AI Boom Fuels $25 Billion Asia Data Hub Race

Asia's data center sector is experiencing a significant influx of global investment, driven by the rapid growth of cloud computing, artificial intelligence, and digital services. In a major development, a consortium including the BlackRock-backed Artificial Intelligence Infrastructure Partnership (AIP) and IFM Investors is in exclusive talks to purchase Stack Infrastructure's Asia Pacific data center portfolio. This potential deal is valued at up to $25 billion.

Stack Infrastructure, which operates data centers across key Asia-Pacific markets such as Tokyo, Osaka, Sydney, and Melbourne, is owned by Blue Owl Capital. The consortium is currently conducting due diligence with the aim of reaching an agreement soon. This comes after reports in May and June indicated Stack was exploring a sale of its Asian operations for over $30 billion, with IFM and AIP identified as potential bidders.

The Artificial Intelligence Infrastructure Partnership (AIP), launched in late 2024 with initial plans to invest over $30 billion in AI-related projects, is a prominent global investment vehicle for data centers and energy infrastructure essential for AI applications. Nvidia, xAI, Microsoft, and MGX are also involved as investors in AIP.