GTS (Blackstone) as a Green Data Center Provider
Blackstone, through its Global Technology Services (GTS) and affiliated platforms, is now the world’s largest data center investor and operator, with a portfolio exceeding $70 billion and a $100 billion pipeline in development. The firm’s rapid expansion into hyperscale, edge, and sustainable infrastructure is reshaping the global digital landscape, but its environmental approach presents a complex picture.
Blackstone is prioritizing sustainability in new data center developments, with a focus on:
Sourcing renewable energy for operations
Implementing energy-efficient cooling systems
Adopting sustainable construction practices
The company’s $2.5 billion investment in 2025 specifically targets next-generation, eco-friendly infrastructure, including both hyperscale and edge data centers across the U.S., Europe, Asia-Pacific, and Latin America. Projects like the $13 billion hyperscale campus in North East England, recently approved by local authorities, are expected to create thousands of jobs and include community investment funds.
Blackstone’s strategy heavily relies on partnerships with established data center operators (such as QTS Realty Trust and Digital Realty), cloud providers, construction firms, and energy companies to accelerate deployment and secure renewable power. This collaborative approach is designed to ensure high operational standards and rapid scaling of green infrastructure.
Despite its sustainability messaging, Blackstone’s approach to powering its data centers is pragmatic. The company acknowledges that while renewables are a priority, backup power from natural gas and battery storage remains crucial due to the intermittency of wind and solar. In 2025, Blackstone acquired the Potomac Energy Center, a 774 MW gas plant in Virginia, specifically to support data center power needs.
This reliance on fossil fuels has drawn scrutiny: Blackstone’s energy portfolio is responsible for over 34 million metric tons of CO₂ emissions from fossil fuel operations as of mid-2024, and further expansion could increase these figures. The firm’s investments reflect the broader industry challenge of balancing explosive digital demand-driven by AI and cloud computing-with the need to decarbonize.
Blackstone’s aggressive expansion validates data centers as a core asset class and is likely to accelerate industry trends toward edge computing and sustainable infrastructure. However, it also highlights the tension between digital growth and environmental impact, especially as power constraints, regulatory pressures, and supply chain challenges intensify.
| Feature | Blackstone (GTS) Status/Initiative |
|---|---|
| Portfolio Size | $70B+ existing, $100B pipeline (largest globally) |
| Renewable Energy | Prioritized, but with significant natural gas backup |
| Energy Efficiency | Focus on advanced cooling, sustainable construction |
| Emissions Challenge | 34M+ metric tons CO₂ from energy portfolio (2024) |
| Notable Projects | $13B hyperscale campus (UK), Potomac Energy Center (US) |
| Partnerships | QTS, Digital Realty, cloud providers, energy companies |
| Community Impact | Job creation, local investment funds (e.g., Northumberland) |
Conclusion
Blackstone (GTS) is driving the next wave of global data center expansion with a strong emphasis on sustainability in design and operations. However, the firm’s heavy reliance on natural gas for power and the sheer scale of its portfolio present significant emissions challenges. As digital demand and AI workloads surge, Blackstone’s ability to balance growth with genuine decarbonization will be a key test for both the company and the industry at large.