Digital Realty Q4 2025 Digital Realty Trust Inc Earnings Call | AllMind AI Earnings | AllMind AI
Q4 2025 Digital Realty Trust Inc Earnings Call
Chief investment officer Greg Wright Chief technology officer, Chris sharp, and chief, Revenue officer, Colin, McClean are also on the call and will be available for Q&A.
Management will be making forward-looking statements, including guidance. And underlying assumptions on today's call. Forward-looking statements are based on expectations, that involve risks and uncertainties, that could cause actual results to differ materially for further discussion of risks related to our business, cr10 K and subsequent filings with the SEC.
This call will contain certain non-gaap financial information. Reconciliations to the most directly comparable, gaap measure, or included in the supplemental package furnished to the SEC and available on our website. Before I turn the call over. To Andy, let me offer a few key takeaways from our fourth quarter results.
First, we posted a 1086 of core ffo per share in the fourth quarter and 7.39 for full year. 2025 up 10% over 2024, our initial guidance for 2026 implies nearly 8% bottom line per share growth at the midpoint despite outperforming our original 2025 guidance by almost 500 basis points
Second, we concluded our second consecutive year with more than a billion dollars of total booking at 100% share.
Leaving us with a record. Backlog of nearly 1.4 billion dollars at 100% share. We also posted another record quarter of 0 to 1 megawatt plus interconnection, bookings. And a record year in 2025, as our team, demonstrated its resolve to meet our goal to double digital. Lastly, we ended the year with over 3.2 billion dollars of LP Equity commitments to our oversubscribed inaugural closed, end fund marking our official entry into the private markets and evolving digital. Realy funding strategy to support the growth of hyperscale Data Center capacity.
With that. I'd like to turn the call over to our president and CEO Andy power.
Thanks Jordan and thanks to everyone for joining our call.
2025 was a pivotal year for the data center industry and for digital rielly
Data centers, moved firmly into the Global Spotlight at AI adoption accelerated. Cloud platforms continued to scale.
And power became the industry's primary constraint.
Against that backdrop the digital realy. Team delivered. Exceptional execution.
We close the year with records financial performance exceeding, the full year guidance. We laid out last February and finishing ahead of the targets. We set for ourselves across revenue ibida and core FFL per share.
Just as importantly the strategy, we articulated over the last several years focused on a global full spectrum and connectivity Rich platform, and operational excellence with disciplined Capital, allocation is clearly gaining momentum.
The man remained robust across our full product range and our leasing reflected that breadth.
For the second consecutive year in our history, digital will be signed over a billion dollars of new leases with a 1.2 billion of bookings in 2025.
Representing a pace that is nearly 70% above the average, bookings achieved of the preceding 5-year period.
Our 0 to 1 megawatt plus interconnection product set. Continue to outperform and take share.
Posting nearly 340 million of bookings.
Easily a full year record and 35 Plus percent above 2024 levels.
as customers sought proximity, scale and dense connectivity in the critical Tier 1 markets, that we serve
This segment benefited from the continued expansion of platform digital into 31 countries and 56 markets at year end.
As well as the evolution of our product set.
Our high-density collocation, offering enables customers to deploy more compute in the same footprint, while maintaining efficiency and reliability.
Immediately during the year now enabling access to over 300, cloud on-ramps. And more than 700 interconnected data centers globally,
Further strengthening the network effects of platform. Digital
These Dynamics help drive a robust, inflow of new logos with nearly 600 added for the second consecutive year.
Greater than a megawatt blues. Got off to a great start early in the year when we signed a large lease in the company's history.
No. Momentum continued through the fourth quarter with solid hyperscale activity across our footprint, particularly in the Americas.
On a 100% shared basis, hydrocal leasing, exceeded 800 million in 2025.
Highlighting the underlying strength and durability of hyperscale demand.
Also, in 2025, we saw early, but encouraging customer adoption of our private AI exchange platform.
A growing set of AI driven. Networking, the use cases that enable Enterprises to connect to compute data and models, privately and dynamically across clouds campuses, and partners.
By leveraging, the scale of earning the connection portfolio.
Customers are beginning to move Beyond static architectures, to support low latency secure and cost-efficient AI, inference workflows that span multiple environments.
With inference expected to scale in 2026. We see continued expansion of these private. AI exchange use cases as a durable driver of interconnection demand.
Building on this momentum.
Our data and AI strategy is centered on delivering AI ready. Infrastructure in the Tier 1 metros where performance adjacency and sovereignty matter most
Our road map positions us to meet accelerating inference Demand with pre-installed liquid cooling capacity.
Higher density. Deployments and a unified platform that provides the coverage. Capacity connectivity, and control Enterprises require for long-term AI execution.
Finally, we continue to expand our footprint in the APAC region.
Last March we expanded into Indonesia through a joint. Venture that owns a robust connectivity Hub in Jakarta.
In January, we announced our continued Southeast Asian expansion with the acquisition of 1 of Malaysia's. Most, highly connected data centers.
Together these Investments further, strengthen our presence in fast, growing APAC markets.
And extend the reach of platform digital into regions, where digital demand is accelerating.
We continue to believe that not all data centers are created equal.
Different types of data centers can be thought of as different tools for different jobs.
Our portfolio is largely focused in locations that matter most to our customers and their stakeholders.
In a connection hubs in or near where clouds and data converge create network effects.
Making the platform more valuable for every participant.
The value generated by these Network effects together, with our ability to support hyperscale requirements and higher power density workloads.
Underscores the advantage of digital realities connected campus approach.
The key to these Network effects is inter connection.
Digital is has continued to enhance the value that we provide through both physical and virtual products available at our data centers.
Customers can use this connectivity to connect to others within the same data center, the cross connect, or another data center across the globe, via service Fabric and everything in between.
Customers can connect with their business partners in our data centers and expand their connectivity. When they add sites or deep in their integration with cloud data and AI ecosystems.
The importance of this connectivity. Grows as Enterprise Ai and use of inference accelerates.
Infant thrives were data and networks needs in our position in major population and GDP centers together with our robust and diverse connectivity. Makes us particularly well positioned to host and scale inference workloads as Enterprises continue to operationalize AI.
The introduction of chat, CBT a few years ago and the ensuing race between Gemini, Claude, Brock and others marked. The beginning of a new chapter in the digital age,
1 definitive convergence of AI, cloud data, and interconnection at a global scale,
Even at their extraordinary scale underscoring the depth and durability of this demand.
Looking ahead.
Cloud and AI demand are expected to continue to compound with AI, specific Services, growing even faster as generative and inference workloads become embedded directly into business processes.
Work position for the next phase of infrastructure enabling where Enterprise AI demands infrastructure to the behaviors like the cloud reliable secure and always on.
As cloud and AI demand scale, a combination of power availability and ability to execute have become the defining constraints across Global digital infrastructure.
Shaping the timelines for how new Data Center capacity comes online.
In most of our core markets, new Supply will continue to arrive gradually as both generation and transmission upgrades continue.
Hyperscalers are increasingly making leasing decisions based on who can secure and deliver power capacity on a predictable schedule.
As a result customers are prioritizing operators with verified visibility into the future supply of power.
And a track record of on time or even accelerated delivery.
Digital to continue to leverage its Global footprint, 20 plus year, track record and 5 gigawatt power bank to position incremental capacity for development. And so the world's most powerful constrained markets,
Move on. Let me highlight a few recent wins that demonstrate how customers across the globe are using the connectivity in our data centers to deploy critical workloads to create value for their Enterprise.
Andy Power: In most of our core markets, new supply will continue to arrive gradually as both generation and transmission upgrades continue. Hyperscalers are increasingly making leasing decisions based on who can secure and deliver power capacity on a predictable schedule. As a result, customers are prioritizing operators with verified visibility into the future supply of power and a track record of on-time or even accelerated delivery. Digital Realty continues to leverage its global footprint, 20-plus year track record, and 5GW power bank to position incremental capacity for development in some of the world's most power-constrained markets. Before I move on, let me highlight a few recent wins that demonstrate how customers across the globe are using the connectivity in our data centers to deploy critical workloads to create value for their enterprise.
Andrew Power: In most of our core markets, new supply will continue to arrive gradually as both generation and transmission upgrades continue. Hyperscalers are increasingly making leasing decisions based on who can secure and deliver power capacity on a predictable schedule. As a result, customers are prioritizing operators with verified visibility into the future supply of power and a track record of on-time or even accelerated delivery. Digital Realty continues to leverage its global footprint, 20-plus year track record, and 5GW power bank to position incremental capacity for development in some of the world's most power-constrained markets. Before I move on, let me highlight a few recent wins that demonstrate how customers across the globe are using the connectivity in our data centers to deploy critical workloads to create value for their enterprise.
Supply will continue to arrive gradually as both generation and transmission upgrades continue.
In technology services company and new logo is leveraging platform. Digital in 4 Us locations to create a distributed AI inference ready, ecosystem to support Advanced artificial intelligence workloads for a growing Enterprise demand.
Hyperscale errors are increasingly making decisions based on who can secure and deliver power capacity on a predictable schedule.
As a result customers are prioritizing operators with verified visibility into the future supply of power and a track record of on time or even accelerated delivery.
A leading technology and Communications company is expanding its footprint to 2 additional European markets on platform. Digital to enable Network optimized platforms leveraging, the interconnected digital infrastructure to reach customers faster and at scale,
Digital Realty continues to leverage its global footprint 20, plus year track record and five gigawatt power bank to position incremental capacity for development and some of the world's most power constrained markets.
A global industrial Technology and Engineering Company based in Germany and a new logo for platform. Digital is enabling Advanced data analytics and AI initiatives leveraging, the high-performance digital ecosystems available in a Dallas Data Center,
Before I move on let me highlight a few recent wins that demonstrate how customers across the globe.
The connectivity in our data centers to deploy critical workloads to create value for their enterprise.
A leading European AI company and a new logo for digital. Realy is deploying an edge in Force Mode on platform, digital leveraging, the network and emerging AI ecosystem available on our Paris campus.
Andy Power: A technology services company and new logo is leveraging PlatformDIGITAL in four US locations to create a distributed AI inference-ready ecosystem to support advanced artificial intelligence workloads for a growing enterprise demand. A leading technology and communications company is expanding its footprint to two additional European markets on PlatformDIGITAL to enable network-optimized platforms, leveraging the interconnected digital infrastructure to reach customers faster and at scale. A global industrial technology and engineering company based in Germany, and a new logo for PlatformDIGITAL, is enabling advanced data analytics and AI initiatives, leveraging the high-performance digital ecosystems available in a Dallas data center. A leading European AI company and a new logo for Digital Realty, is deploying an edge inference node on PlatformDIGITAL, leveraging the network and emerging AI ecosystem available on our Paris campus.
Andrew Power: A technology services company and new logo is leveraging PlatformDIGITAL in four US locations to create a distributed AI inference-ready ecosystem to support advanced artificial intelligence workloads for a growing enterprise demand. A leading technology and communications company is expanding its footprint to two additional European markets on PlatformDIGITAL to enable network-optimized platforms, leveraging the interconnected digital infrastructure to reach customers faster and at scale. A global industrial technology and engineering company based in Germany, and a new logo for PlatformDIGITAL, is enabling advanced data analytics and AI initiatives, leveraging the high-performance digital ecosystems available in a Dallas data center. A leading European AI company and a new logo for Digital Realty, is deploying an edge inference node on PlatformDIGITAL, leveraging the network and emerging AI ecosystem available on our Paris campus.
A technology services company and new logo is leveraging platform digital and for U S locations to create a distributed AI inference ready ecosystem to support advanced artificial intelligence workloads for our growing enterprise demand.
And a leading multinational. Manufacturing company is expanding its footprint on platform digital to enable Advanced Data and AI workloads leveraging high density and interconnected digital infrastructure available on our sole campus.
Our leading technology and communications company is expanding its footprint to two additional European markets on platform digital to enable network optimized platforms, leveraging the interconnected digital infrastructure to reach customers faster and at scale.
These winds demonstrate the Continuum of our Enterprise offerings and the value of deploying critical workloads, within our connected Global communities.
And with that, I'll now turn the call over to our CFO, Matt Mercer.
Thank you, Andy.
A global industrial technology, and Engineering company based in Germany, and a new logo for platform digital is enabling advanced data analytics and AI initiatives leveraging the high performance digital ecosystems available in our Dallas data Center.
As Andy noted 2025 was a transformative year for digital, realy over the last 12 months, we posted record Financial results and saw a meaningful acceleration in top and bottom line growth.
A leading European AI company and a new logo for digital Realty is deployment MGM first node on platform digital leveraging the network and emerging AI ecosystem available on our Paris campus.
Andy Power: And a leading multinational manufacturing company is expanding its footprint on PlatformDIGITAL to enable advanced data and AI workloads, leveraging high density and interconnected digital infrastructure available on our Seoul campus. These wins demonstrate the continued momentum of our enterprise offering and the value of deploying critical workloads within our connected global communities. And with that, I'll now turn the call over to our CFO, Matt Mercier.
Andrew Power: And a leading multinational manufacturing company is expanding its footprint on PlatformDIGITAL to enable advanced data and AI workloads, leveraging high density and interconnected digital infrastructure available on our Seoul campus. These wins demonstrate the continued momentum of our enterprise offering and the value of deploying critical workloads within our connected global communities. And with that, I'll now turn the call over to our CFO, Matt Mercier.
And a leading multinational manufacturing company is expanding its footprint on platform digital to enable advanced data and AI workloads leveraging high density an interconnected digital infrastructure available on our sole campus.
We achieved these strong results while keeping our leverage below. 5 turns and maintaining significant liquidity to invest in data center projects, across our 5 gigawatt Runway of buildable it capacity.
These wins demonstrate the continued momentum of our enterprise offering and the value of deploying critical workloads within our connected global communities.
Core ffo per share, grew by 8% year-over-year while leasing posted top 5 quarter in DLR history with the 01 megawatt. Plus interconnection category setting a new quarterly leasing record.
And with that I'll now turn the call over to our CFO macro sooner.
