JP Morgan and McKinsey Forecast $5-7 Trillion Investment in Global Data Centres
JP Morgan and McKinsey forecast a combined investment of $5 to $7 trillion in global data centres from 2026 to 2030, indicating an annual capital expenditure of $1 trillion. Notably, Bank of America estimates a cost of $50 billion per gigawatt, while Morgan Stanley anticipates $3 trillion in capex by 2028. The rise of the GPU-as-a-Service model and concerns over the sustainability of AI investments are also highlighted in the current market landscape.
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JP Morgan estimates a $5 trillion investment in global data centres from 2026 to 2030, while McKinsey projects $7 trillion. This implies an annual capital expenditure of $1 trillion. Bank of America cites a cost of $50 billion per gigawatt of capacity, equating $1 trillion to 20 GW.
In 2025, Meta's Hyperion Data Center in Louisiana raised $30 billion through a special-purpose vehicle. Morgan Stanley forecasts a $3 trillion capex in data centres by 2028, with $200 billion from corporate debt and $150 billion from asset-backed securities.
Vantage Data Centers issued the first data centre ABS in 2018, raising $1.125 billion. By 2025, 27 data centre ABS deals raised $13.3 billion. The GPU-as-a-Service model is emerging, with contracts like Nebius's $19.4 billion deal with Microsoft. Concerns about AI investment sustainability are rising, reflected in Oracle's share drop and credit default swap increase.
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