Blackstone, Digital Realty join hands to develop $7 billion data centers

FILE PHOTO: Signage is seen outside the Blackstone Group headquarters in New York City, U.S., January 18, 2023. REUTERS/Jeenah Moon//File Photo

(Reuters) - U.S. investment giant Blackstone and data-center firm Digital Realty will create a joint venture that will spend $7 billion on developing data centers, the companies said on Thursday.

The venture plans to develop 10 data centers across four campuses in Frankfurt, Paris and northern Virginia, the companies said.

Demand for data centers has remained resilient even in an uncertain economy as more businesses move to the cloud.

Blackstone will acquire an 80% ownership interest in thejoint venture for about $700 million of initial capital contributions, while Digital Realty will maintain a 20% interest.

The joint venture is scheduled to close in two stages over the course of the first half of 2024.

(Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Maju Samuel)

Follow us on our official WhatsApp channel for breaking news alerts and key updates!


Next In Tech News

MGM Resorts says state, federal regulators probing September cyberattack
Nvidia vaults to world's fourth-biggest company by market cap on AI optimism
Man found guilty of murder in Alaska Native woman’s killing that was captured on stolen memory card
Infineon bets on AI boom to spur more lucrative chip sales
MWC 2024: AI in focus at world’s top mobile fair in Spain
Survey: Singapore’s leading dating app Tinder draws more socialisers than serious daters
A decade after MH370, planes still at risk of vanishing off the map
How do you breed climate-resistant kelp? In Australia, it�starts with AI
A brain pacemaker helped a woman with crippling depression. It may soon be available to more people
Data from phone, Apple Watch help lead police to suspects in US woman’s death

Others Also Read