Matt Mercier: Thank you, Andy. As Andy noted, 2025 was a transformative year for Digital Realty. Over the last 12 months, we posted record financial results and saw a meaningful acceleration in top and bottom line growth. In Q4, Digital Realty again posted strong double-digit growth in revenue and Adjusted EBITDA, reflecting the momentum in our 0 to 1 MW plus interconnection business, commencements from our substantial Backlog, strong Re-leasing spread, modest churn, and continued strong growth in Fee income. We achieved these strong results while keeping our leverage below 5 turns and maintaining significant liquidity to invest in data center projects across our 5 GW runway of buildable IT capacity. Core FFO per share grew by 8% year-over-year, while leasing posted a top 5 quarter in DLR history, with the 0 to 1 MW plus interconnection category setting a new quarterly leasing record.
Matt Mercier: Thank you, Andy. As Andy noted, 2025 was a transformative year for Digital Realty. Over the last 12 months, we posted record financial results and saw a meaningful acceleration in top and bottom line growth. In Q4, Digital Realty again posted strong double-digit growth in revenue and Adjusted EBITDA, reflecting the momentum in our 0 to 1 MW plus interconnection business, commencements from our substantial Backlog, strong Re-leasing spread, modest churn, and continued strong growth in Fee income. We achieved these strong results while keeping our leverage below 5 turns and maintaining significant liquidity to invest in data center projects across our 5 GW runway of buildable IT capacity. Core FFO per share grew by 8% year-over-year, while leasing posted a top 5 quarter in DLR history, with the 0 to 1 MW plus interconnection category setting a new quarterly leasing record.
Thank you Andy.
As Andy noted 2025 was a transformative year for digital Realty over the last 12 months, we posted record financial results and saw a meaningful acceleration in top and bottom line growth.
During the fourth quarter, we signed Lisa's representing 400 million of annualized. Rent at 100% share or 175 million at digital, realy share
In the fourth quarter digital royalty again posted strong double digit growth in revenue and adjusted EBITDA, reflecting the momentum in our zero to one megawatt plus interconnection business commencement from our substantial backlog strong re leasing spreads.
Information workloads.
Data center Supply remains tight, especially within our footprint.
Modest churn and continued strong growth in fee income.
New leasing activity was particularly strong in the Americas representing 65% of DLR share of bookings in the quarter.
We achieved these strong results, while keeping our leverage below five turn and maintaining significant liquidity to invest in data center projects across our five gigawatt runway of buildable IC capacity.
Our 0 to 1 megawatt plus interconnection products, that continued its strong momentum, posting a new leasing record of 96 million.
7% higher than the previous record set in 2 Q of 25.
Core <unk> per share grew by 8% year over year, while leasing posted top five quarter and DLR history with the zero to one megawatt plus interconnection category setting a new quarterly leasing record.
Over the course of 2025. We've averaged 85 million of quarterly. Leasing in this category.
A reflection of our growing value proposition and the consistency of our team's efforts.
Matt Mercier: During Q4, we signed leases representing $400 million of annualized rent at 100% share, or $175 million at Digital Realty share. Demand for data center capacity continues to be robust, both for larger capacity blocks to support growth in cloud and AI, and smaller, but also scaling colocation capacity, which often supports enterprise digital transformation workloads. Data center supply remains tight, especially within our footprint. New leasing activity was particularly strong in the Americas, representing 65% of DLR's share of bookings in the quarter. Our zero to 1 MW plus interconnection product set continued its strong momentum, posting a new leasing record of $96 million, 7% higher than the previous record set in Q2 of 2025.
Matt Mercier: During Q4, we signed leases representing $400 million of annualized rent at 100% share, or $175 million at Digital Realty share. Demand for data center capacity continues to be robust, both for larger capacity blocks to support growth in cloud and AI, and smaller, but also scaling colocation capacity, which often supports enterprise digital transformation workloads. Data center supply remains tight, especially within our footprint. New leasing activity was particularly strong in the Americas, representing 65% of DLR's share of bookings in the quarter. Our zero to 1 MW plus interconnection product set continued its strong momentum, posting a new leasing record of $96 million, 7% higher than the previous record set in Q2 of 2025.
During the fourth quarter, we signed leases representing $400 million of annualized rent at a 100% share or $175 million of digital Realty sure.
Leasing was driven by Regional records in North America and Mia.
Led by strength in the smaller 0 to 500 kilowatt deal trunch.
Demand for data center capacity continues to be robust both for larger capacity blocks to support growth in cloud and AI and smaller but also scaling colocation capacity, which often supports enterprise digital transformation workloads.
The 01 megawatt. Plus interconnection product continues to be a significant Focus for digital rielly.
And we are encouraged by the growing strength and momentum of our execution.
Interconnection bookings approached last quarter's record at 18.9 million.
Datacenter supply remains tight, especially within our footprint.
New leasing activity was particularly strong in the Americas, representing 65% of DLR share of bookings in the quarter.
Strengthen the corner was driven by record bookings in a Mia and momentum within our service fabric product.
And our connection booking stepped up. Noticeably in the second half of 2025.
Our zero to one megawatt plus interconnection product set continued its strong momentum posting a new leasing record of $96 million seven.
Resulting, in a 22% increase year-over-year.
We signed 78 million within the greater than a megawatt category at our share.
7% higher than the previous record set in <unk> 25.
With continued strength in the Americas.
Matt Mercier: Over the course of 2025, we've averaged $85 million of quarterly leasing in this category, a reflection of our growing value proposition and the consistency of our team's efforts. Leasing was driven by regional records in North America and EMEA, led by strength in the smaller 0-500kW deal tranche. The 0-1MW plus interconnection product continues to be a significant focus for Digital Realty, and we are encouraged by the growing strength and momentum of our execution. Interconnection bookings approached last quarter's record at $18.9 million. Strength in the quarter was driven by record bookings in EMEA and momentum within our ServiceFabric product. Interconnection bookings stepped up noticeably in the second half of 2025, resulting in a 22% increase year-over-year.
Matt Mercier: Over the course of 2025, we've averaged $85 million of quarterly leasing in this category, a reflection of our growing value proposition and the consistency of our team's efforts. Leasing was driven by regional records in North America and EMEA, led by strength in the smaller 0-500kW deal tranche. The 0-1MW plus interconnection product continues to be a significant focus for Digital Realty, and we are encouraged by the growing strength and momentum of our execution. Interconnection bookings approached last quarter's record at $18.9 million. Strength in the quarter was driven by record bookings in EMEA and momentum within our ServiceFabric product. Interconnection bookings stepped up noticeably in the second half of 2025, resulting in a 22% increase year-over-year.
Over the course of 2025, we've averaged $85 million of quarterly leasing in this category.
Price and this product segment remains strong, averaging, over 180 dollars per kilowatt in the quarter.
A reflection of our growing value proposition and the consistency of our team's efforts.
Leasing was driven by regional records in North America, and EMEA led.
Manasses Virginia was the top contributor to the greater than a megawatt signings. This quarter while hyperscalers also signed leases in Tokyo, Osaka and Paris.
Led by strength in the smaller zero to 500 kilowatt deal tranche.
Availability across our nearly 800 megawatts in place portfolio. In Northern Virginia remains very limited.
Zero, one megawatt plus interconnection product continues to be a significant focus for digital realty and.
And we are encouraged by the growing strength and momentum of our execution.
With strong demand, queuing for the 300 megawatts of capacity. We are ready for delivery in the 2027 to 2029 time frame.
Interconnection bookings approached last quarter's record at $18 9 million.
<unk> in the quarter was driven by record bookings in EMEA and momentum within our service fabric product.
Our total backlog reached a record at near end of nearly 1.4 billion. Reflecting the robust data center, fundamentals. We are experiencing and our ability to capitalize on this demand.
Interconnection bookings stepped up noticeably in the second half of 2025.
Resulting in a 22% increase year over year.
Matt Mercier: We signed $78 million within the greater than a megawatt category at our share, with continued strength in the Americas. Pricing in this product segment remained strong, averaging over $180/kW in the quarter. Manassas, Virginia, was the top contributor to the greater than a megawatt signings this quarter, while hyperscalers also signed leases in Tokyo, Osaka, and Paris. Availability across our nearly 800 MW in-place portfolio in Northern Virginia remains very limited, with strong demand queuing for the 300 MW of capacity we are readying for delivery in the 2027-2029 time frame. Our total backlog reached a record at year-end of nearly $1.4 billion, reflecting the robust data center fundamentals we are experiencing and our ability to capitalize on this demand.
Matt Mercier: We signed $78 million within the greater than a megawatt category at our share, with continued strength in the Americas. Pricing in this product segment remained strong, averaging over $180/kW in the quarter. Manassas, Virginia, was the top contributor to the greater than a megawatt signings this quarter, while hyperscalers also signed leases in Tokyo, Osaka, and Paris. Availability across our nearly 800 MW in-place portfolio in Northern Virginia remains very limited, with strong demand queuing for the 300 MW of capacity we are readying for delivery in the 2027-2029 time frame. Our total backlog reached a record at year-end of nearly $1.4 billion, reflecting the robust data center fundamentals we are experiencing and our ability to capitalize on this demand.
Many remain understandably focused on the pride share view of leasing. Then we have historically provided to enhance transparency and modeling but we feel it is important to understand the complete picture.
We signed $78 million within the greater than a megawatt category at our share.
With continued strength in the Americas.
Pricing in this product segment remained strong averaging over a $180 per kilowatt in the quarter.
The total backlog is a better representation of the aggregate demand being captured across platform digital and in turn an important driver of the overall economics enjoyed by DLR shareholders.
Manassas, Virginia was the top contributor to the greater than a megawatt signings this quarter, while Hyperscale. There's also signed leases in Tokyo, Osaka and Paris.
while the evolution of our funding strategy has impacted some items on our income statement, bottom line, economics remain Paramount,
Availability across our nearly 800 megawatts in place portfolio in Northern Virginia remains very limited.
this Evolution has enabled us to more than double our fee income in 2025 while expanding our operational reach to better serve our customers
With strong demand queuing for the 300 megawatts of capacity, we are readying for delivery in the 2027% to 2009 timeframe.
At digital, realy share the backlog was 817 million at quarter end.
As 209 million of commencements, exceeded the 175 million of new bookings in the quarter.
Our total backlog reached a record at year end of nearly $1 4 billion, reflecting the robust datacenter fundamentals, we are experiencing and our ability to capitalize on this demand.
Matt Mercier: Many remain understandably focused on the pro rata share view of leasing that we have historically provided to enhance transparency and modeling, but we feel it is important to understand the complete picture. The total backlog is a better representation of the aggregate demand being captured across PlatformDIGITAL, and in turn, an important driver of the overall economics enjoyed by DLR shareholders. While the evolution of our funding strategy has impacted some items on our income statement, bottom-line economics remain paramount. This evolution has enabled us to more than double our fee income in 2025 while expanding our operational reach to better serve our customers. At Digital Realty Trust, the backlog was $817 million at quarter end, as $209 million of commencements exceeded the $175 million of new bookings in the quarter.
Matt Mercier: Many remain understandably focused on the pro rata share view of leasing that we have historically provided to enhance transparency and modeling, but we feel it is important to understand the complete picture. The total backlog is a better representation of the aggregate demand being captured across PlatformDIGITAL, and in turn, an important driver of the overall economics enjoyed by DLR shareholders. While the evolution of our funding strategy has impacted some items on our income statement, bottom-line economics remain paramount. This evolution has enabled us to more than double our fee income in 2025 while expanding our operational reach to better serve our customers. At Digital Realty Trust, the backlog was $817 million at quarter end, as $209 million of commencements exceeded the $175 million of new bookings in the quarter.
Looking ahead to 2026, we have 634 million of leases, scheduled to commence somewhat rattly, throughout this year and then another 152 million of leases to commence in 2027 and Beyond.
Many remain understandably focused on the pro rata share view of leasing than we have historically provided to enhance transparency and modeling, but we feel it is important to understand the complete picture.
Our backlog provides us with strong visibility and predictability.
The total backlog is a better representation of the aggregate demand being captured a cross platform digital and in turn an important driver of the overall economics enjoyed by DLR shareholders.
During the fourth quarter, we signed 269 million of, renewal leases at a blended 6.1%, increase on a cash basis. As usual renewals were heavily weighted towards our shorter 0 to 1 megawatt, leases with 175 million of collocation, renewals at a 4.3% uplift.
While the evolution of our funding strategy has impacted some items on our income statements Bottomline economics remain Paramount.
Greater than a megawatt renewals to 88 million at a robust 8.1% cash. Releasing spread.
This evolution has enabled us to more than double our fee income in 2025, while expanding our operational reach to better serve our customers.
Driven by deals in Northern Virginia, Chicago and Dublin.
At digital Realty share the backlog was $817 million at quarter end.
For the full year, 2025 cash. Releasing spreads for 6.7% surpassing the high end of our guidance range
As $209 million of commences exceeded the $175 million of new bookings in the quarter.
As for earnings, we reported core ffo of a $186 per share for the fourth quarter.
Matt Mercier: Looking ahead to 2026, we have $634 million of leases scheduled to commence somewhat ratably throughout this year, and then another $152 million of leases to commence in 2027 and beyond. Our backlog provides us with strong visibility and predictability. During Q4, we signed $269 million of renewal leases at a blended 6.1% increase on a cash basis. As usual, renewals were heavily weighted towards our shorter zero to one megawatt leases, with $175 million of colocation renewals at a 4.3% uplift. Greater than a megawatt renewals totaled $88 million at a robust 8.1% cash re-leasing spread, driven by deals in Northern Virginia, Chicago, and Dublin.
Matt Mercier: Looking ahead to 2026, we have $634 million of leases scheduled to commence somewhat ratably throughout this year, and then another $152 million of leases to commence in 2027 and beyond. Our backlog provides us with strong visibility and predictability. During Q4, we signed $269 million of renewal leases at a blended 6.1% increase on a cash basis. As usual, renewals were heavily weighted towards our shorter zero to one megawatt leases, with $175 million of colocation renewals at a 4.3% uplift. Greater than a megawatt renewals totaled $88 million at a robust 8.1% cash re-leasing spread, driven by deals in Northern Virginia, Chicago, and Dublin.
Looking ahead into 2026, we have $634 million of leases scheduled to commence somewhat rapidly throughout this year and then another $152 million of leases to commence in 2027 and beyond.
Of 8% year-over-year, reflecting strong core growth and continued growth in fee income, offset by seasonally higher expenses.
Our backlog provides us with strong visibility and predictability.
For the full year. We reported core ffo per share of $7.39 just above the high end of our guidance range and 10% higher than 2024.
