Data Center News Roundup: BlackRock’s Bold AI Investment Outlook

With data center news moving faster than ever, we want to make it easy for industry professionals to cut through the noise and find the most important stories of the week. 

The Data Center Knowledge News Roundup brings you the latest news and developments across the data center industry – from investments and mergers to security threats and industry trends. 

To keep up to date with all things data centers, subscribe to the Data Center Knowledge newsletter to get content straight to your inbox. 

Embracing the AI Revolution 

Investment giant BlackRock sees significant potential for massive data center growth in the coming years, fueled largely by demand for AI workloads. 

In the company’s mid-year 2024 global outlook presentation this week, the company highlighted the pivotal role data centers are set to play in the coming years. 

Fielding a question from Data Center Knowledge about the role of data centers in BlackRock’s overall outlook, the executives were overwhelmingly positive. However, they also noted that the digital infrastructure sector was not without its challenges. 

Check out our coverage of the session and dive into the details.

Data Center Construction News 

Google is planning to invest a further $1 billion in its data center in Council Bluffs, Iowa. The tech company said it would contribute to water quality programs in the state. 

Related:Colocation Data Center Trends, Predictions, and Opportunities for H2 2024

Expanding its footprint in Europe, Digital Realty has acquired a data center campus near west London, UK, for $200 million. The campus in Slough features two data centers with a combined capacity of 15 MW. 

The news came as Microsoft unveiled plans to construct an AI-focused data center on the site of a former power station in the northern city of Leeds. The £2.5 billion ($3.2 billion) project aims to bring over 20,000 advanced GPUs to the UK by 2026. 

Scala Data Centers has held a groundbreaking event for its first data center in Northeastern Brazil. With 7.2 MW of capacity, the SFORPF01 facility is expected to be completed by 2028. 

In Asia, Keppel DC REIT has entered into an agreement to acquire a data center in Tokyo, Japan for JPY23.4 billion ($150 million). The freehold multi-story property, named Tokyo Data Centre 1, was completed in 2019 and leased to a “Fortune Global 500 company and hyperscaler.” 

“With the remaining lease term of approximately seven years, there is an opportunity for positive rental reversion and potential for further organic growth on the back of growing demand for generative AI and tight data center supply in Japan,” Keppel said. 

Related:New Data Center Developments: July 2024

The news follows recent reports that NTT Data Group was planning to launch Japan’s first data center-focused REIT.

Hitting the Target 

In data center sustainability news this week, Amazon said its carbon emissions fell for a second straight year in 2023 as the company cut spending on new warehouses and cloud-computing data centers. 

The tech giant’s greenhouse gas emissions dropped 3% to 68.82 million metric tons of carbon dioxide equivalent.  

The data, published in Amazon’s annual sustainability report this week, contrast with disclosures from rivals Microsoft and Google, which are struggling to reduce their emissions amid a surge in demand for the data centers required for artificial intelligence 

In related news, Carsten Baumann, director at Schneider Electric, said data center operators must adopt a data-driven approach to assess and manage their Scope 3 emissions. 

In an op-ed for Data Center Knowledge this week, Baumann wrote: “Despite their significance, Scope 3 emissions are the least reported and understood … The challenge lies in adopting a standardized approach and comprehending the necessary metrics for measuring and reporting these emissions, which can be overwhelming.” 

Hydro-Power 

Following the recent announcement from ECL that the data center provider had brought modular, hydrogen-powered data centers to market, Data Center Knowledge writer Chris Tozzi took a closer look at this nascent technology.

Hydrogen offers power-hungry data centers a clean alternative to traditional energy sources, like coal and natural gas, without the limitations of renewables that are only available intermittently or in certain locations. 

“Gradual improvements over the past two decades in the efficiency of hydrogen fuel cells have made hydrogen a more attractive fuel source,” Tozzi said. “The hydrogen energy industry is not yet at the point where hydrogen is a hands-down better solution, but it has gotten closer.” 

Check out the full article to explore the potential future of hydrogen-powered data centers. 

Other Great Reads on DCK This Week 

Colocation Data Center Trends, Predictions, and Opportunities for H2 2024. Midway through the year, industry experts outline the major challenges and opportunities facing colocation data center operators, vendors, and clients. 

CyrusOne Inks $7.9B Credit Line in AI Data Center Push. The data center firm is now estimated to have access to around $9.7 billion of capital for new developments. 

Deep Seabed Mining a Threat to Global Subsea Cable Network Safety. The UNCLOS Treaty provides a structure for access to valuable minerals. Such mining, if not conducted properly, can damage subsea cables and the environment. 

Fujitsu, ANU to Establish Quantum Research Facility in Australia. The partners plan to build an onsite quantum computer. 

ARPA-E’s Peter de Bock Talks Data Center Cooling Obstacles, Innovations. Data Center Knowledge sat down with Peter de Bock, head of ARPA-E, to discuss thermal management, the government’s COOLERCHIPS initiative, and ways to tackle today’s biggest data center energy challenges.