Blackstone president Jon Gray said major tech companies will raise more capital to support AI growth. Speaking at a summit in Hong Kong, Gray noted that demand for computing power and energy is huge. He said, "Now you're in an environment where the demand's running well ahead of supply."
Gray, speaking at the Hong Kong Monetary Authority's Global Financial Leaders' Investment Summit, said most of the major tech companies were expected to raise more capital.
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"Meta and Google and Oracle raising equity ... SpaceX going public, Anthropic going public," Gray said. "On top of it ... the data centers, the energy needs are enormous."
Gray said he has a tremendous amount of conviction and confidence in AI infrastructure because of "pretty extraordinary" demand for computing power.
"Now you're in an environment where the demand's running well ahead of supply," he said. "So that gives me a lot of comfort."
Tech stocks globally have been under pressure in recent weeks as growing concerns about AI spending have triggered a new wave of selloffs.
Reporting by Kane Wu in Hong Kong; Writing by Scott Murdoch; Editing by Thomas Derpinghaus
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Kane Wu covers M&A, private equity, venture capital and investment banks in Asia. She tracks the region's most high-profile deals, fundraisings as well as investment trends amidst geopolitical, macroeconomic and regulatory changes. She was nominated for a SOPA Excellence in Business Reporting award for coverage of China regulatory crackdown in 2021. Prior to Reuters, she worked at the Wall Street Journal and also wrote about Asia's loan market for Thomson Reuters Basis Point. She is based in Hong Kong.