Microsoft, BlackRock Unveil $30B AI Infrastructure Fund for Future Growth

Microsoft and BlackRock have announced the $30bn fund which will be used to finance the infrastructure of artificial intelligence. The fund will include Nvidia and MGX as partners and will focus on data centers, energy projects, and AI supply chains.

BlackRock and Microsoft said on Tuesday that they are going to start a more than $30 billion fund to invest in infrastructure for AI that will be used to build data centers and energy projects.

AI models particularly deep learning and big data processing consume significant power hence consume more energy. Due to the computing needs of AI, tech firms have had to cluster thousands of chips together to get the processing power they need. This has caused a huge increase in the demand for these specialized data centers.

Google and BlackRock said that the Global AI Infrastructure financial Partnership is a financial vehicle that will help improve AI supply chains and energy sourcing.

The investment firm MGX, which is backed by Abu Dhabi, will be a general partner in the fund. Nvidia, a business that makes AI chips, will offer its expertise.

The companies said that the agreement could bring in up to $100 billion in investments, including debt financing. The companies say that most of the investments will be made in the US and the rest will be made in partner countries.