Microsoft, BlackRock and a state-backed investor from the United Arab Emirates launched a $30 billion fund to invest in data center infrastructure to feed demand for AI applications. The power trio hopes to attract an additional $70 billion in outside capital.
The Global AI Infrastructure Investment Partnership, as it is called, will “bring together financial and industry leaders to build the infrastructure of the future and power it in a sustainable way, said Microsoft CEO Satya Nadella.
Details on how the partnership will rein in the massive power and water consumption of AI were scarce, and Microsoft declined to comment. Microsoft’s emissions spiked by 30% since 2020 due to its rapid construction of data centers.
Flash point
Data centers that train and process AI technologies like Chat GPT have become a flashpoint in communities across the globe as concerns mount about their energy and water consumption.
This week, Google said it would “rework from scratch” its plan to construct a $200 million data center in Santiago after Chilean officials raised concerns about its environmental impact, Reuters reported.
In Memphis, Elon Musk’s plan to build “the most powerful AI in the world” in a community already burdened with pollution is sparking sharp pushback from local officials and residents worried about the project’s consumption of electricity and water.
