Blackstone's $10 Billion Investment in Europe's Largest AI Data Centre

Blackstone to invest £10bn in Europe's largest AI data centre | bobsguide

Blackstone has announced a £10 billion investment to build one of Europe's largest AI data centres in Blyth, Northumberland. Set to create over 4,000 jobs, this landmark project will revitalise the former Britishvolt site and strengthen the UK's standing in the global AI sector. Blackstone, the US private equity firm, has confirmed a £10 billion investment to build one of Europe's largest artificial intelligence (AI) data centres in Blyth, Northumberland. This ambitious project is set to revitalise the former Britishvolt battery factory site, which faced bankruptcy in early 2024, by transforming it into a critical AI infrastructure hub. The data centre is expected to create over 4,000 jobs, including 1,200 construction roles, marking a significant boost to the local economy and the UK's technology landscape. This investment comes at a time when the UK government is focusing on positioning data centres as critical national infrastructure (CNI) amid increasing cyber threats from both criminal organisations and hostile nation states. Earlier this month, data centres were officially designated as CNI, further underlining their importance in safeguarding the nation's digital economy and technological future. Prime Minister Keir Starmer hailed Blackstone's investment as a vote of confidence in the UK, noting the project's potential to drive both local and national growth. "The number one mission of my government is to grow our economy, so that hard-working British people reap the benefits - and more foreign investment is a crucial part of that plan," Starmer stated. "New investment such as the one we've announced with Blackstone today is a huge vote of confidence in the UK and it proves that Britain is back as a major player on the global stage and we're open for business." Jon Gray, President and Chief Operating Officer of Blackstone, echoed this sentiment, attributing the UK's appeal as an investment destination to its "powerful combination of talent and innovation along with a highly transparent legal system." Gray added, "We are making significant commitments to building social housing, facilitating the energy transition, growing life sciences companies, and developing critical infrastructure needed to fuel the digital economy. This includes a projected £10 billion investment to build one of Europe's largest hyperscale data centres supporting 4,000 jobs. Blackstone is committed to Britain." In addition to the data centre, Blackstone has pledged £110 million to a local skills and transport infrastructure fund, which will focus on developing the area's workforce and improving connectivity. The fund aims to ensure that the surrounding community in Blyth benefits from long-term sustainable development as the data centre project progresses. This investment follows a similar announcement by Amazon Web Services (AWS), which revealed plans to spend £8 billion on building and operating data centres in the UK over the next five years. Both projects reflect the growing importance of data centres in supporting the burgeoning AI sector and digital economy. Construction on the Blyth data centre is slated to begin in 2025, as Blackstone aims to play a pivotal role in shaping the future of AI infrastructure in Europe.

Blackstone to build £10bn AI data centre in UK

Construction on the site - one of the biggest data centres in Europe - will begin next year in Blyth, Northumberland. Blackstone bought the land earlier this year following the collapse of Britishvolt which had planned to build an electric car battery factory on the site. Its plans for a "hyperscale" AI data centre were given the green light last month. In addition to creating 4000 jobs - including 1200 for the construction of the centre - Blackstone has committed £110 million to a fund supporting further skills training and transport infrastructure in the area. Jon Gray, president and COO, Blackstone, says: "The UK is a top investment market for Blackstone because of its powerful combination of talent and innovation along with a highly transparent legal system." UK Prime Minister Keir Starmer adds: "New investment such as the one we've announced with Blackstone today is a huge vote of confidence in the UK and it proves that Britain is back as a major player on the global stage and we're open for business."