Blackstone reaffirms big bet on AI data centers — despite DeepSeek threat

Core Viewpoint - Blackstone's investments in data centers remain strong despite the emergence of low-cost AI models from DeepSeek, as the need for physical infrastructure for AI is still critical [1][3]. Group 1: Company Strategy - Blackstone has $80 billion worth of leased data centers and emphasizes a "very prudent approach" in its strategy for this segment [2][5]. - The company highlights its partnerships with major global firms, reinforcing its position in the data center market [2][5]. Group 2: Market Dynamics - The rise of DeepSeek has raised concerns about potential slowdowns in data center investments due to its low-cost AI offerings [3][5]. - However, Blackstone's COO Jonathan Gray believes that lower costs could lead to increased AI adoption, ultimately boosting demand for data centers [3][4]. Group 3: Industry Outlook - As AI usage increases significantly, the necessity for data centers remains vital, according to Blackstone [4]. - Analysts from Jefferies support this view, indicating that the data center segment will continue to be important [4].