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The next frontier in data center investing
JANUARY 1, 2025

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The next frontier in data center investing

by Tim Lin

The growth of data and artificial intelligence (AI) applications, including generative AI, has led to an explosion of interest in and demand for data centers. Once obscure, nondescript buildings hosting computer servers, these powered shells have now become the darlings of both the technology and financial worlds.

From computing power to fiber connectivity, traditional energy to renewables and even nuclear power, data protection and digital sovereignty, and not least of all geopolitics and the (re)shaping of global digital infrastructure architecture, topics closely related to data centers have become almost daily news as the world enters the fourth industrial — or AI — revolution.

A new Task Force on AI Datacenter Infrastructure was formed to coordinate policy across the U.S. government in September 2024, while the United Kingdom announced in the same month that it was classifying data centers as critical national infrastructure, alongside energy and water systems

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