The Rise of Data Centers and the Digital Infrastructure Asset Class
The Cool Vector is a media, learning and networking platform positioned at the overlap of capital and operations in a rapidly evolving industry.
Our Focus: The $3 Trillion Digital Industrial Complex
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Nabeel Mahmood
Nabeel Mahmood is an editorial advisor to Cool Vector Media. As a passionate futurist, Nabeel travels the world sharing his insights.

Phillip Koblence
Phillip Koblence is an editorial advisor to Cool Vector Media. Phillip has been a leader and innovator since the inception of the industry.

David Snow
David Snow is host and producer of the Cool Vector Media video-podcast. David has covered the private capital industry as a journalist since 1998.
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Financial journalist David Snow introduces Cool Vector, a video-podcast about the rise of data centers and the digital infrastructure asset class.
Cool Vector convenes expert conversations about the role of capital in the build-out of digital infrastructure globally, and about the overlapping long-term trends of digitalization, the rise of private capital, changing energy demand, changing land and real estate use, innovation in sustainability, technology competition among nations, and many other topics.
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The private equity firm that created Digital Realty sees a "wealth of opportunities" in digital infrastructure, but avoids hyperscaler mega-projects, says Mark Prybutok, a Managing Director at GI Partners and Head of the Data Infrastructure strategy. In 2001, GI Partners made its very first investment as a firm in a portfolio of distressed data centers reeling from the dotcom crash. In 2004, that portfolio was listed publicy as Digital Realty, now the world's largest data-center REIT. Today, GI Partners has $45 billion in assets under management, and oversees three strategies: private equity, real estate and digital infrastructure. In a wide-ranging interview with Cool Vector, Prybutok shares his excitement about investing in a rapidly expanding market, but offers guidance to investors about nuanced differences between business models, locations and commercial strategies. Prybutok also describes GI Partners' strategy in digital infrastructure as being more akin to private equity, with a focus on operating businesses, management teams and value-add strategies. Among the key takeaways from the interview: Digital infrastructure deserves a substantial allocation in the portfolio. As digital giants drive global economic growth, Prybutok argues digital infrastructure should potentially command a larger allocation in institutional portfolios than the modest levels seen today: “If you think about infrastructure as the physical underpinnings of the economy… why shouldn’t it be significantly higher than 20%, 25%?” Success in digital infrastructure requires sector nuance. With growing competition from generalist investors, GI Partners differentiates itself through deep sectoral focus and an ability to identify winners in niche sub-markets: “We’re identifying businesses that we in particular think are going to be the winners within a sub-sector of a sub-sector.” Edge infrastructure is a bigger opportunity than centralized mega-infrastructure. While hyperscaler campuses get headlines, GI sees greater long-term opportunity in edge infrastructure tailored to mid-sized businesses and real-world IT needs: “There’s a massive opportunity, multiples larger in aggregate, than these massive concentrated AI training data centers, but located closer to those end use points.” Digital infrastructure should be tech-enhancing, not tech-exposed. GI Partners focuses on durable physical infrastructure, steering clear of reliance on rapidly evolving technologies that risk obsolescence: “You want to make sure you’re not getting stuck investing in a generation of technology that is then made obsolete by improvements that happen in the next generation.” AI and IoT are fueling an urgent need for more infrastructure. From video surveillance to industrial automation, AI’s real-world applications are just beginning, creating vast demand for data centers and networks: “We see real-world examples… where the number of people reviewing and responding to alerts is going down exponentially as the AI improves.” Follow Cool Vector on LinkedIn: https://www.linkedin.com/company/cool-vector-media