During the fourth quarter, we signed $269 million of renewal leases at a blended six 1% increase on a cash basis as usual renewals were heavily weighted towards our shorter zero to one megawatt leases with $175 million of Colocation renewals at a four 3% upper.
Same Capital cash and a high growth continue to be strong in the fourth quarter.
6% year-over-year driven by 8.2% growth in data center Revenue.
On a constant currency basis, same Capital cach, noi Rose 4.5% in the quarter.
Yeah.
Greater than a megawatt renewals totaled $88 million at a robust eight 1% cash re leasing spreads.
For the year same Capital cash. Noi also grew by 4.5% consistent with our most recent guidance increase.
Driven by deals in Northern Virginia, Chicago and Dublin.
Matt Mercier: For the full year 2025, cash re-leasing spreads were 6.7%, surpassing the high end of our guidance range. As for earnings, we reported Core FFO of $1.86 per share for the Q4, up 8% year-over-year, reflecting strong core growth and continued growth in fee income, offset by seasonally higher expenses. For the full year, we reported Core FFO per share of $7.39, just above the high end of our guidance range and 10% higher than 2024. Same-capital Cash NOI growth continued to be strong in the Q4, increasing by 8.6% year-over-year, driven by 8.2% growth in data center revenue. On a constant currency basis, same-capital Cash NOI rose 4.5% in the quarter.
Matt Mercier: For the full year 2025, cash re-leasing spreads were 6.7%, surpassing the high end of our guidance range. As for earnings, we reported Core FFO of $1.86 per share for the Q4, up 8% year-over-year, reflecting strong core growth and continued growth in fee income, offset by seasonally higher expenses. For the full year, we reported Core FFO per share of $7.39, just above the high end of our guidance range and 10% higher than 2024. Same-capital Cash NOI growth continued to be strong in the Q4, increasing by 8.6% year-over-year, driven by 8.2% growth in data center revenue. On a constant currency basis, same-capital Cash NOI rose 4.5% in the quarter.
For the full year 2025 cash releasing spreads were six 7%, surpassing the high end of our guidance range.
The foregoing any further, I want to inform you of some upcoming disclosure enhancements that we expect to make beginning next quarter to better line, our reporting with how we manage the business.
As for earnings we reported core <unk> of $1 86 per share for the fourth quarter.
While we have long provided both power and square footage metrics and our disclosures we will be transitioning. The focus toward power-based metrics
Up 8% year over year, reflecting strong core growth and continued growth in fee income offset by seasonally higher expenses.
Key elements of our reporting including Leasing and development activity are already based on Power and we will now bring occupancy in line by highlighting it on an it load basis.
For the full year, we reported core <unk> per share of $7 39, just above the high end of our guidance range and 10% higher than 2024.
Based on square feet, same capital and total portfolio occupancy. End of the year at 83.7 and 84.7% respectively.
Same capital cash NOI growth continued to be strong in the fourth quarter increase.
Increasing by eight 6% year over year, driven by eight 2% growth in data center revenue.
On a constant currency basis same capital cash NOI rose four 5% in the quarter for.
However, on an it load basis, same capital and total portfolio occupancy, was approximately 91% and 89% both improving over 50 basis points year over year.
Matt Mercier: For the year, same-capital Cash NOI also grew by 4.5%, consistent with our most recent guidance increase. Before going any further, I want to inform you of some upcoming disclosure enhancements that we expect to make beginning next quarter to better align our reporting with how we manage the business. While we have long provided both power and square footage metrics in our disclosures, we will be transitioning the focus toward power-based metrics. Key elements of our reporting, including leasing and development activity, are already based on power, and we will now bring occupancy in line by highlighting it on an IT load basis. Based on square feet, same-capital and total portfolio occupancy ended the year at 83.7% and 84.7% respectively.
Matt Mercier: For the year, same-capital Cash NOI also grew by 4.5%, consistent with our most recent guidance increase. Before going any further, I want to inform you of some upcoming disclosure enhancements that we expect to make beginning next quarter to better align our reporting with how we manage the business. While we have long provided both power and square footage metrics in our disclosures, we will be transitioning the focus toward power-based metrics. Key elements of our reporting, including leasing and development activity, are already based on power, and we will now bring occupancy in line by highlighting it on an IT load basis. Based on square feet, same-capital and total portfolio occupancy ended the year at 83.7% and 84.7% respectively.
For the year same capital cash NOI also grew by four 5% consistent with our most recent guidance increase.
We believe that this update will better reflect the Dynamics of our current business while providing a clearer and more consistent view of utilization across our platform.
Before going any further I want to inform you of some upcoming disclosure enhancements that we expect to make beginning next quarter to better align our reporting with how we manage the business.
We also expect to make some modest updates to our quarterly supplemental.
While we have long provided both power and square footage metrics in our disclosures, we will be transitioning the focus towards power based metrics.
Pruning, unnecessary data points. The objective is to retain our industry-leading, transparency, better line, reporting with how the business is managed, and improve the overall digestibility of the supplements.
Key elements of our reporting including leasing and development activity.
Already based on power and we will now bring occupancy in line by highlighting it on an IQ load basis.
Moving on to our investment activity. We spent 930 million on development capex in the quarter. Net of our partnership, share bringing full year, spend to 3 billion
Recurring capex increased to 169 million in the seasonally High fourth quarter.
Based on square feet.
Same capital in total portfolio occupancy ended the year at 83, 7% and 84, 7% respectively.
During the quarter, we delivered about 90 megawatts of new capacity, 75% of which was pre-released.
Matt Mercier: However, on an IT load basis, same capital and total portfolio occupancy was approximately 91% and 89%, both improving over 50 basis points year-over-year. We believe that this update will better reflect the dynamics of our current business while providing a clearer and more consistent view of the utilization across our platform. We also expect to make some modest updates to our quarterly supplemental, pruning unnecessary data points. The objective is to retain our industry-leading transparency, better align reporting with how the business is managed, and improve the overall digestibility of the supplemental. Moving on to our investment activity, we spent $930 million on development CapEx in the quarter, net of our partner share, bringing full-year spend to $3 billion. Recurring CapEx increased to $169 million in the seasonally high fourth quarter.
Matt Mercier: However, on an IT load basis, same capital and total portfolio occupancy was approximately 91% and 89%, both improving over 50 basis points year-over-year. We believe that this update will better reflect the dynamics of our current business while providing a clearer and more consistent view of the utilization across our platform. We also expect to make some modest updates to our quarterly supplemental, pruning unnecessary data points. The objective is to retain our industry-leading transparency, better align reporting with how the business is managed, and improve the overall digestibility of the supplemental. Moving on to our investment activity, we spent $930 million on development CapEx in the quarter, net of our partner share, bringing full-year spend to $3 billion. Recurring CapEx increased to $169 million in the seasonally high fourth quarter.
However on an it load basis same capital in total portfolio occupancy was approximately 91% and 89% both improving over 50 basis points year over year.
While we started about 135 megawatts of new data center projects, increasing our total development to 769 megawatts under construction.
We believe that this update will better reflect the dynamics of our current business, while providing a clear and more consistent view of the utilization across our platform.
At quarter end, our growth data center, development pipeline underway. So that just over 10 billion at an 11.9% expected stabilized yield
We also expect to make some modest updates to our quarterly supplemental.
Pruning unnecessary data points.
For the full year, we delivered approximately 289 megawatts of new capacity, reflecting strong execution across our development pipeline in support of customer demand, even as labor and Supply Chains Got tighter.
Our objective is to retain our industry, leading transparency better align reporting with how the business is managed and improve the overall digestibility of the supplemental.
During the fourth quarter, we sold a non-core facility in Dallas for 33 million and acquired land near Portland, Tel Aviv and Lisbon for future development.
Moving onto our investment activity, we spent $930 million on development Capex in the quarter net of our partner share.
Bringing full year spend to $3 billion.
turning to the balance sheet, we were active again in the capital markets during the fourth quarter, raising 1.4 billion euros in a dual Tron, green EuroVan offering
Recurring capex increased to $169 million in the seasonally high fourth quarter.
Matt Mercier: During the quarter, we delivered about 90 MW of new capacity, 75% of which was pre-leased, while we started about 135 MW of new data center projects, increasing our total development to 769 MW under construction. At quarter-end, our growth data center development pipeline, underway, stood at just over $10 billion at an 11.9% expected stabilized yield. For the full year, we delivered approximately 289 MW of new capacity, reflecting strong execution across our development pipeline in support of customer demand, even as labor and supply chains got tighter. During the fourth quarter, we sold a non-core facility in Dallas for $33 million and acquired land near Portland, Tel Aviv, and Lisbon for future development.
Matt Mercier: During the quarter, we delivered about 90 MW of new capacity, 75% of which was pre-leased, while we started about 135 MW of new data center projects, increasing our total development to 769 MW under construction. At quarter-end, our growth data center development pipeline, underway, stood at just over $10 billion at an 11.9% expected stabilized yield. For the full year, we delivered approximately 289 MW of new capacity, reflecting strong execution across our development pipeline in support of customer demand, even as labor and supply chains got tighter. During the fourth quarter, we sold a non-core facility in Dallas for $33 million and acquired land near Portland, Tel Aviv, and Lisbon for future development.
During the quarter, we delivered about 90 megawatts of new capacity, 75% of which was pre leased while we started about 135 megawatts of new data center projects, increasing our total development to 769 megawatts under construction.
The first tranche was for 600 million euros at 3.755% due to 2033 and the second tranche was for 800 million euros at 4.25% to 2037.
At quarter end, our gross data center development pipeline underway, so that just over $10 billion at an 11, 9% expected stabilized yield.
We used a portion of the net proceeds, to redeem 1.075 billion of Euro bonds, carrying a 2 and a half percent coupon that was scheduled to mature in January.
The 160 basis point spread between the new and redeemed issues will cause a modest interest expense headwind starting in the first quarter of 2026.
For the full year, we delivered approximately 289 megawatts of new capacity.
Reflecting strong execution across our development pipeline in support of customer demand, even as labor and supply chain got tighter.
Our only remaining debt maturity for 2026 is a modest 275 million. Swiss franc, note that matures late this year
Looking further out our maturities remain, well, latter through 2037.
During the fourth quarter, we sold a non core facility in Dallas for 33 million and acquired land near Portland, Tel Aviv, and Lisbon for future development.
Leverage remained at 4.9 times. Well, below our long-term Target of 5 and a half times while balance sheet. Liquidity, remained robust at nearly 7 billion.
Matt Mercier: Turning to the balance sheet, we were active again in the capital markets during the fourth quarter, raising EUR 1.4 billion in a dual tranche green Eurobond offering. The first tranche was for EUR 600 million at 3.755% due 2033, and the second tranche was for EUR 800 million at 4.25% due 2037. We used a portion of the net proceeds to redeem EUR 1.075 billion of euro bonds, carrying a 2.5% coupon that was scheduled to mature in January. The 160 basis point spread between the new and redeemed issues will cause a modest interest expense headwind starting in Q1 2026.
Matt Mercier: Turning to the balance sheet, we were active again in the capital markets during the fourth quarter, raising EUR 1.4 billion in a dual tranche green Eurobond offering. The first tranche was for EUR 600 million at 3.755% due 2033, and the second tranche was for EUR 800 million at 4.25% due 2037. We used a portion of the net proceeds to redeem EUR 1.075 billion of euro bonds, carrying a 2.5% coupon that was scheduled to mature in January. The 160 basis point spread between the new and redeemed issues will cause a modest interest expense headwind starting in Q1 2026.
Turning to the balance sheet we.
We were active again in the capital markets during the fourth quarter, raising $1 4 billion euros, and a dual tranche green Euro bond offering.
In addition we maintain approximately 15 billion of dry powdered support, hyperscale data center development and investment through our private Capital initiatives.
The first tranche was for 600 million euros at 375% due 2033, and the second tranche was for 800 million euros at 425% due 2037.
As a quick update surrounding the fund. By year end, we had closed 3.225 billion of LP Equity into our inaugural closed end fund and we anticipate the final 25 million closing prior to our next call.
We used a portion of the net proceeds to redeem 1.0 75 billion of euro bonds carrying a two 5% coupon that was scheduled to mature in January.
The 160 basis points spread between the new and redeem issues will cause a modest interest expense headwind starting in the first quarter of 2026.
In late December. We contributed another 40% stake in the 5 St. Seed assets into the fund, increasing the fund, stake to 80% and resulting in an additional 427 million of net proceeds to digital.
Matt Mercier: Our only remaining debt maturity for 2026 is a modest CHF 275 million Swiss franc note that matures late this year. Looking further out, our maturities remain well laddered through 2037. Leverage remained at 4.9 times, well below our long-term target of 5.5 times, while balance sheet liquidity remained robust at nearly $7 billion. In addition, we maintained approximately $15 billion of dry powder to support hyperscale data center development and investment through our private capital initiatives. As a quick update surrounding the fund, by year-end, we had closed $3.225 billion of LP equity into our inaugural closed-end fund, and we anticipate the final $25 million closing prior to our next call.
Matt Mercier: Our only remaining debt maturity for 2026 is a modest CHF 275 million Swiss franc note that matures late this year. Looking further out, our maturities remain well laddered through 2037. Leverage remained at 4.9 times, well below our long-term target of 5.5 times, while balance sheet liquidity remained robust at nearly $7 billion. In addition, we maintained approximately $15 billion of dry powder to support hyperscale data center development and investment through our private capital initiatives. As a quick update surrounding the fund, by year-end, we had closed $3.225 billion of LP equity into our inaugural closed-end fund, and we anticipate the final $25 million closing prior to our next call.
Our only remaining debt maturity for 2026 is a modest 275 million Swiss franc note that matures late this year.
Capitalization of hyperscale data centers alongside digital realities public shareholders.
Looking further out our maturities remaining well ladder through 2037.
Leverage remains at four nine times.
Our balance sheet is positioned to fuel growth opportunities for our customers, around the globe, consistent with our long-term financing strategy.
Well below our long term target of five five times, while balance sheet liquidity remained robust at nearly $7 billion.
Let me conclude with our guidance.
In addition, we maintained approximately $15 billion of dry powder to support Hyperscale data center development and investments through our private capital initiatives.
we are establishing a core ffo guidance range for the full year 2026 of 7.90 to $8 per share, the midpoint represents 80% year-over-year growth
As a quick update surrounding the fund by year end, we had closed three to two 5 billion of LP equity into our inaugural closed end fund and we anticipate the final $25 million closing prior to our next call.
