BlackRock, Inc. (BLK.US) and Microsoft Corporation (MSFT.US) plan to establish a $300 billion fund to invest in AI infrastructure.

BlackRock, Inc. (BLK.US) and Microsoft Corporation (MSFT.US) are teaming up to invest in data centers and other infrastructure that support artificial intelligence. The two companies said in a statement that their strategic partnership, called the "Global Artificial Intelligence Infrastructure Investment Partnership," aims to attract $300 billion in private equity investments and use that funding for investments of up to $1 trillion. The statement noted that infrastructure investments, including energy projects, will primarily be in the United States, with some funds deployed in partner countries. "Mobilizing private capital to build artificial intelligence infrastructure such as data centers and energy projects will unlock trillions of dollars in long-term investment opportunities," said BlackRock, Inc. CEO Larry Fink in the statement. The companies are also partnering with Global Infrastructure Partners and MGX in Abu Dhabi, a new entity established this year specifically for investing in artificial intelligence. NVIDIA Corporation will provide support to the alliance with its expertise in AI data centers and factories. The chipmaker has invested heavily in developing software, networks, and other technologies. According to Bloomberg industry research, energy companies across the United States are competing to meet the growing power demands of AI data centers, with electricity consumption in these facilities projected to increase tenfold by 2030. To meet this demand, energy companies are delaying the retirement of coal and natural gas power plants, planning to build new natural gas plants, and constructing clean energy projects like CECEP Solar Energy and wind farms. Power competition has even led to increased time needed to connect new data centers to the grid, with the time span in the Virginia Data Center Alley corridor stretching up to seven years. Microsoft Corporation has also been in talks with OpenAI co-founder and CEO Sam Altman, who is developing his own plan to enable investors and tech companies to collaborate in significantly expanding the computing infrastructure for AI products.