KKR launches $10 billion AI infrastructure company with Nvidia, Vistra

A KKR-led group on Thursday launched a new company with more than $10 billion in committed capital to finance ​the build-out of AI infrastructure, the latest effort ‌by an alternative asset manager to capitalize on growing demand for AI services.

The Kuwait Investment Authority, AI chip giant Nvidia and utility ​firm Vistra are anchor investors in the company, ​called Helix Digital Infrastructure, which is led by former ⁠Amazon Web Services CEO Adam Selipsky.

A surge in U.S. ​data-center construction has strained power supply and sparked a shortage ​of electronics components, slowing development of facilities key to Big Tech’s AI ambitions.

That, along with growing costs of the projects, is making ​private equity a funding source for the industry. Apollo ​and Blackstone said they would finance a $35 billion expansion of ‌AI ⁠capacity for Anthropic using Broadcom’s custom chips as part of a new tie-up.

Nvidia will help Helix with its expertise in designing AI data-centers, while Vistra will be the preferred ​power provider.

Helix can ​add additional ⁠institutional investors after the founding commitments are closed, said KKR, whose infrastructure platform manages ​over $100 billion in assets, including more than $70 billion ​across ⁠digital and power.

“Large users of digital infrastructure have an urgent need to reduce complexity and unlock new capacity,” Selipsky said.

He stepped ⁠down ​as the AWS chief in May ​2024, after doubling the division’s sales and operating profit since being appointed in ​2021. Reuters