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Sovereign wealth funds shift toward fewer, larger AI deals worth $404B
A study reported by Forexlive and Reuters found direct sovereign wealth fund investments fell 17% to 391 deals, while total spending rose 91% to $404.0 billion, with about one-third tied to AI.
Sovereign wealth funds are increasingly financing artificial intelligence as governments treat AI and semiconductors as strategic national assets, a shift highlighted in a study reported by Reuters and summarized by Forexlive.
The research, compiled by Spain's IE University, said sovereign wealth funds managing more than $15 trillion are playing a larger role in AI infrastructure funding. It frames the change as governments using these pools of capital more deliberately to strengthen positions across global value chains, not just to chase returns.
Deal activity shows the concentration trend, with the number of direct investments tracked down 17% to 391 deals, while total spending climbed 91% to $404.0 billion compared with the prior year. The study attributed roughly one-third of that spending to AI-related investments.
The report cited examples of capital flowing to companies including Stargate, OpenAI, xAI, and Databricks, with state investors willing to commit over longer horizons. It also noted that the heavy tilt toward the United States continues even as geopolitical fragmentation grows elsewhere, and that state capital sources are broadening beyond traditional hubs.