Reflecting underlying strength in our business, balanced by a continued, Grant and new investment spending that is geared toward extending our runway for growth.
Matt Mercier: In late December, we contributed another 40% stake in the 5 stabilized seed assets into the fund, increasing the fund stake to 80% and resulting in an additional $427 million of net proceeds to Digital. We are excited to move on to the next stage of our private capital strategy as we work to further support the perpetual capitalization of hyperscale data centers alongside Digital Realty's public shareholders. Our balance sheet is positioned to fuel growth opportunities for our customers around the globe, consistent with our long-term financing strategy. Let me conclude with our guidance. We are establishing a Core FFO guidance range for the full year 2026 of $7.90 to $8 per share.
Matt Mercier: In late December, we contributed another 40% stake in the 5 stabilized seed assets into the fund, increasing the fund stake to 80% and resulting in an additional $427 million of net proceeds to Digital. We are excited to move on to the next stage of our private capital strategy as we work to further support the perpetual capitalization of hyperscale data centers alongside Digital Realty's public shareholders. Our balance sheet is positioned to fuel growth opportunities for our customers around the globe, consistent with our long-term financing strategy. Let me conclude with our guidance. We are establishing a Core FFO guidance range for the full year 2026 of $7.90 to $8 per share.
In late December we contributed another 40% stake in the <unk> stabilized seed assets into the fund increasing the funds stake to 80% and resulting in an additional $427 million of net proceeds to digital.
On a normalized and constant currency basis. We anticipate total revenue and adjusted ebit out growth of more than 10% in 2026.
Same Capital cash on the LG growth is expected to grow 4 to 5% on a constant currency basis.
We are excited to move on to the next stage of our private capital strategy as we work to further support the perpetual capitalization of Hyperscale data centers alongside digital Realty's public shareholders.
We also expect cash renewal spreads uh between 6 to 8% with upside partly mitigated by the high mix of 01 megawatt. Leases expiring.
Together with a portion of fixed rate renewals and are greater than the megawatt portfolio.
Our balance sheet is positioned to fuel growth opportunities for our customers around the globe consistent with our long term financing strategy.
Power-based occupancy should improve by another 50 to 100 basis points from the approximate 89% at year end 2025.
Let me conclude with our guidance.
We are establishing a core <unk> guidance range for the full year 2026 or $7 90 to.
With development yields expected to remain in the double digits.
To $8 per share the midpoint represents 8% year over year growth for <unk>.
Matt Mercier: The midpoint represents 8% year-over-year growth, reflecting the underlying strength in our business, balanced by a continued ramp in new investment spending that is geared toward extending our runway for growth. On a normalized and constant currency basis, we anticipate total revenue and Adjusted EBITDA growth of more than 10% in 2026. Same-capital Cash NOI growth is expected to grow 4% to 5% on a constant currency basis. We also expect cash renewal spreads of between 6% to 8%, with upside partly mitigated by the high mix of 0 to 1 MW leases expiring, together with a portion of fixed rate renewals in our greater than 1 MW portfolio. Power-based occupancy should improve by another 50 to 100 basis points from the approximate 89% at year-end 2025.
Matt Mercier: The midpoint represents 8% year-over-year growth, reflecting the underlying strength in our business, balanced by a continued ramp in new investment spending that is geared toward extending our runway for growth. On a normalized and constant currency basis, we anticipate total revenue and Adjusted EBITDA growth of more than 10% in 2026. Same-capital Cash NOI growth is expected to grow 4% to 5% on a constant currency basis. We also expect cash renewal spreads of between 6% to 8%, with upside partly mitigated by the high mix of 0 to 1 MW leases expiring, together with a portion of fixed rate renewals in our greater than 1 MW portfolio. Power-based occupancy should improve by another 50 to 100 basis points from the approximate 89% at year-end 2025.
Collecting underlying strength in our business balanced by continued ramp of new investment spending that is geared towards extending our runway for growth.
And we will also continue to recycle Capital with 500 million to a billion dollars at this positions in JV Capital expected this year.
This concludes our prepared remarks and now we will be pleased to take your questions.
On a normalized and constant currency basis, we anticipate total revenue and adjusted EBITDA growth of more than 10% in 2026.
Operator would you please begin the Q&A session?
Same capital cash NOI growth is expected to grow 4% to 5% on a constant currency basis.
We also expect cash renewal spreads.
Certainly we will now open the call for questions in the interest of time and to allow a larger number of people to ask questions callers will be limited to 1 question and our first question for today comes from the line of Eric Lucha from Wells. Fargo your question, please?
Between 6% to 8% with upside partly mitigated by the high mix of zero to one megawatt leases expiring together with a portion of fixed rate renewals and our greater than two megawatt portfolio.
Hi great. Appreciate you taking the question. Um, Andy, I think you mentioned earlier in the call that, you know, you're starting to see, you know, a pickup in activity, especially in the Americas, with some of the hyperscalers. So maybe you could just kind of
Power based occupancy should improve by another 50 to 100 basis points from the approximate 89% at year end 2025.
Matt Mercier: CapEx net of partner contributions are expected to rise to between $3.25 and $3.75 billion, with development yields expected to remain in the double digits. We will also continue to recycle capital with $500 million to $1 billion of dispositions in JV Capital expected this year. This concludes our prepared remarks, and now we will be pleased to take your questions. Operator, would you please begin the Q&A session?
Matt Mercier: CapEx net of partner contributions are expected to rise to between $3.25 and $3.75 billion, with development yields expected to remain in the double digits. We will also continue to recycle capital with $500 million to $1 billion of dispositions in JV Capital expected this year. This concludes our prepared remarks, and now we will be pleased to take your questions. Operator, would you please begin the Q&A session?
Capex net of partner contributions are expected to rise to between three and a quarter and three and three quarter $1 billion with.
With development yields expected to remain in the double digits.
Give us the landscape of what um what the bookings conversations look like earlier in the year. You're starting to see the hyperscalers look, you know, a little bit further out for power than they perhaps did in 2025 and maybe just give us a rundown of some of the key campuses where, uh, you're starting to see that. That large footprint demand. Thank you.
And we will also continue to recycle capital with $500 to $1 billion of dispositions and JV capital expected this year.
Sure. Thanks, Eric. So, um,
This concludes our prepared remarks, and now we will be pleased to take your questions.
Operator would you please begin the Q&A session.
Operator: Certainly. We will now open the call for questions. In the interest of time and to allow a larger number of people to ask questions, callers will be limited to one question. Our first question for today comes from the line of Eric Luebchow from Wells Fargo. Your question, please.
Operator: Certainly. We will now open the call for questions. In the interest of time and to allow a larger number of people to ask questions, callers will be limited to one question. Our first question for today comes from the line of Eric Luebchow from Wells Fargo. Your question, please.
Certainly we will now open the call for questions and the interest of time and to allow a larger number of people to ask questions callers will be limited to one question and our first question for today comes from the line of Eric Lou Channel from Wells Fargo. Your question. Please.
Eric Luebchow: Hi, great. Appreciate you taking the question. Andy, I think you mentioned early in the call that, you know, you're starting to see, you know, a pickup in activity, especially in the Americas, with some of the hyperscalers. So maybe you could just kind of give us the landscape of what, what the bookings conversations looked like earlier in the year. Are you starting to see the hyperscalers look, you know, a little bit further out for power than they perhaps did in 2025? And maybe just give us a rundown of some of the key campuses where, you're starting to see that, that large footprint demand. Thank you.
Eric Luebchow: Hi, great. Appreciate you taking the question. Andy, I think you mentioned early in the call that, you know, you're starting to see, you know, a pickup in activity, especially in the Americas, with some of the hyperscalers. So maybe you could just kind of give us the landscape of what, what the bookings conversations looked like earlier in the year. Are you starting to see the hyperscalers look, you know, a little bit further out for power than they perhaps did in 2025? And maybe just give us a rundown of some of the key campuses where, you're starting to see that, that large footprint demand. Thank you.
Great I appreciate you taking the question.
Andy I think you mentioned earlier in the call that Youre starting to see a.
Pick up in activity, especially in the Americas with some of the hyper scalar. So maybe you could just kind of.
Give us a landscape of what.
What the bookings conversations looked like earlier in the year or are you starting to see the hyper scaler looked a little bit further out for power than they perhaps did in 2025, and maybe just give us a rundown of some of the key campuses where you.
We we were really happy about how we ended this year, which was a great year overall uh back-to-back north of a billion dollars. Total signings third highest total signings fourth quarter, 400 million. Uh, and hyperscaler was a big contribution to that, uh, I we, we the the same suspects are keeping, uh, recurring here. So Northern Virginia incredibly sought after capacity, uh, beyond that you have the likes of Charlotte Atlanta Dallas, uh, as called the top of the list, here in the Americas. Uh, although in particularly towards the uh the US, uh, I can tell you that we're seeing more globalization uh of the demand. Uh and you can see that in the contributions from Europe, having a bigger contribution to the greater the megawatt category, uh as the year went on. And as we continue moving into the 2026. Uh, what is quite attractive? Is the diversity of demand.
Youre starting to see that large footprint demand. Thank you.
Matt Mercier: Sure. Thanks, Eric. So, we're really happy about how we ended this year, which was a great year overall, back-to-back with $1 billion of total signings, 3rd highest total signings, Q4, $400 million, and hyperscaler was a big contribution to that. The same suspects are keeping recurring here. So Northern Virginia, incredibly sought after capacity. And beyond that, you have the likes of Charlotte, Atlanta, Dallas, are called the top of the list here in the Americas. Although, particularly towards the US, I can tell you that we're seeing more globalization of the demand, and you can see that in the contributions from Europe, having a bigger contribution, greater than megawatt category.
Matt Mercier: Sure. Thanks, Eric. So, we're really happy about how we ended this year, which was a great year overall, back-to-back with $1 billion of total signings, 3rd highest total signings, Q4, $400 million, and hyperscaler was a big contribution to that. The same suspects are keeping recurring here. So Northern Virginia, incredibly sought after capacity. And beyond that, you have the likes of Charlotte, Atlanta, Dallas, are called the top of the list here in the Americas. Although, particularly towards the US, I can tell you that we're seeing more globalization of the demand, and you can see that in the contributions from Europe, having a bigger contribution, greater than megawatt category.
Sure. Thanks, Eric so.
We're really happy about how we ended this year, which was a great year overall back to back north of $1 billion total signings third highest total signings fourth quarter $400 million.
Uh as it relates to our numbers, I think. Now we're 7 straight consecutive quarters where our largest signing uh is from a different hyperscaler or different customers. Excuse me. Um,
And Hyperscale was a big contribution to that.
We.
The same suspects are keeping recurring here, so northern Virginia incredibly sought after capacity.
Beyond that you have the likes of Charlotte Atlanta Dallas.
And when we're looking at customers, looking at those larger capacity blocks and those markets, I just referenced, uh, I can tell you it's you're seeing more customers uh, coming uh called for the same capacity blocks. Uh, there's the consistent looking at the front end, the nearest deliveries are the most popular. Uh, but they are looking at a little further on the horizon than they had certainly uh, 6 months or 12 months prior.
As call it the top of the list here in the Americas.
Although.
Thank you. And our next question comes from the line of Michael Rollins from City. Your question, please?
Particularly.
Towards the U S.
I can tell you that we're seeing more globalization.
Of the demand and you can see the contributions from Europe, having a bigger contribution greater than megawatt category.
Thanks and good afternoon. Um, Andy you mentioned earlier the expectation for inference to scale in 2026. I'm curious if you could put some further context around, you know, what you're seeing and what that's going to look like both for the industry and for digital rielly
Matt Mercier: As the year went on, and as we continue moving into 2026, what is quite attractive is the diversity of demand. As it relates to our numbers, I think now we're seven straight consecutive quarters, where our largest signing is from a different hyperscaler or a different customer, excuse me. And when we're looking at customers, looking at those larger capacity blocks in those markets I just referenced, I can tell you, it's you're seeing more customers coming call for the same capacity blocks.
Matt Mercier: As the year went on, and as we continue moving into 2026, what is quite attractive is the diversity of demand. As it relates to our numbers, I think now we're seven straight consecutive quarters, where our largest signing is from a different hyperscaler or a different customer, excuse me. And when we're looking at customers, looking at those larger capacity blocks in those markets I just referenced, I can tell you, it's you're seeing more customers coming call for the same capacity blocks.
As the year went on and as we continue to move into the 2026.
What is quite attractive as the diversity of demand.
As it relates to our numbers I think now we're seven straight consecutive quarters, where our largest signing is from a different hyperscale or or different customer excuse me.
And when we're looking at customers looking at those larger capacity blocks in those markets I just referenced.
I can tell you if youre seeing more customers.
Calling Paul for the same capacity box.
Andy Power: ... there's the consistent looking at the front end, the nearest deliveries are the most popular, but they are looking out a little further on the horizon than they had certainly, six months or even twelve months prior.
Matt Mercier: ... there's the consistent looking at the front end, the nearest deliveries are the most popular, but they are looking out a little further on the horizon than they had certainly, six months or even twelve months prior.
The consistent looking at the front end.
Nearest deliveries are the most popular.
They are looking out a little further on the Horizon, then they had certainly six months or 12 months prior.
That play out. Uh, on both our hyperscale and our Enterprise uh business. Um, certainly on the hyperscalers, the desire for the capacity, blocks in the cloud. Zonal markets that I just reference uh uh is is is certainly becoming a more and more of a priority. I can tell you uh the dialogue on the designs with our customers. Um the latest Evolutions uh of cloud is a mix of cloud and AI inside the same exact building. So they're looking at cooling. That's a mixture of air and liquid. Uh, and using blending both use cases, uh, together in the same locations, which certainly leads towards inference.
Operator: Thank you. And our next question comes from the line of Michael Rollins from Citi. Your question, please.
Operator: Thank you. And our next question comes from the line of Michael Rollins from Citi. Your question, please.
Thank you and our next question comes from the line of Michael Rollins from Citi. Your question. Please.
Michael Rollins: Thanks, and good afternoon. Andy, you mentioned earlier the expectation for inference to scale in 2026. I'm curious if you could put some further context around, you know, what you're seeing and what that's going to look like, both for the industry and for Digital Realty.
