Trump’s revelation of $92B of investments for Pa. AI hub sends bullish signal for sector: Wedbush

U.S. President Donald Trump and U.S. Sen. Dave McCormick (R-Pa.) announced investments totaling $36B for data center projects and another $56B for energy projects today during the Pennsylvania Energy and Innovation Summit at Carnegie Mellon.

“Many prominent figures within the energy space were in attendance pointing to the importance of providing necessary power capabilities to fuel AI which has put increased pressure on the grid,” said Wedbush analysts, led by Daniel Ives, in an investor note. “The funding will be focused on building out multi-billion-dollar data processing centers across Pennsylvania that will put the US at the forefront of the AI Revolution.”

Ives pointed to plans by Amazon (NASDAQ:AMZN), Google (NASDAQ:GOOG)(NASDAQ:GOOGL) and CoreWeave (NASDAQ:CRWV) to develop data centers and energy generation in the region. These hyperscalers plan to spend $20B, $25B and $6B, respectively.

“Blackstone’s (NYSE:BX) President and COO Jon Gray mentioned how the company is planning to announce a $25 billion investment in data center and energy infrastructure deployment in the region while creating a joint venture for increased power generation over the coming years,” Wedbush noted.

“Our bullish view is that investors are still underestimating the tidal wave of growth on the horizon from the $2 trillion of spending over the next 3 years coming from enterprise and government spending around AI technology and use cases,” Ives added.