The AI Infrastructure 'Picks and Shovels' Opportunity: A Strategic Bet for 2026 and Beyond

The global AI infrastructure boom is accelerating at an unprecedented pace, driven by insatiable demand for computing power and the urgent need to build the physical and digital backbone of the next industrial revolution. JPMorgan's recent projection that global investment in data center and AI infrastructure will reach $5 trillion between 2026 and 2030 underscores the scale of this transformation. This spending will require 122 gigawatts of new data center capacity, with annual funding needs surging from $700 billion in 2026 to $1.4 trillion by 2030 according to JPMorgan's analysis. However, the path to profitability is not without risks-JPMorgan warns of a $1.4 trillion funding gap and potential overcapacity pitfalls, echoing the telecom bust of the early 2000s. For investors, the key lies in identifying the "picks and shovels" of this AI gold rush: chipmakers, energy providers, and copper producers. These sectors are not just beneficiaries of the AI boom-they are its enablers, and their fundamentals are already showing explosive growth.

Chipmakers: The Silicon Fueling AI's Engine

Semiconductor companies are the bedrock of AI infrastructure, with NVIDIA leading the charge. The chipmaker's dominance in AI hardware has been cemented by its role in training large language models and its strategic partnerships with cloud providers. BlackRock's consortium with Microsoft, NVIDIA, and xAI to acquire Aligned Data Centers recognizes the criticality of silicon in this new era. NVIDIA's valuation is justified by its expanding role in full rack-scale AI systems-a shift that transforms it from a chip supplier to a foundational infrastructure partner.

Beyond NVIDIA, companies like ASML and Taiwan Semiconductor Manufacturing Co. (TSMC) are also high-conviction plays. ASML's extreme ultraviolet (EUV) lithography machines are indispensable for producing the advanced chips required for AI workloads, while TSMC's manufacturing prowess ensures it remains the go-to foundry for cutting-edge AI silicon. Fidelity's analysis highlights that these firms are not just selling chips but enabling entire ecosystems of AI development.

Energy Providers: Powering the Data Center Megacities

AI's insatiable appetite for energy is reshaping the power sector. Modern data centers consume gigawatt-level power loads-equivalent to the electricity needs of a small city. This has created a "power renaissance" for energy providers, with companies like Equinix and Digital Realty leading the charge. In Q3 2025, Equinix reported $2.316 billion in revenue, with operating income and Adjusted EBITDA up 12% and 10% year-over-year, respectively. The firm plans to double its data center capacity by 2029, while Digital Realty's Q3 results showed a 10% year-over-year revenue increase, driven by AI workload demand.

The U.S. alone will need to build 350 gigawatts of AI-related power infrastructure by 2030, equivalent to 50 nuclear plants according to industry analysis. This demand is fueling investments in energy storage and grid modernization, with firms like Energy Vault and Eos Energy Enterprises reporting record quarterly revenues. For investors, energy providers with exposure to AI data centers represent a dual opportunity: stable cash flows from long-term power purchase agreements and upside from infrastructure expansion.

Copper Producers: The Hidden Metal Behind AI's Rise

Copper is the unsung hero of the AI revolution. A single AI data center can consume 50,000 tons of copper, far exceeding the 5,000–15,000 tons used in conventional facilities. With global AI infrastructure growth, annual copper demand for data centers is projected to exceed 500,000 metric tons by 2030. This surge is already driving up prices, with JPMorgan forecasting an average of $12,075 per ton in 2026.

Leading copper producers like Rio Tinto and Freeport-McMoRan are capitalizing on this demand. Rio Tinto's Q3 2025 production hit 204 kt, a 10.1% year-over-year increase, while Freeport-McMoRan's revenue rose to $7.0 billion in Q3 2025, despite production challenges at its Grasberg mine. Government incentives, such as the $13.9 million in tax credits awarded to Gunnison Copper Corp, further highlight the strategic importance of domestic copper production. For investors, copper producers with low-cost operations and strong balance sheets are poised to outperform in this bull cycle.

BlackRock's Strategic Positioning and the Road Ahead

BlackRock's aggressive moves in AI infrastructure underscore its confidence in the sector. The firm's $40 billion consortium with Microsoft, NVIDIA, and xAI is a clear signal of its long-term bet on AI's infrastructure needs. Additionally, BlackRock is expanding its energy infrastructure holdings, particularly in Europe, to address the power demands of AI data centers. This dual focus on silicon and energy aligns with JPMorgan's $5 trillion projection and highlights the interconnected nature of AI's supply chain.

However, investors must remain cautious. The funding gap identified by JPMorgan and the risk of overcapacity-similar to the telecom bust of the early 2000s-cannot be ignored. Success will depend on companies' ability to generate sufficient revenue to justify their capital expenditures. For now, the fundamentals are compelling: chipmakers are innovating at breakneck speed, energy providers are securing long-term contracts, and copper producers are benefiting from a structural demand surge.

Conclusion: A High-Growth, Fundamentals-Driven Sector

The AI infrastructure boom is not a passing trend but a structural shift with trillion-dollar implications. Chipmakers, energy providers, and copper producers are the linchpins of this transformation, and their recent financial performance validates their strategic importance. With JPMorgan's $5 trillion projection, BlackRock's strategic investments, and the explosive growth of companies like NVIDIA and Equinix, the case for immediate investment in these sectors is robust. For those willing to navigate the risks, the rewards could be as transformative as the AI revolution itself.