Michael Rollins: Thanks, and good afternoon. Andy, you mentioned earlier the expectation for inference to scale in 2026. I'm curious if you could put some further context around, you know, what you're seeing and what that's going to look like, both for the industry and for Digital Realty.
Thanks, and good afternoon, Andy you mentioned earlier the expectation for <unk> to scale in 2026, I'm curious if you could put some further context around what youre seeing and what that's going to look like both for the industry and for digital Realty.
Andy Power: Sure. Thanks, Michael. So I think we're seeing that play out on both our hyperscale and our enterprise business. Certainly, on the hyperscalers, the desire for the capacity blocks in the cloud zonal markets that I've just referenced is certainly becoming more and more of a priority. I can tell you the dialogue on the designs with our customers, the latest evolutions of cloud is a mix-up of cloud and AI inside the same exact building. So they're looking at cooling, that's a mixture of air and liquid, and blending both use cases together in the same locations, which certainly leads towards inference.
Andrew Power: Sure. Thanks, Michael. So I think we're seeing that play out on both our hyperscale and our enterprise business. Certainly, on the hyperscalers, the desire for the capacity blocks in the cloud zonal markets that I've just referenced is certainly becoming more and more of a priority. I can tell you the dialogue on the designs with our customers, the latest evolutions of cloud is a mix-up of cloud and AI inside the same exact building. So they're looking at cooling, that's a mixture of air and liquid, and blending both use cases together in the same locations, which certainly leads towards inference.
Sure. Thanks, Michael So I think we're seeing that play out.
On both our Hyperscale and our enterprise.
Business.
Certainly on the Hyperscale or the desire for the capacity blocks in the clouds zonal markets that I just referenced.
Uh, I believe we're still a good ways away from what inference really called proliferates in a corporate Enterprise context that have the same service level agreements and uptime requirements that cloud exists today but as AI rolls into much more, call it time-sensitive and critical applications, be it robotics uh, health and safety, research and science. I don't see why the use of AI is not going to be just as critical as cloud data in our Enterprise business. We had a, a fantastic year, uh, capital in multiple records record. Fourth quarter that was up over the prior record 2 quarters. Uh, before that, uh, we were call it 35% higher than the Enterprise category.
<unk> is certainly becoming a more and more of a priority I can tell you.
The dialog on the designs with our customers.
The latest evolutions of cloud is a mix of cloud and AI inside the same exact building. So theyre looking at cooling that's a mixture of air and liquid.
And using blending both use cases.
Gather in the same locations, which certainly leads towards inference.
A year-over-year, uh, great mix of new logos and existing customers. Uh, and now 2 quarters doesn't make a trend, but I would say the contribution within that 0 to 1 megawatt and intercession category was again called just over 18%, nearly 19%. So you're seeing more Enterprises uh coming to digital realy, uh, and think about AI use cases. Uh, but I think this is going to be a long, uh, tail demand to evolve.
Andy Power: I believe we're still a good ways away from what inference really, call it, proliferates in a corporate enterprise context, that have the same service level agreements and uptime requirements that cloud exists today. But as AI rolls into much more, call it, time-sensitive and critical applications, be it robotics, health and safety, research and science, I don't see why the use of AI is not going to be just as critical as cloud data. In our enterprise business, we had a fantastic year, we had multiple records, record fourth quarter that was up over the prior record two quarters before that. We were, call it, 35% higher in the enterprise category year-over-year. Great mix of new logos and existing customers.
Andrew Power: I believe we're still a good ways away from what inference really, call it, proliferates in a corporate enterprise context, that have the same service level agreements and uptime requirements that cloud exists today. But as AI rolls into much more, call it, time-sensitive and critical applications, be it robotics, health and safety, research and science, I don't see why the use of AI is not going to be just as critical as cloud data. In our enterprise business, we had a fantastic year, we had multiple records, record fourth quarter that was up over the prior record two quarters before that. We were, call it, 35% higher in the enterprise category year-over-year. Great mix of new logos and existing customers.
I believe we are still a good ways away from what influence really call. It proliferates and a corporate enterprise context that have the same service level agreements and uptime requirements that cloud business today, but as AI rolls into much more time sensitive and critical applications be it robot.
Thank you. And our next question comes from the line of Timothy. Han from Oppenheimer your question, please?
Thanks guys. Um, the hyperscale is giving pretty incredible guidance for capex next year. Um,
<unk> health.
Health and safety research and science I don't see why the use of AI is not going to be just as critical as cloud data and our enterprise business, we had a fantastic year.
And it looks like the Outlook is not going to change much are are you seeing any um you know, what does that kind of mean for the business model or are you seeing any um bottlenecks that are really kind of impede your growth at all or any changes to bottlenecks?
And what do you kind of think that means for your your pricing power? The next few years?
Thanks Tim. So
Capital with multiple records record fourth quarter that was up over the prior record two quarters.
For that.
We were call it 35% higher than the enterprise category a year over year grade.
Great mix of new logos and existing customers.
Andy Power: And now 2 quarters doesn't make a trend, but I would say the contribution within that 0 to 1 megawatt and interconnection category was again, call it, just over 18%, nearly 19%. So you're seeing more enterprises, coming to Digital Realty, and thinking about AI use cases. But I think this is going to be a long tail demand to evolve.
Andrew Power: And now 2 quarters doesn't make a trend, but I would say the contribution within that 0 to 1 megawatt and interconnection category was again, call it, just over 18%, nearly 19%. So you're seeing more enterprises, coming to Digital Realty, and thinking about AI use cases. But I think this is going to be a long tail demand to evolve.
And now two quarters doesn't make a trend, but I would say the contribution within that zero to one megawatt and inter cash of category was again call. It just over 18% nearly 19% so youre seeing more enterprises.
Maybe I'll call and expand on the hyperscale or demand and then I'll talk to the come back on the bottlenecks. But I mean what's call it happening? Here is less of the waves of 1 customer ramping and another customer uh called on the sidelines. And there's more consistency and diversity of the customers all season capacity and you're seeing that in the commitments to accelerating their build outs for this infrastructure, uh, from their earnings call.
Coming to digital Realty.
And thinking about AI use cases, but I think this is going to be a long tail demand do evolve.
Operator: Thank you. And our next question comes from the line of Timothy Horan from Oppenheimer. Your question, please.
Operator: Thank you. And our next question comes from the line of Timothy Horan from Oppenheimer. Your question, please.
Thank you and our next question comes from the line of Timothy Horan from Oppenheimer. Your question. Please.
Timothy Horan: Thanks, guys. The hyperscalers are giving pretty incredible guidance for CapEx next year, and it looks like the outlook's not going to change much. Are you seeing any, you know... What does that kind of mean for the business model? Or are you seeing any bottlenecks that are really kind of impede your growth at all or any changes to bottlenecks? And what do you kind of think that means for your pricing power the next few years?
Timothy Horan: Thanks, guys. The hyperscalers are giving pretty incredible guidance for CapEx next year, and it looks like the outlook's not going to change much. Are you seeing any, you know... What does that kind of mean for the business model? Or are you seeing any bottlenecks that are really kind of impede your growth at all or any changes to bottlenecks? And what do you kind of think that means for your pricing power the next few years?
And we're seeing, in terms of their interests growing far, large capacity blocks, but I'll let call and touch on that, and I can Circle back to some of the, the bottlenecks we're seeing in the business. Yeah, thanks Andy. Um, Tim regarding the interest from our hyperscale, um, Partners you saw a strong contribution in, in, in Q4, in terms of performance.
Thanks, guys.
The Hyperscale is given pretty incredible guidance for Capex next year.
And it looks like the outlook changed much or are you seeing any what does that kind of mean for the business model or are you seeing any.
Bottlenecks that are really kind of an impede your growth at all or any changes to bottlenecks.
What are you kind of think that means for your pricing power. The next few years.
Andy Power: Thanks, Tim. So maybe I'll let Colin expand on the hyperscaler demand, and then I'll come back on the bottlenecks. But I mean, what's, call it, happening here, is less of the waves of one customer ramping and another customer called on the sidelines, and there's more consistency and diversity of the customers all seeking capacity. And you're seeing that in the commitments to accelerating their build-outs for this infrastructure from their earnings calls, and we're seeing it in terms of their interest growing for our large capacity blocks. But I'll let Colin touch on that, and I can circle back to some of the bottlenecks we're seeing in the business.
Andrew Power: Thanks, Tim. So maybe I'll let Colin expand on the hyperscaler demand, and then I'll come back on the bottlenecks. But I mean, what's, call it, happening here, is less of the waves of one customer ramping and another customer called on the sidelines, and there's more consistency and diversity of the customers all seeking capacity. And you're seeing that in the commitments to accelerating their build-outs for this infrastructure from their earnings calls, and we're seeing it in terms of their interest growing for our large capacity blocks. But I'll let Colin touch on that, and I can circle back to some of the bottlenecks we're seeing in the business.
Thanks, Tim so.
Maybe I'll, let collin expand on the Hyperscale or demand and then I'll talk to the come back on the bottlenecks, but I mean whats called happened in here is less of the waves of one customer ramping another customer call. It on the sidelines and there's more consistency and diversity of the customers all season capacity.
Our largest booking being nearly 100 megawatts. And, and I can tell you wherever we have large capacity blocks, whether its northern Virginia, or Paris, or a soccer, Tokyo or Atlanta, or Charlotte. There's Keen interest from our hyperscale partners to to deploy and infrastructure. So, um, really over a 2026 through 2028. You know, we're seeing continued conversations where we have that, that continuous blocks of capacity, uh, for our hyperscale partners. Uh, and again, as Andy's talked about multiple times, this is not just AI. This is also, you know, zonal Cloud, deployments that are that continue to be resilient as it relates to the demand profile that we're seeing.
And youre seeing that in the commitments to accelerating their build outs for this infrastructure.
Their earnings calls and we're seeing it in terms of their interest growing for large capacity blocks, but I'll, let colin touch on that and I can circle back to some of the bottlenecks were seeing in the business. Okay. Thanks, Sandy Tim regarding the interest from our Hyperscale.
And just on the, the bottlenecks, in the cost equation, Tim, there's no question, uh, this race for scaling critical digital infrastructure, support cloud computing and support AI, uh, comes with a cost, uh, and it's a cost of Labor, it's the cost.
Colin McLean: Yeah. Thanks, Andy. Tim, regarding the interest from our hyperscale partners, you saw a strong contribution in Q4 in terms of performance, our largest booking being nearly 100MW. And I can tell you, wherever we have large capacity blocks, whether it's Northern Virginia or Paris or Osaka, Tokyo or Atlanta or Charlotte, there's keen interest from our hyperscale partners to deploy in the infrastructure. So, really, over 2026 through 2028, you know, we're seeing continued conversations where we have that continuous blocks of capacity for our hyperscale partners. And again, as Andy's talked about multiple times, this is not just AI. This is also, you know, zonal cloud deployments that are, that continue to be resilient as it relates to the demand profile that we're seeing.
Colin McLean: Yeah. Thanks, Andy. Tim, regarding the interest from our hyperscale partners, you saw a strong contribution in Q4 in terms of performance, our largest booking being nearly 100MW. And I can tell you, wherever we have large capacity blocks, whether it's Northern Virginia or Paris or Osaka, Tokyo or Atlanta or Charlotte, there's keen interest from our hyperscale partners to deploy in the infrastructure. So, really, over 2026 through 2028, you know, we're seeing continued conversations where we have that continuous blocks of capacity for our hyperscale partners. And again, as Andy's talked about multiple times, this is not just AI. This is also, you know, zonal cloud deployments that are, that continue to be resilient as it relates to the demand profile that we're seeing.
Partners you saw a strong contribution in Q4 in terms of performance.
Our largest booking being nearly 100 megawatts and I can tell you wherever we have large capacity blocks, whether it's northern Virginia, or Paris, or Osaka, Tokyo, or Atlanta, or Charlotte, There's keen interest from our Hyperscale partners to deploy an infrastructure. So really over 2006 or 2028, we're seeing continue conversations.
It's a cost of of of, in the in our build costs. Um, and listen, we we pick our spots to where we think we can have the greatest value to our customers, those hyperscaler in particular, uh, and that's based on our track record, our supply chain, uh, our runway for growth, uh, and that's been able to Garner, uh, significant interest and and attractive rates, and ultimately returns.
Question comes from the line of Richard chel from JP Morgan your question, please.
Where we have that continuous blocks of capacity.
Over 400 is what's going on there.
For our Hyperscale partners and again as Andy talked about multiple times. This is not just AI. This is also <unk>.
Total cloud deployments that are that continue to be resilient as it relates to the demand profile that we're seeing.
Andy Power: And just on the bottlenecks and the cost equation, Tim, there's no question, this race for scaling critical digital infrastructure, support cloud computing, support AI, comes with a cost, and it's a cost of labor. It's the cost. It's a cost of in our build costs. And listen, we pick our spots to where we think we can really add the greatest value to our customers, those hyperscalers in particular, and that's based on our track record, our supply chain, our runway for growth, and that's been able to garner significant interest and attractive rates and ultimately returns.
Colin McLean: And just on the bottlenecks and the cost equation, Tim, there's no question, this race for scaling critical digital infrastructure, support cloud computing, support AI, comes with a cost, and it's a cost of labor. It's the cost. It's a cost of in our build costs. And listen, we pick our spots to where we think we can really add the greatest value to our customers, those hyperscalers in particular, and that's based on our track record, our supply chain, our runway for growth, and that's been able to garner significant interest and attractive rates and ultimately returns.
And just on the bottlenecks in the cost equation Tim.
There's no question.
This race for scaling critical digital infrastructure support cloud computing support AI.
It comes with a cost.
And it's a cost.
Labor is the costs.
It's a cost.
Our build cost.
And listen we pick our spots, where we can agree that the greatest value to our customers. Those hyperscale is in particular.
And Thats based on our track record our supply chain, our runway for growth and that's been able to garner significant interest and attractive rates and ultimately returns.
Operator: Thank you. Our next question comes from the line of Richard Choe from J.P. Morgan. Your question, please.
Operator: Thank you. Our next question comes from the line of Richard Choe from J.P. Morgan. Your question, please.
Thank you and our next question comes from the line of Richard Choe from Jpmorgan. Your question. Please.
