Alphabet and Blackstone launch Project Braid, a cloud venture to rent Google AI processors to customers

Type: Partnership · Technology: Data Center · Country: null · Capacity: 500 MW · Value: $5B · Announced: 2026-09-09

Alphabet and Blackstone launched "Project Braid," a new cloud venture with a US$5 billion investment from Blackstone, aiming to rent Google AI processors to customers starting in 2027. The venture is targeting 500 megawatts of compute capacity by 2027, despite facing delays in securing suitable data center locations. Project Braid is designed to help Google bring its Gemini AI model chips to a broader customer base and build a hardware ecosystem to compete with Nvidia. This arrangement also allows Google to limit the direct costs and risks associated with its AI infrastructure buildout by moving some spending off its balance sheet. The joint venture has identified 29 potential data center locations to support its long-term scaling plans.

Analysis

Alphabet and Blackstone launched Project Braid, a cloud venture with a US$5 billion investment from Blackstone to rent Google AI processors, targeting 500 MW of compute capacity by 2027. Alphabet has completed two acquisitions of data‑center energy specialist Intersect. Blackstone is the world’s largest alternative asset manager. The joint venture has identified 29 potential data‑center locations and plans to begin rentals in 2027. The arrangement moves some AI infrastructure spending off Alphabet’s balance sheet.

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