Venture capital is investing in data centers as part of an infrastructure play targeting the Artificial Intelligence (AI) sector. While private markets ebb and flow with one sector hot today, and cold tomorrow, AI has a pretty huge runway, and private investors are taking advantage of it.
According to a report by S&P Global Market Intelligence, private equity-backed datacenter M&A hit $18.15 billion globally in 2024, the highest total in at least five years,
Additionally, private equity and venture capital firms invested $63.97 billion in AI through mergers and acquisitions between 2020 and 2024. Over 3x that amount was invested in AI companies through funding rounds of approximately $216.51 billion between 2020 and 2024.
The report shares the largest AI funding rounds from 2024, to May 26, 2025.