Dubai billionaire Hussain Sajwani, chairman of DAMAC Group, has pledged $20 billion to expand the US data centre sector, signalling a major shift toward digital infrastructure investment. The announcement was made at former President-elect Donald Trump’s Mar-a-Lago residence in Florida, underscoring the long-standing business ties between the two.
Sajwani indicated that the investment could grow beyond $20 billion, depending on market conditions. DAMAC, which owns the Trump-branded golf resort in Dubai, is moving into the data centre space to capitalise on demand driven by cloud technology and generative AI.
The US data centre market, valued at $50.76 billion in 2022, is projected to grow at a compound annual rate of 10.7% through 2030, according to Grand View Research. The expansion comes amid heightened competition for AI-related infrastructure as companies like Microsoft ramp up spending.
Microsoft announced plans to invest $80 billion this fiscal year to bolster its AI capacity.
The move also aligns with broader US policy trends. The Biden administration’s tightened restrictions on exporting AI chips to China have escalated efforts to secure domestic technological dominance. Trump has signalled a continuation of this hard-line approach by appointing China-focused economic advisors.
Sajwani’s investment in US data centres complements Trump’s emphasis on domestic economic growth, though similar announcements in the past, such as Foxconn’s $10 billion Wisconsin plant in 2017, have faced setbacks, Reuters reported.
The US data centre industry faces scrutiny over its environmental impact and resource consumption, with local communities raising concerns over water and energy usage. However, the investment is expected to contribute significantly to the digital backbone supporting AI, cloud services, and data-heavy applications.
