February 20, 2026

Global data centres & digital infrastructure briefing (UTC 2026-02-20)

Audience: Institutional asset managers and infrastructure fund managers focused on data centres, power, and grid infrastructure.

Top news (3)

1. India: hyperscale + subsea scale-up – Google announces $15B India AI infrastructure investment in Vizag, centred on a “full-stack AI hub” in Visakhapatnam with gigawatt-scale compute and an international subsea cable gateway.

2. Firming power: commercial enhanced geothermal at meaningful size – Enhanced geothermal systems could expand U.S. geothermal power generation details Fervo Energy’s 53 MW Cape Generating Station (first large-scale commercial EGS generator in the US) and expansion-linked PPAs totaling 320 MW with Southern California Edison.

3. UK: AI funding tied to compute upgrades – UKRI launches first-ever AI Research and Innovation Strategy includes £1.6bn targeted AI funding (2026–2030) and £36m to upgrade Cambridge’s DAWN supercomputer.

Key deals & projects

India

• Google – Visakhapatnam (Vizag): Google announces $15B India AI infrastructure investment in Vizag
  • Announced $15bn infrastructure investment in India.
  • Scope includes a full-stack AI hub intended to host gigawatt-scale compute.
  • Also includes an international subsea cable gateway.
  • Additional context from the same announcement: four new subsea systems between the US and India.

United Kingdom

• UKRI – national AI strategy and compute: UKRI launches first-ever AI Research and Innovation Strategy
  • £1.6bn of targeted AI funding for 2026–2030 across research, skills, infrastructure and translation.
  • Includes up to £137m for DSIT’s AI for Science programme.
  • Includes £36m to upgrade Cambridge’s DAWN supercomputer.

United States (R&D / technical capability)

• Berkeley Lab – AI-driven digital twins + DOE infrastructure: Berkeley Lab advances AI-powered digital twins across scientific domains
  • Deploying AI digital twins across multiple domains (accelerators, tsunami forecasting, chemistry, building energy systems, fusion, bioreactors).
  • Uses DOE high-performance compute and networks: NERSC Perlmutter and ESnet.
  • Notable technical programmes/models cited: StFT multi-scale AI model, BELLA beamline twin for automated alignment, DTCS for real-time chemistry experiments.

Power, grid & interconnection highlights

United States – geothermal as a firm capacity pathway

• Fervo Energy – Cape Generating Station (EGS): Enhanced geothermal systems could expand U.S. geothermal power generation
  • Building a 53 MW unit (noted as 28 MW net summer capacity) due online June 2026.
  • Two additional 53 MW units expected January 2027.
  • Expansion-related PPAs totaling 320 MW with Southern California Edison with expansion referenced for 2028.
  • Data-centre-adjacent signal: mentions a Meta–SAGE agreement for up to 150 MW for data centers.
  • Additional pipeline/technology notes: a Rodatherm closed-loop pilot expected by January 2028; references to DOE FORGE research and Department of Defense partnerships to power military bases.

Policy & regulation

United Kingdom

• UK AI research & infrastructure funding envelope: UKRI launches first-ever AI Research and Innovation Strategy
  • First-ever AI Research and Innovation Strategic Framework backed by £1.6bn (2026–2030).
  • Specific line items relevant to compute demand and capacity planning: DAWN upgrade funding (£36m) and AI for Science programme funding (up to £137m).

People & operations (sector workforce)

• Compass Datacenters – operations talent: USMC Veteran Kathy Miller Now Data Center Operator at Compass
  • Kathy Miller is now a Data Center Operator supporting Compass Datacenters at the IAD-E site.

2-line wrap

Large-platform capex signals remain tightly linked to both energy firmness (EGS geothermal) and connectivity (subsea gateway + new systems). Public-sector AI funding in the UK and DOE-enabled R&D in the US continue to reinforce the compute infrastructure build-out.