GoKawiilThe Google Cloud logo is displayed on a high-definition digital monolith at the entrance of the Google pavilion during the Mobile World Congress in Barcelona, Spain, on March 5, 2026. For the 2026 edition, Google Cloud showcases its developments in the ''IQ Era'' by unveiling new Agentic AI solutions for telecommunications, powered by the Gemini 3.1 Pro model and Vertex AI Agent Builder. The exhibit highlights the deployment of Google Distributed Cloud running on TPU v6 (Tensor Processing Units) to enable AI at the network edge. Key demonstrations include the ''Network Digital Twin'' powered by Spanner Graph and BigQuery, which allows operators like MasOrange and Deutsche Telekom to use autonomous agents for real-time root-cause analysis and predictive network self-healing. The stand emphasizes Google's unified data foundation, utilizing Graph Neural Networks to transition from traditional monitoring to proactive, intent-based network management. (Photo by Joan Cros/NurPhoto via Getty Images)
Blackstone , the world's largest private owner of data centers, will invest $5 billion in equity capital in a new artificial intelligence infrastructure company with Google , the New York-based asset management firm announced Monday.
Google will supply the new U.S.-based company with its tensor processing units — chips purpose-built for processing artificial intelligence computations — bringing the first 500 megawatts of compute capacity online by 2027, with "plans to scale significantly over time," Blackstone said in a statement.
"This new company has enormous potential as it helps to meet the unprecedented demand for compute," Jon Gray, President and COO of Blackstone, said in the statement.
The unnamed company will be helmed by Benjamin Treynor Sloss, who most recently served as Google's chief programs officer. A Google spokesperson declined to comment on whether Google would retain a direct leadership role in it.
The Wall Street Journal, which first reported on the joint venture before Blackstone's official statement, said the private equity giant would hold a majority stake, citing sources familiar with the matter.
Blackstone did not disclose the venture's ownership structure in its statement, and did not respond to CNBC's request for comment by publication time.
The Journal also reported that the joint venture has already identified likely data center locations, some of which are under construction.
Blackstone, which manages more than $1.3 trillion in assets, has invested aggressively across the AI ecosystem and, earlier this month, established a similar venture with Anthropic.
Shares of Alphabet and Blackstone rose by about 1% in pre-market trading on Tuesday.