Apollo Global Management Announces $5.4 Billion AI Infrastructure Deal
NEW YORK, Jan. 07, 2026 (GLOBE NEWSWIRE) -- Apollo (NYSE: APO) has taken a significant step in the artificial intelligence (AI) sector by leading a $3.5 billion capital solution for Valor Compute Infrastructure L.P. (“VCI”). This funding is meant to support the $5.4 billion acquisition and lease of state-of-the-art data center compute infrastructure, which features advanced NVIDIA GB200 GPUs, for a subsidiary of xAI Corp (“xAI”). This financing, structured as a triple net lease, will bolster one of the globe’s most powerful compute clusters crucial for the continuous training and development of xAI's model, Grok.
Key Details of the Capital Solution
The financing arrangement marks a strategic investment in the AI infrastructure space, underscoring Apollo's commitment as a leading provider of flexible, asset-based capital for innovative technologies. Notably, NVIDIA has become an anchor Limited Partner in VCI, joining other esteemed institutional investors.
- Investment Amount: $3.5 billion capital solution
- Acquisition Value: $5.4 billion for data center compute infrastructure
- Tech Involved: NVIDIA GB200 GPUs
Apollo’s Vision for AI Infrastructure
Apollo Partner Christopher Lahoud remarked, “This transaction represents a hallmark, downside-protected investment for Apollo in the AI infrastructure space.” He further highlighted how investing in critical infrastructure drives growth in transformative technology. Apollo's steadfast partnership with renowned entities like Valor and NVIDIA paves the way for continued innovation in the sector.
Valor’s Role in AI Development
Valor Founder, CEO, and CIO Antonio Gracias noted, “VCI is an extension of our continued service as a firm to xAI.” The fund not only allows investors to engage in vital AI compute infrastructure but also offers quarterly cash distributions alongside potential appreciation through ownership of compute assets.
Market Implications
Apollo projects that global data center infrastructure will require an investment of several trillion dollars over the next decade. This growth is driven by enduring trends related to the Global Industrial Renaissance and the increasing demand for compute capacity and AI workloads. Since 2022, funds managed by Apollo have deployed over $40 billion into advancing infrastructure, which encompasses compute capacity, digital platforms, and renewable energy projects.
Legal Representation
The Apollo Funds were advised by Latham & Watkins LLP, while Proskauer Rose LLP and Sullivan & Cromwell LLP represented VCI and xAI, respectively.
About Apollo
Apollo is a dynamic alternative asset manager with a global footprint. Through its diversified asset management practices, Apollo aims to deliver excess returns across various risk-reward opportunities, ranging from investment-grade credit to private equity. As of September 30, 2025, Apollo reported approximately $908 billion in assets under management. For additional information, visit www.apollo.com.
About Valor Equity Partners
Valor Equity Partners focuses on operational growth investments in high-growth companies at various development stages. The firm prides itself on solving growth and scaling challenges for its companies. As of December 31, 2025, Valor managed assets totaling approximately $55 billion. Visit www.valorep.com for more information.
Contact Information
- Noah Gunn, Global Head of Investor Relations: (212) 822-0540, IR@apollo.com
- Joanna Rose, Global Head of Corporate Communications: (212) 822-0491, Communications@apollo.com