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DigitalBridge-backed Scala eyes US, China tech for AI data centers

Scala Data Centers, a Brazilian data center developer backed by DigitalBridge, plans to start the first phase of its Scala AI City project in late 2026 as it looks for a hyperscaler tenant for AI servers and chips.

Scala is in talks with US and Chinese tech firms, with the first phase would cost about US$500 million for infrastructure.

Scala said it has approval for a power connection of up to 5 gigawatts in Rio Grande do Sul, and the company also plans to expand its Sao Paulo campus after investing about 12 billion reais (US$2.4 billion).

🔗 Source: Bloomberg

🧠 Food for thought

Implications, context, and why it matters.

How Scala engineered its 5GW power advantage

  • The 5 gigawatt power connection goes beyond a routine permit. It came through direct work with government bodies.
  • Eldorado do Sul, near Porto Alegre, approved legislation that widened urban zoning and sped up procedures for the Scala AI City campus 1.
  • Brazil’s Ministry of Mines and Energy approved the connection, though it still needs sign-offs from the national grid operator and the power regulator 2.
  • The power regulator recently rejected another data center developer’s request over grid overload risks, which makes Scala’s progress stand out 2.

Brazil’s bid to become an AI processing export hub

  • Scala AI City is built to export AI processing services, rather than serve only local demand 2.
  • The campus can handle server racks above 150 kilowatts and uses liquid cooling built for heavy AI workloads 3.
  • The project aims to make Brazil a “powershoring” destination, a place that draws computing projects with abundant power. It pairs renewable energy with less than 80 milliseconds of data travel time to North America through submarine cables 4.
  • Its planned 4.75 gigawatt capacity is nearly eight times Brazil’s current operational data center capacity, giving Latin America’s tech infrastructure a much larger global footprint 2.

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