Billionaire-backed xAI, the AI startup founded by Elon Musk, and Nvidia, a leader in AI hardware, have officially joined forces with Microsoft and BlackRock in a massive $30 billion initiative to expand AI infrastructure across the United States.
The partnership, announced on Wednesday, aims to invest heavily in data centers, computing resources, and energy facilities, essential for powering the next generation of AI-driven technologies, such as OpenAI’s ChatGPT.
This initiative, initially launched last year, has now been rebranded as the AI Infrastructure Partnership (AIP). AIP seeks to raise $100 billion, tapping into institutional investors, asset owners, and corporate partners to meet the growing demand for AI computing power.
To date, $100 billion has been committed for immediate deployment, with the remaining funds expected to be raised over the next four years, partly through debt financing.
AIP’s backers include Abu Dhabi’s MGX investment firm and BlackRock’s Global Infrastructure Partners. Nvidia, which previously served as a technical advisor, will continue to be integral in shaping AIP’s AI capabilities. The announcement comes amid an increasing rush to build high-performance computing infrastructure, driven by the skyrocketing demand for AI-powered applications.
This move follows the unveiling of Stargate, another AI infrastructure project, backed by SoftBank Group, OpenAI, and Oracle. Led by former U.S. President Donald Trump, Stargate aims to mobilize $500 billion in investment, underscoring the urgency to dominate AI development.
AIP also has strong support from the energy sector, with companies like General Electric’s GE Vernova and NextEra Energy providing essential energy solutions. The initiative will focus on ensuring the power and efficiency required to sustain the growth of AI technologies.
Though AIP is prioritising the U.S. for its infrastructure projects, the group also plans to expand into other OECD member countries, signaling a global ambition to shape the future of AI infrastructure. However, the total amount of funds raised so far has not been disclosed.
