EDGNEX Data Centers by DAMAC Announces Major Expansion into the US Market

EDGNEX Data Centers by DAMAC Expands to the US Market

EDGNEX Data Centers, a subsidiary of the global group DAMAC based in Dubai, has announced an ambitious plan to expand its digital infrastructure service to the US market. This strategic move marks a significant phase in EDGNEX's international expansion initiatives, aiming to establish advanced data centers with a capacity of up to 2000 megawatts (MW) over the next four years.

With an initial investment of $20 billion, the company plans to double this figure as demand and market opportunities grow. This expansion reflects EDGNEX’s commitment to building world-class digital infrastructure platforms targeting hyperscalers, AI entities, and Fortune 500 companies, thus promoting sustainable high-quality infrastructure capable of serving customers both in the U.S. and globally.

Key Investment Areas and Capacity Planning

The expansion will focus on key regions in the U.S., particularly in the Sun Belt states, including Texas, Arizona, Oklahoma, and Louisiana, and extends into the Midwest with Illinois, Michigan, and Indiana being significant targets. The first phase will prioritize capacity establishment through partnerships and acquiring land banks in collaboration with utility providers, as well as taking over existing data centers and platforms.

Initially, the capacity will be around 500 MW, distributed between locations in the Sun Belt and the Midwest, aligning with the rising demand for data center services. As EDGNEX scales its operations, it aims to cater adequately to this growing demand.

Vision from the Leadership

Hussain Sajwani, Founder and Chairman of DAMAC, expressed his excitement about this milestone, stating, “Our entry into the U.S. data center market represents a crucial milestone in our journey to build a global digital infrastructure platform that empowers businesses today and into the future. By leveraging our expertise in real estate and data centers, we aim to deliver best-in-class infrastructure that supports the next wave of cloud and AI growth, further positioning the U.S. in the technological and global data landscape.”

Beyond the latest venture into the data center market, DAMAC also invests significantly in U.S. real estate through several private equity funds. Notably, in Miami, the company is advancing a luxury residential project designed by Zaha Hadid Architects with a projected gross development value of $1 billion. DAMAC is actively pursuing strategic property opportunities across the U.S.

The Rationale Behind the Expansion

The successful real estate ventures in the Middle East and globally have set the foundation for DAMAC's investments in high-capex, high-yield asset classes such as data centers. Companies utilizing cloud and AI technologies present a considerable long-term growth potential, reinforcing DAMAC’s commitment to seizing opportunities in this sector and establishing a robust global platform that serves international markets.

Currently, EDGNEX operates in ten countries, including the UAE, Saudi Arabia, Turkey, Thailand, Malaysia, Indonesia, Greece, Spain, Finland, and Italy, with an anticipated capacity exceeding 1000 MW. The operational data centers include over 10 MW in Saudi Arabia and 5 MW in Thailand, which are set to go live in Q1 2025. By 2026, EDGNEX aims to have more than 300 MW operational worldwide.

Strategic Growth and Management

EDGNEX’s management team, comprised of over 100 professionals based in the Middle East, Europe, and Asia, is actively expanding to support these growth plans. Established in 2021, EDGNEX has rapidly expanded across the Middle East, Southeast Asia, and Europe, gearing up for its strategic entry into the U.S. market. Known for leading safe, scalable, and sustainable digital infrastructure, EDGNEX remains focused on utilizing DAMAC's equity and potential third-party capital to enhance its U.S. expansion efforts.

About EDGNEX

EDGNEX is a global digital infrastructure company headquartered in Dubai, UAE. As a wholly-owned subsidiary of DAMAC, it sets a foundation for local innovation around the globe and aims to disrupt the data center market with speed and agility. EDGNEX proactively builds, acquires, or partners to meet the next wave of demand for data center services. For more information, visit www.edgnex.com.