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M&A, on-site power generation, new company formation, self-builds, hyperscale, land acquisition

  • August 5, 2024
  • Analyst: Philbert Shih

Another busy week saw M&A activity, developments around on-site power generation, new company formation, and a number of self-builds and land acquisitions by hyperscalers and operators. We also published our monthly insights, which included discussion and tracking of the energy sectorUK data centre marketAPAC expansionsGPU cloud provider infrastructure consumptionnew company formation and master-planned data centre park developments.

As power constraints continue to impact the sector, on-site power generation is increasingly a necessity. Rapidly expanding CoreWeave is looking for power to enable its data centre infrastructure and partnered with Bloom Energy for a site in Chicago. We also looked at various energy developments in the past month.

With the sector rapidly transforming, there has been a steady increase in new company formation. A lot of this is coming out of the GPU cloud space, but it is also happening at the edge.

Data centre expansion activity, needless to say, shows no signs of slowing down. The past week saw CyrusOne break ground in Frankfurt, while NTT GDC is plotting a huge campus in the Frankfurt area as well. Meanwhile, PowerHouse broke ground on a project in Spotsylvania, Virginia and EdgeCore acquired land in Culpeper, Virginia. Finally, we also saw Yondr Group go live in the UK and AWS is planning a massive self-build in Sydney, Australia.

There was also M&A activity of note. Equinix acquired three data centres to enter the market in the PhilippinesArgo Infrastructure Partners upped its stake in TierPoint and on the strategic side, Northern Data, a GPU colocation and cloud provider, is considering an IPO for its infrastructure arm. Finally, Microsoft made a strategic invest in Armada with an eye to enhancing its capabilities around edge and AI inferencing.

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