Blackstone President Jon Gray on Q4 results, state of the AI boom

Core Insights - Blackstone reported strong fourth quarter results with earnings and revenue exceeding expectations, driven by increased dealmaking activity and growth in its data center business [1] - The company raised over $71 billion in new capital during the quarter, bringing total assets under management to $1.27 trillion [1] Financial Performance - Blackstone achieved a record quarter and year, indicating robust performance [3] - The deal environment is improving, with four IPOs completed in the second half of the previous year, including a notable IPO for Medline [5][6] - Total fundraising for the year reached $239 billion, reflecting strong investor interest in alternatives [7] Industry Trends - The company has positioned itself as a leading investor in AI infrastructure and data centers, which has yielded significant returns for investors [4][5] - There is a growing demand for physical infrastructure to support AI adoption across various sectors, indicating early-stage growth potential [9] - The shift towards alternatives from insurance companies, individuals, and institutions is a continuing trend [7] Market Outlook - The current deal market resembles conditions from 2013 to 2014, suggesting a favorable environment for future investments [6] - The AI market is still in its early stages, with companies beginning to adopt AI technologies in various applications [8] - Concerns about market bubbles are present, but the transformative potential of AI at scale is emphasized as a key focus for investors [10][11]