Xin Lang Cai Jing·2025-12-23 04:36Core Insights - Global data center investment reached nearly $61 billion by the end of November, surpassing last year's $60.8 billion, marking a new historical high driven by the demand for computing power fueled by artificial intelligence [1] - The current investment wave in data centers is described as just the tip of the iceberg, with the majority of over 100 related transactions occurring in the United States, followed by the Asia-Pacific region [2] - S&P Global forecasts that global data center investment demand could exceed $900 billion by 2029, with significant debt financing from tech giants like Meta, Google, and Amazon to support infrastructure needs [3][4] Investment Trends - The data center construction is experiencing a "craze," with a notable increase in investment transactions, particularly in the U.S. and the Middle East, as wealthy Gulf nations aim to position themselves as global AI hubs [2] - Debt issuance related to data centers has reached $182 billion this year, nearly doubling from last year's $92 billion, indicating a strong reliance on external financing by major tech companies [3] Operational Challenges - Data center operators face difficulties in securing long-term, reliable users for AI infrastructure, often requiring long-term contracts (10-15 years) to ensure financial stability [5] - Users are hesitant to commit to long-term leases due to uncertainties in technology development, leading to demands for early termination clauses to mitigate risks [6] - Delays in construction due to supply chain issues, labor shortages, and regulatory approvals can lead to financial risks for operators, who may have to accommodate user requests for contract terminations [6]