BlackRock Nears $40 Billion Data Center Deal in Bet on AI

Core Viewpoint - BlackRock Inc.'s Global Infrastructure Partners is in advanced discussions to acquire Aligned Data Centers, which is expected to be a significant beneficiary of AI spending, with a potential transaction value of approximately $40 billion [1][2]. Group 1: Acquisition Details - The acquisition of Aligned Data Centers is one of the largest deals of the year, with an expected announcement within days [1][2]. - MGX, an AI investment company backed by Mubadala Investment Co., is also participating in the talks and plans to invest independently in the transaction [3]. - GIP is considering other major acquisitions, including AES Corp., which has an enterprise value of about $38 billion, due to anticipated increased electricity demand from AI applications [4]. Group 2: Market Context - The potential acquisition reflects a trend of significant deals following the emergence of ChatGPT, as investors seek exposure to leading technology companies that could transform industries [6]. - There is a growing concern among market observers regarding the sustainability of the current surge in valuations, as AI services have not yet reached mainstream adoption to justify the high market expectations [7][8].