTrunk operates data centers in Australia, Japan, Hong Kong, Singapore, and Malaysia, with over 800 megawatts of capacity.
The acquisition adds to Blackstone’s $55 billion portfolio of data centers and $70 billion in potential developments. As AI services like OpenAI’s ChatGPT drive demand, data centers, which house the servers that power the internet and cloud services, have become increasingly valuable.
While some developers are eager to expand data centers, others worry about the market overheating or the possibility that companies might opt for private data storage. Blackstone is positioning itself as a leader in AI-supporting infrastructure, expecting $2 trillion in global data center investments over the next five years.
“This is Blackstone at its best: leveraging our global platform to capitalize on our highest conviction theme,” Jon Gray, Blackstone’s president and chief operating officer, said of the AirTrunk deal.
Blackstone has also made significant investments in the sector, including a $4.5 billion contribution to CoreWeave, an AI-focused cloud services provider. AirTrunk, founded in 2015, has the potential to more than double its current capacity with additional land holdings.
Featured image: Credit: Blackstone