Yeah. Thank thanks, Richard. I think you're referring to, uh, just to be clear. I think you're referring to 25 and then versus versus 26 guides. So we came in for 25. We are, we came in a little bit light in terms of where we were and guidance towards the low end, uh, so that, you know, despite our typical Q4 pickup. Um, and so some of that increase in for 26 is a carryover of some of the projects that uh didn't complete in 25. Um and and the rest is, is basically us looking to continue to build out our space and improve our portfolio for what has been a strong Enterprise Leasing as we've talked about for uh, as part of the call in terms of putting up records in our zero to 1? Um and I would say it's it's all within I think around 7% of our Revenue which is which is I think pretty well in line with uh where the industry is on that on that metric.
Richard Choe: Hi. I just wanted to ask about the recurring CapEx and capitalized leasing costs that kind of had a big move up for this year from $300-ish last year to over $400. What's going on there?
Richard Choe: Hi. I just wanted to ask about the recurring CapEx and capitalized leasing costs that kind of had a big move up for this year from $300-ish last year to over $400. What's going on there?
Hi, I just wanted to ask about the recurring capex and capitalized leasing costs. It kind of had a big move up for this year from 300 ish last year to over 400.
Thank you. And our next question comes from the line of Iran. Leo from evercore isi your question, please.
What's going on there.
Colin McLean: Yeah. Thanks, Richard. I think you're referring to, just to be clear, I think you're referring to 25 and then versus, versus 26 guide. So we came in for 25, we came in a little bit light in terms of where we were in guidance towards the low end. So, you know, despite our typical Q4 pickup-
Andrew Power: Yeah. Thanks, Richard. I think you're referring to, just to be clear, I think you're referring to 25 and then versus, versus 26 guide. So we came in for 25, we came in a little bit light in terms of where we were in guidance towards the low end. So, you know, despite our typical Q4 pickup-
Yes, Thanks, Richard I think youre, referring to.
Just to be clear I think youre, referring to 25, and then versus versus 26 guide. So we came in for 25. We are we came in a little bit light in terms of where we were in guidance towards the low end.
Despite our typical Q4 pickup.
Andy Power: ... and so some of that increase in for 2026 is a carryover of some of the projects that didn't complete in 2025. And the rest is basically us looking to continue to build out our space and improve our portfolio for what has been a strong enterprise leasing, as we've talked about for, as part of the call, in terms of putting up records in our zero to one. And I would say it's all within, I think, around 7% of our revenue, which is, I think, pretty well in line with, where the industry is on that, on that metric.
Andrew Power: ... and so some of that increase in for 2026 is a carryover of some of the projects that didn't complete in 2025. And the rest is basically us looking to continue to build out our space and improve our portfolio for what has been a strong enterprise leasing, as we've talked about for, as part of the call, in terms of putting up records in our zero to one. And I would say it's all within, I think, around 7% of our revenue, which is, I think, pretty well in line with, where the industry is on that, on that metric.
And so some of that increase in for 2006 as a carryover of some of the projects.
Is a quarter ago. I think the implied availability seems to be kind of consistent on a quarter over quarter basis. So should we be expecting a set function increase in sellable, inventory as we progress through the year? Thank you.
Didn't complete in 'twenty five.
And and the rest is basically us looking to continue to build out our space and improve our portfolio for what has been a strong enterprise leasing as we've talked about for.
As part of the call in terms of putting up records in our zero to one.
And I would say, it's it's all within I think around 7% of our revenue, which is which is I think pretty well in line with where the industry is on that on that metric.
Operator: Thank you. And our next question comes from the line of Irvin Liu from Evercore ISI. Your question, please.
Operator: Thank you. And our next question comes from the line of Irvin Liu from Evercore ISI. Your question, please.
Thank you and our next question comes from the line of Irvin Liu from Evercore ISI. Your question. Please.
Irvin Liu: Hi, thank you for the question, and congrats on the nice set of numbers and your outlook. Just in the context of your greater than 15GW of developable capacity, any sense on the timing of when we should see this capacity become available for lease? If I'm comparing your development life cycle on page 25 of your supplementals versus a quarter ago, I think the implied availability seems to be kind of consistent on a quarter-over-quarter basis. So should we be expecting a step function increase in sellable inventory as we progress through the year? Thank you.
Irvin Liu: Hi, thank you for the question, and congrats on the nice set of numbers and your outlook. Just in the context of your greater than 15GW of developable capacity, any sense on the timing of when we should see this capacity become available for lease? If I'm comparing your development life cycle on page 25 of your supplementals versus a quarter ago, I think the implied availability seems to be kind of consistent on a quarter-over-quarter basis. So should we be expecting a step function increase in sellable inventory as we progress through the year? Thank you.
Hi, Thank you for the question and congrats on a nice set of numbers in your outlook just in the context of your greater than one five gigawatts of developable capacity.
Any sense on the timing of when we should see this capacity become available for lease.
I'm comparing your development lifecycle on page 25 of your supplemental versus a quarter ago, I think the implied availability seems to be kind of consistent on a quarter over quarter basis. So should we be expecting a step function increase in sellable inventory as we progress through the year. Thank you.
No, thank you Urban for the, uh, kind words. So that schedule is a consistent like conveyor belt of activity. So we are, uh, delivering great projects, often ahead of schedule for our customers. And I think that's another defining reason. Our customers are picking up, uh, in this environment where it is not easy to bring on infrastructure. Uh and then at the same time we are a green lighting Suites uh into now a record 10 plus billion of projects underway at attractive, double digit returns. Uh, we're activating cells and we're adding all the way to the left of that schedule with incremental land capacity. Uh, and so, uh, we are continuing to call replenish as fast as we deliver if not faster. Uh, and something in 1 column can very expeditiously move to the, to the the right column, the IE activating the new shell on land. That is pad ready or going live with sweets and shells that either are completed or underway. Uh, and
Andy Power: Thank you, Irvin, for the kind words. That schedule is consistent, like, conveyor belt of activity. We are delivering great projects, often ahead of schedule for our customers. I think that's another defining reason our customers are picking us in this environment, where it is not easy to bring on infrastructure. And then at the same time, we are green-lighting suites into now a record $10+ billion of projects underway at attractive double-digit returns. We're activating shells, and we're adding all the way to the left of that schedule with incremental land capacity. And so we are continuing to call it replenish as fast as we deliver, if not faster.
Andrew Power: Thank you, Irvin, for the kind words. That schedule is consistent, like, conveyor belt of activity. We are delivering great projects, often ahead of schedule for our customers. I think that's another defining reason our customers are picking us in this environment, where it is not easy to bring on infrastructure. And then at the same time, we are green-lighting suites into now a record $10+ billion of projects underway at attractive double-digit returns. We're activating shells, and we're adding all the way to the left of that schedule with incremental land capacity. And so we are continuing to call it replenish as fast as we deliver, if not faster.
Thank you your urban for the kind words, so that schedule is consistent like conveyor belt of activity. So we are delivering great projects often ahead of schedule for our customers and I think thats. Another defining reason our customers are picking us.
And obviously, Leasing and delivery and so on. So, uh, I would not interpret anything on that schedule other than we'll continue to accelerate our runway for growth for yes. But our Enterprise customers that are a small amount of those megawatts. But certainly our hyperscale customers uh that are seeing those large capacity blocks in numerous markets around the world uh as as as very attractive.
Next question comes from the line of our client from BMO Capital markets your question, please.
In this environment, where it is not easy to bring on infrastructure.
And then at the same time, we are green lighting suites.
Into now a record 10 plus billion of projects underway at attractive double digit returns.
Activating shells and routing all the way to the left of that schedule with incremental land capacity.
And so we are continuing to replenish as fast as we deliver if not faster.
Thank you, uh, following up on zero to 1. How, how much are the strengths in that business? Do, do you think it's from shared gain versus underlying demand strength? And then curious, do you expanded the lens a little bit? It's 0 to 2 Z is 3. Does it look any different or maybe Howard deal size, is evolving? And do you think that increases with uh Enterprise AI adoption or inference? Thanks?
Andy Power: And something in one column can very expeditiously move to the right column, i.e., activating a new shell on land that is pad ready or going live with suites and shells that either are completed or underway, and obviously leasing and delivery at up to... and so on. So, I would not interpret anything on that schedule other than we'll continue to accelerate our runway for growth, for yes, both our enterprise customers that are small amount of those megawatts, but certainly our hyperscale customers that are seeing those large capacity blocks in numerous markets around the world, as very attractive.
Andrew Power: And something in one column can very expeditiously move to the right column, i.e., activating a new shell on land that is pad ready or going live with suites and shells that either are completed or underway, and obviously leasing and delivery at up to... and so on. So, I would not interpret anything on that schedule other than we'll continue to accelerate our runway for growth, for yes, both our enterprise customers that are small amount of those megawatts, but certainly our hyperscale customers that are seeing those large capacity blocks in numerous markets around the world, as very attractive.
And something in one column can very expeditiously move too.
The right column.
Activating the new shell on land that is pad ready.
Live with suites, and shells that either completed or underway.
And obviously, the leasing and delivery at <unk>.
And so on so I would not interpret anything without scheduled other than we'll continue to accelerate our runway for growth for the us both our enterprise customers that are small amount of those megawatts, but certainly our hyperscale customers that are seeing those large capacity blocks in numerous markets around the world.
Thanks, sir. I'm gonna have a call and call to unpack that answer for you. Thanks. Sorry. I appreciate the questions. So just quick, reminder record quarter. Um, in Q4 S3, the last 5 record quarters and zero to 1. Um, strong contributions in the channel side, which is really driving that business forward, um, strong contributions from new logos which, which was really was really a big piece of the pie. Um, so as it relates to your question on the demand cycle, as well, as Mark taking market share, we are unquestionably taking market share, um, with our Focus around execution, we start in the year saying this is a big part of our good market, and we
Is very attractive.
Operator: Thank you. Our next question comes from the line of Ari Klein from BMO Capital Markets. Your question, please.
Operator: Thank you. Our next question comes from the line of Ari Klein from BMO Capital Markets. Your question, please.
Thank you and our next question comes from the line of Ari Klein from BMO capital markets. Your question. Please.
Ari Klein: Thank you. Following up on 0 to 1, how much of the strength in that business do you think is from share gain versus underlying demand strength? And then curious, if you expanded the lens a little bit to 0 to 2, 0 to 3, does it look any different? Or maybe how are deal sizes evolving, and do you think that increases with enterprise AI adoption or imprint? Thanks.
Ari Klein: Thank you. Following up on 0 to 1, how much of the strength in that business do you think is from share gain versus underlying demand strength? And then curious, if you expanded the lens a little bit to 0 to 2, 0 to 3, does it look any different? Or maybe how are deal sizes evolving, and do you think that increases with enterprise AI adoption or imprint? Thanks.
Thank you following up on <unk>.
One how much of the strength in that business and get some share gain versus the underlying demand strength and then curious you expanded the landfill it a bit.
Is there a need as it look any different or maybe how are deal sizes are evolving and do you think that increases.
Enterprise AI adoption and frame.
Andy Power: Thanks, Ari. I'm going to have Colin, Colin unpack that answer for you.
Andrew Power: Thanks, Ari. I'm going to have Colin, Colin unpack that answer for you.
Thanks, So I only have column called unpack that answer for you. Thanks, Larry I. Appreciate the question. So just a quick reminder record quarter in.
Colin McLean: Thanks, Ari. Appreciate the question. So just a quick reminder: record quarter in Q4. That's three of the last five record quarters in zero to one. Strong contributions in the channel side, which is really driving that business forward. Strong contributions from new logos, which was really a big piece of the pie. So as it relates to your question on the demand cycle as well as taking market share, we are unquestionably taking market share with our focus around execution. We started the year saying this is a big part of our go-to-market, and we were successful in that. I...
Colin McLean: Thanks, Ari. Appreciate the question. So just a quick reminder: record quarter in Q4. That's three of the last five record quarters in zero to one. Strong contributions in the channel side, which is really driving that business forward. Strong contributions from new logos, which was really a big piece of the pie. So as it relates to your question on the demand cycle as well as taking market share, we are unquestionably taking market share with our focus around execution. We started the year saying this is a big part of our go-to-market, and we were successful in that. I...
In Q4, three of the last five record quarters in zero to one.
Strong contributions on the channel side, which is really driving that business forward.
Strong contributions from new logos, which was really was really a big piece of the pie.
As it relates to your question on the demand cycle as well as Mark taking market share. We are unquestionably taken market share with our focus on execution. We started the year, saying this is a big part of our go to market and we were successful in that.
Colin McLean: Undoubtedly, the ability for us to deliver high, you know, contiguous capacity in a mixed density environment. We're seeing more and more enterprises have larger pieces of their pie and high density-oriented solutions is absolutely a core part of our value proposition. They also have commented consistently, the ability to support the full spectrum of capabilities, so cabinet, suite, hall, building, is a significant across a global scale, because that's where they have to serve their needs, is really effective, you know, supported by a strong interconnection story, which again, we're second-highest quarter on record. So that's coming together, produces results and consistency that, again, we've seen, now quarter-over-quarter.
Colin McLean: Undoubtedly, the ability for us to deliver high, you know, contiguous capacity in a mixed density environment. We're seeing more and more enterprises have larger pieces of their pie and high density-oriented solutions is absolutely a core part of our value proposition. They also have commented consistently, the ability to support the full spectrum of capabilities, so cabinet, suite, hall, building, is a significant across a global scale, because that's where they have to serve their needs, is really effective, you know, supported by a strong interconnection story, which again, we're second-highest quarter on record. So that's coming together, produces results and consistency that, again, we've seen, now quarter-over-quarter.
Undoubtedly the ability for us to deliver hike.
Contiguous capacity and a mixed density environment, we're seeing more and more enterprises have.
The larger piece of their pie and high density oriented solutions is absolutely a core part of our value proposition. They also commented consistently the ability to support the full spectrum of capabilities. So cabinet Sweet Hall building as a significant across our global scale.
