Is Blackstone’s US$5 Billion Google AI Data Center Venture Altering The Investment Case For Blackstone (BX)?

• In May 2026, Blackstone and Google announced a past joint venture to form a new U.S.-based company offering efficient data center capacity, operations, networking, and access to Google Cloud’s Tensor Processing Units (TPUs), backed by an initial US$5.00 billion equity commitment from Blackstone and targeting 500 MW of capacity online in 2027.
• The appointment of long-time Google infrastructure leader Benjamin Treynor Sloss as CEO highlights how Blackstone is tying its capital strength to Google’s technical expertise to serve growing demand for AI-focused compute infrastructure.
• Next, we’ll examine how Blackstone’s US$5.00 billion AI data center venture with Google could reshape its investment narrative and growth drivers.

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Blackstone Investment Narrative Recap

To own Blackstone, you need to believe its fee based model can keep compounding through cycles while managing higher debt, volatile markets, and uneven realizations. The new US$5.00 billion AI data center venture with Google could become a meaningful near term talking point, but it does not remove the central risk that a weaker macro backdrop, trade tensions, or delayed deal activity could weigh on realizations and distributions.

Among recent updates, the April 2026 earnings print is particularly relevant: revenue of US$3,617.6 million and net income of US$649.73 million showed Blackstone still generating healthy profitability while it ramps capital into newer areas like digital infrastructure. That existing earnings base, combined with modest buybacks and a variable dividend, is the platform from which the Google JV may influence future fee streams and the balance between growth investments and near term payouts.

But while the AI data center story is appealing, investors should also be aware of how market volatility and realization risk could…

Read the full narrative on Blackstone (it’s free!)

Blackstone’s narrative projects $21.5 billion revenue and $10.5 billion earnings by 2028. This requires 16.7% yearly revenue growth and a $7.6 billion earnings increase from $2.9 billion today.

Uncover how Blackstone’s forecasts yield a $162.26 fair value, a 39% upside to its current price.

Exploring Other Perspectives

Some of the lowest ranked analysts were already cautious, assuming revenue of about US$21.9 billion and earnings of US$8.9 billion by 2029, and now you can weigh that more pessimistic view against the fresh uncertainty around large scale AI infrastructure bets and whether Blackstone’s expanding digital pipeline really offsets concerns about operational strain and technology risk.

Explore 7 other fair value estimates on Blackstone – why the stock might be worth just $112.69!

Form Your Own Verdict

Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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