Allied Advisers is pleased to present our sector update on AI Accelerating Data Center Evolution. This report highlights the transformative impact of artificial intelligence and cloud computing on data center demand and growth, emphasizing the need for advanced infrastructure and sustainable energy practices.
As AI reshapes data center requirements, there is a projected $200B investment by 2025 aimed at enhancing computational capacities and energy efficiency with advanced cooling technologies. Key developments include significant capital inflows from Big Tech companies (Amazon, Meta, Microsoft, Google etc.) as well as well funded private companies (OpenAI, x.ai etc.) for AI-ready facilities and rapid adoption of renewable energy.
M&A and funding activity in the data center sector experienced a surge in 2024, reflecting consolidation after continuous periods of volatility and macroeconomic challenges, emboldened by the recent AI boom.
At Allied Advisers, we look forward to partnering with founders and investors to navigate this dynamic landscape.
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