Digital Realty is a real estate investment trust that owns, operates and invests in carrier-neutral data centers across the world.
Tell us a bit about your journey—how did you become the CEO of a $60 billion company at such a young age?
I certainly did not foresee this path when I started over two decades ago. My involvement with Digital Realty began a year before the company went public. It was my second job out of school, and I was staffed as an analyst on a deal that took me to California. The project was backed by an investment fund, supported by CalPERS, that focused on the intersection of real estate and technology. That fund pieced together a small portfolio of assets, which eventually evolved into Digital Realty, with data centers becoming a strategic focus.
Over the years, I supported the company from the outside before joining as CFO in 2015 and later stepping into the CEO role two years ago. During this time, Digital Realty transformed into a global player, spanning 50 metropolitan areas across nearly 30 countries. We scaled through strategic M&A, investment in new data centers, and by expanding capabilities to support a broad customer base—from enterprises undergoing digital transformations to hyperscale cloud providers meeting AI demands.
This data center realty space appears to be a mix of technical expertise and financial acumen. How do you balance the two, and what sets Digital Realty apart?
This business requires harmonizing telecommunications technology, infrastructure, and financial strategy. At its core, we provide a critical service: a trusted, resilient infrastructure solution that supports diverse customer needs globally. From Virginia to Amsterdam to Singapore, we offer shared infrastructure that customers can rely on for their growth.However, the capital intensity of this industry cannot be overstated.
Growth requires significant investment, whether in expansive data halls or land and connectivity infrastructure. As a 20-year public company, we’ve mastered leveraging public and private capital to future-proof our customers’ growth. This ability to blend technical and financial strengths enables us to serve our customers while maintaining a robust trajectory for the business.
What are the biggest challenges facing the industry, particularly with AI growth and energy demands?
The rise of AI has added complexity to an already challenging landscape. Not all data centers, markets, or customer opportunities are created equal. At Digital Realty, we focus on mission-critical, latency-sensitive workloads, strategically operating in markets with robust customer demand and cloud infrastructure availability. AI, in particular, has become a major driver, and we recently had a record quarter with about 50% of our business tied to AI-related growth.
Energy is another critical issue. We are seeing power constraints in key markets like Northern Virginia and the Bay Area, which have throttled growth. While we work with utilities to reallocate capacity and invest in sustainable energy solutions, these challenges underscore the importance of thoughtful, measured growth. As leaders in sustainability, we’re committed to driving solutions, whether through power purchase agreements or direct investments in renewable projects.
Are there any innovative technologies or strategies you’re particularly excited about?
Innovation in this sector often feels like a "back to the future" scenario. For example, we’ve shifted back to water-based cooling solutions to handle the heat intensities of AI workloads. We’re also upgrading our infrastructure to support higher power densities and hotter environments. A recent milestone was our NVIDIA-certified deployment in the Nordics, which highlighted how advanced infrastructure can drive innovation in fields like life sciences.
Connectivity is another area of focus. We’re exploring private AI machine connectivity and sustainable power sources as traditional energy options dwindle. Our role as an infrastructure provider gives us a front-row seat to transformative customer innovations, and we aim to support these journeys with cutting-edge solutions.
Are you bullish on specific states or industries in the U.S., especially as AI matures?
AI is still in its infancy, but we are already seeing its transformative potential. The U.S. market, particularly regions with scalable infrastructure and fewer regulatory constraints, like Northern Virginia, Texas, and the Sun Belt, is experiencing rapid growth. These areas can deploy infrastructure quickly, meeting the urgent needs of AI developers. As AI applications mature—from public data models to private data sets in industries like finance and pharmaceuticals—we expect demand to shift. Core markets with robust GDP, population density, and cloud infrastructure will become critical hubs for inference and application development. While we’re a global business, recent AI developments have brought a renewed focus to U.S. growth, where we’ve seen incredible momentum.
What’s your vision for Digital Realty over the next three to four years?
We have bold ambitions. Today, we serve 5,000 customers; we aim to double that. We want to expand our partnerships with major technology companies, increasing their presence from 30 to 60 locations. The industry is evolving rapidly, and just as companies like NVIDIA have surged to prominence, we expect new players to emerge. Supporting them will require significant capital and operational scale, but we are ready for the challenge. Our heritage and track record position us well to meet these ambitions. We have always embraced long-term growth, and we remain committed to providing the infrastructure that powers innovation. Whether through sustainability efforts or expanding our footprint, we’re focused on staying at the forefront of the industry.
