I Squared Capital unveiled a $1 billion commitment to launch a US data center platform focused on colocation and artificial intelligence inference workloads. The private equity firm will acquire ten purpose-built facilities from Cogent Fiber, representing a strategic entry into the rapidly expanding AI infrastructure market that supports machine learning applications.

The $225 million cash deal for Cogent's facilities provides 53 megawatts of power capacity and 259,000 square feet of colocation space across nine markets. Scheduled to close in Q3 2026, pending regulatory approvals including the Hart-Scott-Rodino waiting period, this acquisition positions I Squared to capitalize on growing demand for AI-specific infrastructure.

Data centers supporting AI inference have become critical as companies deploy more machine learning applications. I Squared's investment signals private equity's continued interest in the digital infrastructure sector, with specialized facilities commanding premium valuations amid rising demand from cloud providers and enterprises developing AI solutions that require specialized computing environments.