Brookfield Estimates $7 Trillion Needed for AI Infrastructure Growth

Brookfield Asset Management estimates a $7 trillion investment needed for AI growth. The firm is launching a dedicated strategy focused on developing AI infrastructure, combining its infrastructure, renewables, and real estate investments. Ares Management aims to raise over $8 billion for data center investments. Brookfield has previously committed to invest $23.5 billion in data centers and AI infrastructure in France and $10.1 billion in Sweden.

Brookfield Asset Management (BAM) is making significant strides in the AI infrastructure sector, with a focus on developing a dedicated strategy. The company has estimated a $7 trillion investment needed for AI growth and is launching a strategy that combines its infrastructure, renewables, and real estate investments. This move is part of BAM's broader objective to tap into the booming AI market and create new revenue streams Brookfield Holds $4B+ First Close for Fourth Global Infrastructure Debt Fund^[3].

Meanwhile, Ares Management Corp. is positioning itself to capture a share of the millions of dollars in new fees flowing into the data center sector. The Los Angeles-based firm has set fundraising targets for data center investments, aiming for more than $8 billion in equity fundraising to back data centers in the near term across London, Japan, and Brazil Ares Management sets fundraising targets for data center investments^[2]. This move is part of Ares' broader strategy to diversify its businesses and capitalize on the growing demand for data centers, driven by the rise of artificial intelligence and the increasing need for digital infrastructure.

Brookfield has previously committed to investing $23.5 billion in data centers and AI infrastructure in France and $10.1 billion in Sweden, further underscoring its commitment to the sector Brookfield Holds $4B+ First Close for Fourth Global Infrastructure Debt Fund^[3]. The company's Infrastructure Debt platform has been actively investing across its core sectors, including renewable power and data infrastructure, deploying over $4 billion of capital in 2024 Brookfield Holds $4B+ First Close for Fourth Global Infrastructure Debt Fund^[3].

The data center sector is expected to consume 1,600 terawatt-hours of electricity by 2035, or about 4.4% of global usage, highlighting the significant growth potential in this area Ares Management sets fundraising targets for data center investments^[2]. The flurry of financing needs and lenders' eagerness to step in have brought risk to the market, with private debt to the technology sector rising to $450 billion as of early 2025 Ares Management sets fundraising targets for data center investments^[2].

Ares' strategy is focused on pre-leased developments with terms of 15 years or longer, which it says reduces the risk in the longer term. The firm is also paring back its overall risk by continuing to diversify its businesses and capitalizing on one of the hottest markets in private markets right now: secondaries Ares Management sets fundraising targets for data center investments^[2].

Brookfield's latest move to streamline its corporate structure by combining two publicly traded entities into a single corporation further illustrates its commitment to growth and innovation in the infrastructure sector Brookfield Asset Management plans to streamline structure by combining two entities^[1]. The newly formed BBU Inc. will pay an annual dividend of 25 US cents per share, unchanged from what investors in both entities currently receive.