And in order, you're, you're 2, 2 other pieces of your question. I mean, we're always dissecting, uh, the the, the bands here of, of business. And obviously the trend has been to larger capacity. Blocks you certainly seen that up in the hyperscale level, but also it's playing out in a smaller level and Enterprise more power density. Uh, all these things I think are incremental, uh, wind to our sales to take more market share, uh, which has been playing out uh, for some time over the last several quarters. If you look at just like the last 8 Quarters at, let's call it a megawatt to 3 megawatts. You probably averaged like up to 10 million, a gap that could fall in that category but it's it's ranged. It's been as low as like just under 2 million and it's been as high as called 15 or 16 million. So there's always scenarios where an Enterprise customer wants north of a megawatt c uh, to to land with digital uh and and
Because that's where they have to serve their needs is really effective supported by a strong interconnection story.
There's, there's definitely been a gradual densification and and and increasing the size of the deal bands.
Which we can with second highest quarter on record so thats coming together produces results and consistency that can we've seen now quarter over quarter.
Andy Power: And then, Ari, your two other pieces of your question. I mean, we're always dissecting the bands here of business, and obviously, the trend has been to larger capacity blocks. You've certainly seen that up in the hyperscale level, but also it's playing out in a smaller level in enterprise, more power density. All these things, I think, are incremental wind to our sails to take more market share, which has been playing out for some time over the last several quarters. If you look at just, like, the last 8 quarters at, let's call it a megawatt to 3 megawatts, you probably average, like, up to 10 million, a gap that could fall in that category, but it's ranged.
Andrew Power: And then, Ari, your two other pieces of your question. I mean, we're always dissecting the bands here of business, and obviously, the trend has been to larger capacity blocks. You've certainly seen that up in the hyperscale level, but also it's playing out in a smaller level in enterprise, more power density. All these things, I think, are incremental wind to our sails to take more market share, which has been playing out for some time over the last several quarters. If you look at just, like, the last 8 quarters at, let's call it a megawatt to 3 megawatts, you probably average, like, up to 10 million, a gap that could fall in that category, but it's ranged.
Thank you. And our next question comes from the line of Frank laughing from Raymond James. Your question, please.
And then.
Two other pieces of your question I mean, we're always dissecting.
The band's here business and obviously the trend has been to larger capacity blocks, you certainly seen it up in the hyperscale level, but also its playing out in a smaller level and enterprise more power density.
Great. Thank you. So if we look out, you know, past 26 is a fair amount of capacity coming on in the industry in 27 and 28 and I just want to see what your thoughts are on how that might affect your bookings, uh, and and demand, and then how far out have you secured the labor for your Capital Growth that you have under contract now, thanks
All of these things I think are incremental wind to our sales to take more market share.
Which has been playing out.
For some time over the last several quarters. If you look at just like the last eight quarters at let's call. It a megawatt to three megawatts you probably averaged like.
The $10 million of gap that could fall in that category, but its range its been as low as like just under $2 million and it's been as high as call. It 15 or $16 million. So theres always scenarios, where an enterprise customer wants north of megawatt up.
Andy Power: It's been as low as, like, just under 2 million, and it's been as high as, call it, 15 or 16 million. So there's always scenarios where an enterprise customer wants north of a megawatt customer to land with Digital, and there's definitely been a gradual densification and increasing the size of the deal bands.
Andrew Power: It's been as low as, like, just under 2 million, and it's been as high as, call it, 15 or 16 million. So there's always scenarios where an enterprise customer wants north of a megawatt customer to land with Digital, and there's definitely been a gradual densification and increasing the size of the deal bands.
With digital.
And there's definitely been a gradual densification and increasing the size of the deal bands.
Operator: Thank you. And our next question comes from the line of Frank Louthan from Raymond James. Your question please.
Operator: Thank you. And our next question comes from the line of Frank Louthan from Raymond James. Your question please.
Thank you and our next question comes from the line of Frank Louthan from Raymond James Your question. Please.
Frank Louthan: Great, thank you. So if we look out, you know, past 2026, there's a fair amount of capacity coming on in the industry in 2027 and 2028. I just wanted to see what your thoughts are on how that might affect your bookings, and demand. And then how far out have you secured the labor for your capital growth that you have under contract now? Thanks.
Frank Louthan: Great, thank you. So if we look out, you know, past 2026, there's a fair amount of capacity coming on in the industry in 2027 and 2028. I just wanted to see what your thoughts are on how that might affect your bookings, and demand. And then how far out have you secured the labor for your capital growth that you have under contract now? Thanks.
Great. Thank you. So if we look out past 2016, a fair amount of capacity coming on in the industry in 2007, and 28 I just wanted to see what your thoughts are on how that might affect your bookings.
So Frank, we so go in reverse order, anything that we're essentially building, we've called got some types of security around Workforce supply chain, uh, Etc. So that is certainly the entirety of that 10 plus billion billion under construction projects as well as shells. Uh, that may not be part of that live data Hall delivery, uh, pieces of equation, uh, and it's the labor. I will confess it's getting challenging more challenging by the day. Uh, I think we're a great uh partner for uh to work with given our consistency. We just didn't show up yesterday, to build a data center. We've been doing this for years. We try to bundle our work for our customers. We try to give make it consistent, so they go from 1 building our campus to the next. Um, and so I think that makes us a very attractive uh partner for the vending land landscape. Uh, when we look at 27 and 28th we're not seeing
End demand and then how far out have you secured the labor for your capital that you have it or not.
Yes.
Andy Power: ... So, Frank, going in reverse order, anything that we're essentially building, we've got some type of security around workforce, supply chain, et cetera. So that is certainly the entirety of that $10+ billion under construction projects, as well as shells, that may not be part of that unlive data hall delivery piece of the equation. And it's the labor, yeah, I will confess, it's getting challenging, more challenging by the day. I think we're a great partner to work with, given our consistency. We just didn't show up yesterday to build a data center. We've been doing this for years. We try to bundle our work for our customers. We try to give it make it consistent, so they go from one building on our campus to the next.
Andrew Power: ... So, Frank, going in reverse order, anything that we're essentially building, we've got some type of security around workforce, supply chain, et cetera. So that is certainly the entirety of that $10+ billion under construction projects, as well as shells, that may not be part of that unlive data hall delivery piece of the equation. And it's the labor, yeah, I will confess, it's getting challenging, more challenging by the day. I think we're a great partner to work with, given our consistency. We just didn't show up yesterday to build a data center. We've been doing this for years. We try to bundle our work for our customers. We try to give it make it consistent, so they go from one building on our campus to the next.
So Frank.
In reverse order anything that we're essentially building we've called got some types of security around workforce supply chain et cetera. So that is certainly the entirety of that 10 plus billion under construction projects as well as shells that may not be.
Part of that live data haul delivery piece of the equation.
And it's the labor I.
Welcome test, it's getting challenging more challenging by the day I think we're a great.
Partner to work with given our consistency, we just didn't show up yesterday to build a data center. We've been doing this for years, we try to bundle our work for our customers to try to make it consistent so they go from one building on our campus to the next.
A tremendous amount of competitive Unleashed capacity. Uh, we are seeing that. Those 27s are pretty exceptional and sought after for our customers, with multiple customers seeking those capacity blocks. Uh, and I think 28 is going to be uh, at that same level of of, of, of attractiveness. Uh, the thing to remember here, Frank is, um, we're probably 1 of the few in the industry actually. Call it taking a little bit more risk in the development this and getting pad, ready, long land screen, lighting shells, and even green lighting Suites. Before we have a customer in hand. Most of all the other private Capital folks are waiting for that lease to get signed, right? Because at least it secures the financing and the line share of the dollars of their project, right? That is a crew to our benefit uh because customers have come and said I need this desperately. Can you help me and we're able to deliver that because we didn't wait for them to say
Andy Power: So I think that makes us a very attractive partner for the vendor landscape. When we look at 2027 and 2028, we're not seeing a tremendous amount of competitive unleased capacity. We're seeing that those 2027s are pretty exceptional and sought after for our customers, with multiple customers seeking those capacity blocks. I think 2028 is gonna be at that same level of attractiveness. The thing to remember here, Frank, is we're probably one of the few in the industry actually, call it, taking a little bit more risk in the development and getting pad-ready long land, greenlighting shells, and even greenlighting suites before we have a customer in hand. Most of all the other private capital folks are waiting for that lease to get signed, right?
Andrew Power: So I think that makes us a very attractive partner for the vendor landscape. When we look at 2027 and 2028, we're not seeing a tremendous amount of competitive unleased capacity. We're seeing that those 2027s are pretty exceptional and sought after for our customers, with multiple customers seeking those capacity blocks. I think 2028 is gonna be at that same level of attractiveness. The thing to remember here, Frank, is we're probably one of the few in the industry actually, call it, taking a little bit more risk in the development and getting pad-ready long land, greenlighting shells, and even greenlighting suites before we have a customer in hand. Most of all the other private capital folks are waiting for that lease to get signed, right?
And so I think that makes us a very attractive.
Partner for the vending land landscape.
When we look at 27 and 28.
We're not seeing a tremendous amount of competitive on lease capacity.
Here's the income, my lease way, way back in time, when you would have had to started. So I, I think we're still looking at it outlook here. Uh, that is attractive, uh, demand rational and, and rationing Supply, uh, and great places where we can help our customers.
We are seeing that those 27 are pretty exceptional and solid after four customers with multiple customers seek those capacity blocks.
Thank you. And our next question comes from the line of Nick Deleo from Moffitt. Nathan your question, please.
And I think 28, it's going to be at that same level of attractiveness.
The thing to remember here Frank.
We're probably one of the few in the industry actually.
Taking a little bit more risk in the development of this and getting pad ready long land green lighting shells, and even greenlight and suites before we have a customer in hand, most of all the other private capital folks are waiting for that lease to get signed.
Sure. Hey, thanks for making my question. Um, you know, there have been a couple of high-profile data center transactions recently at, you know, very attractive valuations to the extent that we can tell based on uh, info. That's leaked out and you know, debt securitizations from private players, imply really rich, valuations too.
Andy Power: Because that lease secures the financing and the lion's share of the dollars of their project, right? That is accrued to our benefit because customers have come and said, "I need this desperately. Can you help me?" And we're able to deliver that because we didn't wait for them to say, "Here's the ink on my lease," way, way back in time when we would've had it started. So I think we're still looking at an outlook here that is attractive demand, rational and rationed supply, and great places where we can help our customers.
Andrew Power: Because that lease secures the financing and the lion's share of the dollars of their project, right? That is accrued to our benefit because customers have come and said, "I need this desperately. Can you help me?" And we're able to deliver that because we didn't wait for them to say, "Here's the ink on my lease," way, way back in time when we would've had it started. So I think we're still looking at an outlook here that is attractive demand, rational and rationed supply, and great places where we can help our customers.
Do you do you think there's a meaningful disconnect between public and private Data Center valuations? And and if you do like are there steps that you can take to narrow or capitalize any Gap? You know, like lean on your private Capital initiatives harder.
To that lease secures the financing and the lion's share of the dollars of the project.
That is accrued to our benefit because.
Because customers have come and said I need. This desperately can be helped me and we were able to deliver that because we didn't wait for them to say here's the income at least way way back in time. When you would've had started so I think we're still looking at an outlook here.
That is attractive.
<unk> rational and rash and supply.
And Great places, where we can help our customers.
Operator: Thank you. And our next question comes from the line of Nick Del Deo from MoffettNathanson. Your question, please.
Operator: Thank you. And our next question comes from the line of Nick Del Deo from MoffettNathanson. Your question, please.
Thank you and our next question comes from the line of Nick del Deo from Moffett Nathan Your question. Please.
Nick Del Deo: Sure. Hey, thanks for taking my question. You know, there have been a couple of high-profile data center transactions recently, and, you know, very attractive valuations, to the extent that we can tell based on info that's leaked out. And, you know, debt securitizations from private players imply really rich valuations, too. Do you think there's a meaningful disconnect between public and private data center valuations? And if you do, like, are there steps that you can take to narrow or capitalize any gap, you know, like lean on your private capital initiatives harder?
Nick Del Deo: Sure. Hey, thanks for taking my question. You know, there have been a couple of high-profile data center transactions recently, and, you know, very attractive valuations, to the extent that we can tell based on info that's leaked out. And, you know, debt securitizations from private players imply really rich valuations, too. Do you think there's a meaningful disconnect between public and private data center valuations? And if you do, like, are there steps that you can take to narrow or capitalize any gap, you know, like lean on your private capital initiatives harder?
Sure Hey, Thanks for taking my question.
There've been a couple of high profile data center transactions recently.
Any attractive valuations lately to the extent that we can tell based on info, that's leaked out and that securitization is from private players imply really rich valuations too.
Do you do you think there is a meaningful disconnect between public and private data center valuations and and if you do are there steps that you can take to narrow or capitalize any gap.
Lean on your private capital initiatives harder.
Andy Power: Thanks. Just why don't I let Greg give his view on that answer? I've got my own view. We'll see if it's the same.
Andrew Power: Thanks. Just why don't I let Greg give his view on that answer? I've got my own view. We'll see if it's the same.
Thanks, Greg.
Depends on the asset. That's being purchased. How much of it is for example, Land versus cash generating asset and that obviously is going to skew the multiple. So that's not necessarily a disconnect between public and private market pricing. It can just be the, you know, the mix of assets if you will. Uh, but we would agree. We think our, you know, valuations, uh, continue to be strong. But look, I think what's driving that when you look at the underlying dynamics of the business right now, you know, you're looking at a demand profile that's going to, you know, expect it to increase 2 and a half to 3 times over the next 5 years. And you're looking at a supply environment and this is across the globe, whether it's power, whether it's nimbyism, uh, whether it's zoning, whatever it may be, it's severely constrained. So those things are going to drive, you know, value for existing product in the market. So, you know, look, I I'm, it's hard to say that there's a big disconnect because you haven't, you haven't had for example, you know, 1 stability, asset, versus another stabilized assets, we'd go back and make
Greg give his view on an answer I've got my own, but we'll see if it's the same sure. Thanks for the question look I think there's a couple of things you have to look at and one is the mix of the asset base, because where this pricing really becomes distorted its depends on the asset that's being purchased how much of it is for example land versus cash generating.
Greg Wright: Sure. Thanks for the question, Nick. Look, I think there's a couple things you have to look at, and one is the mix of the asset base, because where this pricing really becomes distorted, it depends on the asset that's being purchased, how much of it is, for example, land versus cash-generating asset, and that obviously is going to skew the multiple. So that's not necessarily a disconnect between public and private market pricing. It can just be the, you know, the mix of assets, if you will. But we would agree. We think our, you know, valuations continue to be strong.
