Edgnex Data Centers by Damac is a significant provider of digital infrastructure and a wholly owned subsidiary of a pivotal stage in its global expansion that has begun with the announcement of Dubai-based real estate developer Damac’s planned entry into the US data center sector.
The group has rapidly developed throughout the Middle East, Southeast Asia, and Europe since its founding in 2021, laying the groundwork for a calculated move into the US market.
It introduces and establishes new standards for digital infrastructure that is safe, scalable, and sustainable.
With a management team of more than 100 experts spread around the Middle East, Europe, and Asia, Edgnex is actively growing its workforce to accommodate these expansion goals.
With a strategy to potentially quadruple the investment based on future demand, market opportunity, and scalability, the Damac entity is expected to first invest $20 billion in the market.
Over the following four years, the announced US expansion will provide cutting-edge data centers with a capacity of 2000MW.
This endeavor is in line with Edgnex’s dedication to creating top-tier digital infrastructure platforms that cater to Fortune 500 businesses, hyperscalers, and AI players alike. It also aims to promote innovation and provide sustainable, superior infrastructure that serves clients both domestically and internationally.
According to Edgnex, its expansion strategy will concentrate on midwestern states like Ohio, Illinois, Michigan, and Indiana as well as sunbelt areas like Texas, Arizona, Oklahoma, and Louisiana.
Building capacity through partnerships, purchasing land banks in coordination with utilities, and purchasing pre-existing data centers and platforms are all part of the first phase.
With one in the Midwest and one in the Sunbelt, it will have a combined capacity of about 500MW. As Edgnex grows, this will satisfy the increasing need.
On the strategic move, Hussain Sajwani, the Founder of Damac, said: “This is an extremely exciting moment for us. Our foray into the U.S. market in data centers represents a significant milestone in our journey to build a global digital infrastructure platform that will empower businesses today and in the future.”
According to him, Damac’s success in the Middle East and around the world in real estate has served as the basis for its forays into high-capex, high-yield asset classes like data centers.
Cloud and AI adoption by businesses of all kinds offers a substantial 15-year growth opportunity, reaffirming the Dubai Group’s dedication to grasping possibilities and building a strong worldwide platform that caters to global markets.
“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, helping further position the U.S. in the technology and global data ecosystem,” he stated.
Data privacy and compliance are not handled or managed by Damac, which is an infrastructure provider. In order to support growth in the US, Edgnex intends to take advantage of Damac’s stock, bank loans, and possible outside funding.
Besides its current push into data centers, Damac as a Group is extensively invested in the US in real estate and through various private equity funds.
Damac is planning a $1 billion GDV development value boutique condo project in Miami that was created by Zaha Hadid Architects. It is still searching the United States for strategic real estate opportunities.
With a projected capacity of more than 1000MW, Edgnex’s current portfolio comprises operations in ten countries (the UAE, KSA, Turkey, Thailand, Malaysia, Indonesia, Greece, Spain, Finland, and Italy).
Over 10 MW of data centers are currently in service in Saudi Arabia, and 5 MW will be operational in Thailand by the first quarter of 2025. Edgnex stated that it hopes to have more than 300MW operating worldwide by 2026.
