DigitalBridge Group (DBRG) investor relations material

Industry trends and infrastructure evolution

• CapEx deployment is at record highs, driven by increased bookings for towers and fiber, with power and capital as critical constraints.

• AI is significantly impacting demand for towers and mobile infrastructure, with machine-to-machine connectivity and inferencing driving growth.

• The number of connected wireless devices is expected to double to 60 billion by 2033, with 90% being machine-to-machine connections.

• Leasing demand for towers is at its highest since 2013, with colocation applications outpacing amendments.

• Small cell providers and fiber businesses are experiencing strong growth, with strategic investments in residential and commercial fiber segments.

Financial strategy and capital deployment

• Average spend per megawatt for new data center capacity has risen to $11–12 million, with a 60/40 leverage-to-equity model.

• Realizations in data centers have consistently returned capital at over 2x MOIC, generating significant carried interest.

• The portfolio is approaching 6 gigawatts of capacity, with a 22-gigawatt power bank expected to be leased within three years.

• Recent equity raises include $1.6 billion for Vantage Asia and $1.7 billion for a major Lancaster project.

• The asset-light model and transition from REIT status have enabled rapid capital deployment and differentiation from traditional digital REITs.

Data center and power innovation

• AI inferencing is in its early stages, with industry power demand projected to reach 200 gigawatts in the next decade.

• The U.S. faces a significant gap between available baseload power and projected data center needs, creating opportunities for grid-independent solutions.

• Microgrids with multiple power sources are being developed to support data centers, enabling faster deployment and power trading.

• Power availability is a key differentiator, with immediate access to power driving recent wins in data center leasing.

• By 2033–2035, 60–80 gigawatts of new nuclear capacity are expected to come online, but transmission infrastructure remains a challenge.