Strategic Partnership to Meet Growing Energy Demands of Data Centers and Cloud Giants
ADQ, the Abu Dhabi-based sovereign investment firm, has announced a landmark partnership with U.S. private equity firm Energy Capital Partners (ECP) to invest over $25 billion in energy infrastructure dedicated to powering data centers across the United States.
The agreement establishes a 50-50 joint venture focused on developing new power generation projects to support the increasing energy demands of hyperscale cloud providers, data centers, and other power-intensive industries. The partnership aims to deploy 25 GW of energy capacity, with an initial combined capital investment of $5 billion. While the primary focus will be the U.S. market, the partners may also explore select opportunities in other international regions.
Strengthening U.S.-UAE Economic Ties
The announcement coincides with Sheikh Tahnoon bin Zayed’s visit to the United States. The Deputy Ruler of Abu Dhabi and UAE National Security Adviser met with President Donald Trump to reaffirm the UAE’s commitment to strengthening economic cooperation with the U.S. This initiative aligns with broader efforts to expand partnerships in key sectors, including artificial intelligence, technology, infrastructure, and healthcare.
Addressing the Power Challenges of a Digital Future
As the global demand for cloud computing and artificial intelligence grows, ensuring reliable and scalable power supply is becoming a critical challenge. Data centers and hyperscale facilities require a stable and uninterrupted energy source, often necessitating localized power plants. The ADQ-ECP joint venture is designed to address these challenges through greenfield developments, new builds, and expansion projects.
“The acceleration of AI adoption and digital transformation is driving unprecedented demand for power infrastructure. Governments worldwide face growing challenges in securing stable and cost-effective electricity supplies. As a long-term investor with deep expertise in critical infrastructure, ADQ is well-positioned to support this transformation,” said Mohamed Hassan Alsuwaidi, Managing Director and Group CEO of ADQ.
The joint venture will leverage the experience of specialized teams in power development and operations, ensuring the rapid execution of projects.
“Our collaboration with ECP allows us to make significant investments in power generation and related infrastructure, enabling the growth of these industries while contributing to the resilience of economies,” Alsuwaidi added.
This strategic partnership marks a significant step in bridging the gap between the rising power needs of the digital economy and sustainable energy solutions.
