Blackstone is committing an initial $5bn (€4.3bn) in equity to a new US-based data centre company launched in partnership with Google, marking the latest expansion of the private equity firm’s push into digital infrastructure.
The newly formed company expects to bring its first 500MW of capacity online in 2027, with plans to scale over time as technology corporation Google provides the hardware, software and services needed to meet the growing demand for accelerated computing.
The new company, led by Google executive Benjamin Treynor Sloss as CEO, will also offer Google cloud computing platform’s tensor processing units (TPUs), an application-specific integrated circuit designed to handle a high volume of low-precision computation.
Jon Gray, president and COO of Blackstone, said: “We see a generational opportunity to invest capital at scale building AI infrastructure. This new company has enormous potential as it helps to meet the unprecedented demand for compute power.
“We are incredibly proud to partner with Google – bringing together their world class TPUs and AI capabilities with Blackstone’s exceptional strength in energy and digital infrastructure.”
Thomas Kurian, CEO of Google’s cloud platform, said: “This joint venture with Blackstone helps meet growing demand for TPUs, which are optimised specifically for efficiency and performance in the AI era.
“Together, we’re accelerating AI transformation and providing more options for organisations to access accelerated compute capability.”
Jas Khaira, head of Blackstone N1 (BXN1), a recently formed Blackstone division overseeing AI and technology investments within the firm’s growth and tactical opportunities business, said: “Capital alone doesn’t build category-defining platforms – the right partner, the right structure, and the conviction to underwrite singular opportunities do.
“Google’s TPUs, a decade in the making and foundational to the AI economy, are exactly the kind of platform BXN1 was built to back.”
Blackstone has become a significant investor in global digital infrastructure through various deals and partnerships.
During Blackstone’s 2025 fourth-quarter results, president Jon Gray stated that the year was one of the firm’s most successful, with gains across digital, energy and transportation infrastructure. He noted that the QTS data centre business was the main driver of returns for both the infrastructure and real estate divisions.
In the US, the firm bought a stake in Rowan Digital Infrastructure to help develop more sites for large-scale customers.
Internationally, AirTrunk, a platform backed by Blackstone and the Canada Pension Plan Investment Board, is investing MYR12bn (€2.6bn) to build two new data centres in Malaysia. This brings its total commitment in the country to about MYR27bn.
The firm recently led a $10bn debt financing facility for the Australian company Firmus to support its international data centre expansion.
Blackstone also recently raised $1.8n through the initial public offering of Blackstone Digital Infrastructure Trust, a newly formed data centre real estate investment trust that debuted on the New York Stock Exchange.
| Deal / Asset | Target / Partner | Region | Structure | Value | Key Details for Story |
|---|---|---|---|---|---|
| Google Data Centre Venture | US | Joint Venture | $5bn | Initial equity commitment to launch a new company. Targets first 500MW online in 2027. Google supplying hardware (including TPUs), software, and services to meet AI computing demand. | |
| Blackstone Digital Infrastructure Trust (BXDC) | Public Shareholders | US | IPO / Listed REIT | $1.8bn | Newly formed vehicle debuted on the New York Stock Exchange to acquire stabilised, income-generating hyperscale assets with long-term corporate leases. |
| Firmus Financing Facility | Firmus | Australia / Global | Debt Facility | $10bn | Led a massive debt financing facility to back the Australian company’s international data centre capacity footprint expansion. |
| AirTrunk Malaysia Buildout | AirTrunk / CPPIB | Malaysia | Platform Expansion | MYR 12.bn (€2.6bn) | Investing to build two new data centres, bringing total capital commitment in the country to date to approximately MYR27bn. |
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