Scala Data Centers, a Brazilian startup operating energy-efficient large-scale data centers, raised $550M from Coatue Tactical Solutions and Investment Management Corporation of Ontario (IMCO).
With the funds, Scala Data Centers will expand across Latin America and invest in technology to support the increasing adoption of cloud and AI in the region.
“By leveraging Brazil’s abundant hydropower, Scala is positioning itself as an industry leader in sustainability within the data center sector. We expect this differentiation to drive its ongoing success with hyperscalers in the region,” said Fred Robert, Managing Director of Digital Infrastructure at IMCO.
The funding comes after Scala Data Centers announced a partnership with the government of Rio Grande do Sul to build Scala AI City, a data center hub aimed to make Brazil a global leader in Artificial Intelligence.The project will provide 54 MW of IT capacity, exceeding Argentina’s market, and will leverage local resources, sustainable technologies, and global partnerships, with plans to expand to 4,750 MW.
Scala AI City will leverage the upcoming Malbec submarine cable, linking São Paulo, Rio de Janeiro, and Buenos Aires, to secure a competitive advantage.
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