Greg Wright: Sure. Thanks for the question, Nick. Look, I think there's a couple things you have to look at, and one is the mix of the asset base, because where this pricing really becomes distorted, it depends on the asset that's being purchased, how much of it is, for example, land versus cash-generating asset, and that obviously is going to skew the multiple. So that's not necessarily a disconnect between public and private market pricing. It can just be the, you know, the mix of assets, if you will. But we would agree. We think our, you know, valuations continue to be strong.
Those adjustments for risk premiums and the like. So, you know, look, I think, uh, I think it depends on the mix of the asset. Some obviously are more expensive than others, depending on where it is geographically, but most of the differential and multiple has to do with asset mix.
Asset and that obviously is going to skew the multiple so thats not necessarily a disconnect between public and private market pricing. It can just be the mix of assets. If you will.
We would agree we think our valuations continue to be strong, but look I think what's driving that when you look at the underlying dynamics of the business right now youre looking at the demand profile that is expected to increase two 5% to three times over the next five years and Youre looking at a supply environment and this is across the globe, whether its power whether it's.
Greg Wright: But look, I think what's driving that, when you look at the underlying dynamics of the business right now, you know, you're looking at a demand profile that's gonna, you know, expected to increase 2.5 to 3 times over the next 5 years. And you're looking at a supply environment, and this is across the globe, whether it's power, whether it's nimbyism, whether it's zoning, whatever it may be, it's severely constrained. So those things are gonna drive, you know, value for existing product in the market. So you know, look, I, I'm-- it's hard to say that there's a big disconnect because you haven't, you haven't had, for example, you know, one stabilized asset versus another stabilized asset, so we'd go back and make those adjustments for risk premiums and the like.
Greg Wright: But look, I think what's driving that, when you look at the underlying dynamics of the business right now, you know, you're looking at a demand profile that's gonna, you know, expected to increase 2.5 to 3 times over the next 5 years. And you're looking at a supply environment, and this is across the globe, whether it's power, whether it's nimbyism, whether it's zoning, whatever it may be, it's severely constrained. So those things are gonna drive, you know, value for existing product in the market. So you know, look, I, I'm-- it's hard to say that there's a big disconnect because you haven't, you haven't had, for example, you know, one stabilized asset versus another stabilized asset, so we'd go back and make those adjustments for risk premiums and the like.
Nimbyism.
Whether it's zoning whenever it may be it's severely constrained so those things are going to drive.
Value for existing product in the market.
So look it.
It's hard to say that there's a big disconnect. Because you haven't you haven't had for example, one stabilized asset versus another stabilized assets, we would go back and make those adjustments for risk premiums and alike. So.
And just to add on to that, what are we doing about it? Well, that's goes back to called evolving, our financing strategy, our funding strategy, right? So the uh, successfully, oversubscribed initial fund on the backs of other private Capital Partnerships Towing 15 plus billion of data center Investments. And already in addition, to our strong liquidity and balance sheet, uh, essentially lets us to call pulling both private and public Capital, uh, levers to fund the growth of our customers and our balance sheet for a specifically, hyper scale. Uh, and I think if you look in totality, uh, we now have called record backline backlog 1.4 billion, uh, of of, of of, of backlog for our customers. We are executing a well above expectations in our 0 to 1. Uh, we just had a record Year and have the momentum carrying in and all those things are now. Flown to the bottom line, they flow to the bottom line throughout quarter by quarter in 2025, uh, and set us up for a strong.
Greg Wright: So, you know, look, I think it depends on the mix of the assets. Some are obviously more expensive than others, depending on where it is geographically, but most of the differential and multiple has to do with asset mix.
Greg Wright: So, you know, look, I think it depends on the mix of the assets. Some are obviously more expensive than others, depending on where it is geographically, but most of the differential and multiple has to do with asset mix.
2026. Uh, and we want to keep that acceleration going.
Thank you.
I think it depends on the mix of the assets. Some are obviously are more expensive than others, depending on where it is geographically of most of the differential in multiple has to do with asset mix.
Thank you. And our next question comes from the line of John Peterson from Jeffrey's your question, please.
Andy Power: And just to add on to that, Nick, what are we doing about it? Well, that goes back to, call it, evolving our financing strategy, our funding strategy, right? So the successfully oversubscribed initial fund on the backs of other private capital partnerships, totaling $15+ billion of data center investments, and already in addition to our strong liquidity and balance sheet, essentially lets us to call, pull in both private and public capital levers to fund the growth of our customers and our balance sheet for, and specifically hyperscale. And I think if you look in totality, we now have, call it, record backlog, $1.4 billion of backlog for our customers. We are executing well above expectations in our zero to one.
Andrew Power: And just to add on to that, Nick, what are we doing about it? Well, that goes back to, call it, evolving our financing strategy, our funding strategy, right? So the successfully oversubscribed initial fund on the backs of other private capital partnerships, totaling $15+ billion of data center investments, and already in addition to our strong liquidity and balance sheet, essentially lets us to call, pull in both private and public capital levers to fund the growth of our customers and our balance sheet for, and specifically hyperscale. And I think if you look in totality, we now have, call it, record backlog, $1.4 billion of backlog for our customers. We are executing well above expectations in our zero to one.
And just to add on to that what are we doing about it well that goes back to call. It evolving our financing strategy our funding strategy right. So.
No.
Successfully oversubscribed initial fund on the backs of other private capital partnerships totaling 15 plus billion of datacenter investments at already in addition to our strong liquidity and balance sheet.
Okay. Thank you. I was hoping you could talk a little more about the investments in Malaysia Israel and Portugal. Those look like smaller more interconnection focused facilities um but I know maybe in some of those markets. There's also some larger hyperscaler projects that are going on. So maybe just talk about the decision making when you enter a new market on going with
More like interconnection focused Colo versus building larger hyperscale data centers.
Essentially lets us to call a poll in both private and public capital.
Levers to fund the growth of our customers and our balance sheet and specifically hyperscale.
And I think if you look in totality.
We now have record backlog backlog $1 4 billion.
Backlog for our customers, we are executing well above expectations and our zero. One we just had a record year and have the momentum carrying in and all those things are now flown to the bottom line they flowed to the bottom line throughout quarter by quarter in 2025.
Andy Power: We just had a record year and have the momentum carrying in, and all those things are now flowing to the bottom line. They flow to the bottom line throughout quarter by quarter in 2025, and set us up for a strong 2026, and we want to keep that acceleration going.
Andrew Power: We just had a record year and have the momentum carrying in, and all those things are now flowing to the bottom line. They flow to the bottom line throughout quarter by quarter in 2025, and set us up for a strong 2026, and we want to keep that acceleration going.
And set us up for a strong 2026, and we want to keep that acceleration going.
Operator: Thank you. And our next question comes from the line of Jon Petersen from Jefferies. Your question, please.
Operator: Thank you. And our next question comes from the line of Jon Petersen from Jefferies. Your question, please.
Thank you and our next question comes from the line of Jon Petersen from Jefferies. Your question. Please.
Jon Petersen: Oh, great. Thank you. I was hoping you could talk a little more about the investments in Malaysia, Israel, and Portugal. Those look like smaller, more interconnection-focused facilities. But I know maybe in some of those markets, there's also some larger hyperscaler projects that are going on. So maybe just talk about the decision making when you enter a new market on going with more like interconnection-focused colo versus building larger hyperscale data centers.
Jon Petersen: Oh, great. Thank you. I was hoping you could talk a little more about the investments in Malaysia, Israel, and Portugal. Those look like smaller, more interconnection-focused facilities. But I know maybe in some of those markets, there's also some larger hyperscaler projects that are going on. So maybe just talk about the decision making when you enter a new market on going with more like interconnection-focused colo versus building larger hyperscale data centers.
Okay. Thank you I was hoping you could talk a little more about the investments in Malaysia, Israel in Portugal. This looked like smaller more interconnection focused facilities.
Yeah, thanks, John. This is Greg, look, I think look, you're highlighting the point that Acquisitions, uh, remains a key component of our growth strategy, across the globe and and, and, and 2, you've highlighted here. Like, you know, we're continuing to execute on strategic APAC, Acquisitions. For example, in Malaysia. Well, as you know, we play across the product spectrum and getting these. We've always said getting Network dense, highly connected assets. In key markets is is a key component of our strategy. So, if you take a look at the recent, you know, Malaysia transaction, right? That's a key Emerging Market strategically located in Southeast Asia. You know, cyber J is about 20, uh, 5 kilometers south of koala and poor, you know, it's a traditional data center Hub. You know in in the asset we acquired is you know the most well-connected asset in the market and not only do we buy the you know initial asset but we bought expansion land immediately on next door. They'll give us 10 times expansion capacity for the existing assets so that's Malaysia.
But I know maybe in some of those markets Theres also some larger hyperscale are projects that are going on so maybe just talk about the decision, making when you enter a new market ongoing with.
Or like interconnection focused colo versus building larger hyperscale data centers.
Greg Wright: ... Yeah, thanks, John. This is Greg. Look, I think, look, you're highlighting the point that acquisitions remains a key component of our growth strategy across the globe. And too, you've highlighted here, like, you know, we're continuing to execute on strategic APAC acquisitions, for example, in Malaysia. Well, as you know, we play across the product spectrum, and we've always said, getting network-dense, highly connected assets in key markets is a key component of our strategy. So if you take a look at the recent, you know, Malaysia transaction, right? That's a key emerging market, strategically located in Southeast Asia. You know, Cyberjaya is about 25km south of Kuala Lumpur. You know, it's a traditional data center hub, you know, and the asset we acquired is, you know, the most well-connected asset in the market.
Greg Wright: ... Yeah, thanks, John. This is Greg. Look, I think, look, you're highlighting the point that acquisitions remains a key component of our growth strategy across the globe. And too, you've highlighted here, like, you know, we're continuing to execute on strategic APAC acquisitions, for example, in Malaysia. Well, as you know, we play across the product spectrum, and we've always said, getting network-dense, highly connected assets in key markets is a key component of our strategy. So if you take a look at the recent, you know, Malaysia transaction, right? That's a key emerging market, strategically located in Southeast Asia. You know, Cyberjaya is about 25km south of Kuala Lumpur. You know, it's a traditional data center hub, you know, and the asset we acquired is, you know, the most well-connected asset in the market.
Yes. Thanks, John This is Greg look I think look youre, highlighting the point that acquisitions.
<unk> is a key component of our growth strategy across the globe and two you've highlighted here like we're continuing to execute on strategic APAC acquisitions. For example in Malaysia as you know we play across the product spectrum and getting these we've always said getting network dense highly connected assets in key markets is a key component.
Our strategy. So if you take a look at the recent Malaysia transaction right. That's a key emerging market strategically located in southeast Asia Cyber Jai is about 25 kilometers south of Carla poor.
It's a traditional data center hub.
And in the asset we acquired is the most well connected asset in the market and not only that we buy the initial asset, but we bought expansion land immediately next door that would give US 10 times expansion capacity for the existing assets, So thats, Malaysia not materially different than what we did in Indonesia, I mean, the team has been busy.
Not materially different than what we did in Indonesia. I mean, the team's been busy in APAC here over the last year, uh, when we went into Jakarta slightly different, but we went in, and we partnered with a group that had, you know, 1 of the most highly connected Assets in the market with significant expansion potential. So, when we look at that, you know, that, as you know, buying those kinds of assets, has always been a key component of our strategy. And, again, as you go over, you know, until May same thing, right? Portugal. It's a highly connected assets, uh, you know, termination from subk cable Landing stations and the, like, you know, with the ability to grow, uh, Israel. Same thing, uh, most highly connected. Uh, uh, uh, uh asset in the area of Pittock Piva, which is, you know, the most highly connected area, uh, of Israel. So again there's a similar theme there and that stream plays into, you know, how we play across the product spectrum, and go for those kinds of assets. Now, you know, finally, the last market and even in the US, if you look at it over the last year, right? We've had strategic, uh, Co
Greg Wright: Not only did we buy the, you know, initial asset, but we bought expansion land immediately next door that'll give us ten times expansion capacity for the existing asset. That's Malaysia. Not materially different than what we did in Indonesia. I mean, the team's been busy in APAC here over the last year, when we went into Jakarta. Slightly different, but we went in and we partnered with a group that had, you know, one of the most highly connected assets in the market, with significant expansion potential. When we look at that, you know, that, as you know, buying those kinds of assets has always been a key component of our strategy. Again, as you go over, you know, to Omaha, same thing, right?
Greg Wright: Not only did we buy the, you know, initial asset, but we bought expansion land immediately next door that'll give us ten times expansion capacity for the existing asset. That's Malaysia. Not materially different than what we did in Indonesia. I mean, the team's been busy in APAC here over the last year, when we went into Jakarta. Slightly different, but we went in and we partnered with a group that had, you know, one of the most highly connected assets in the market, with significant expansion potential. When we look at that, you know, that, as you know, buying those kinds of assets has always been a key component of our strategy. Again, as you go over, you know, to Omaha, same thing, right?
In APAC here over the last year, when we went into Jakarta slightly different but we went in and we partnered with a group that had one of the most highly connected assets in the market with significant expansion.
Potential so when we look at that.
As you know buying those kinds of assets has always been a key component of our strategy and again as you go over until May same thing right, Portugal to highly connected assets.
In LA and the like, now that's all on, you know, obviously that all touched on, you know, Colo Network that's highly connected assets that doesn't exclude hyperscale, right. If you look in the US as well, you know, over the last year we acquired multiple uh land uh Parcels in the US, you know, in Tier 1 markets, that's supporting our hyperscale business in the areas of Andy and Colin mentioned earlier, Atlanta, Charlotte Dallas Portland Chicago. So I would say you know, our strategy is consistent with playing the globe and across the product Spectrum.
Greg Wright: Portugal, it's a highly connected assets, you know, terminations from subsea cable landing stations and the like, you know, with the ability to grow. Israel, same thing. Most highly connected, asset in the area of Petah Tikva, which is, you know, the most highly connected area, of Israel. So again, there's a similar theme there, and that stream plays into, you know, how we play across the product spectrum and go for those kinds of assets. Now, you know, finally, the last market, and even in the US, if you look at it over the last year, right? We've had strategic, colo/enterprise, acquisitions in downtown, you know, in Charlotte, in LA, and the like. Now, that's all on, you know, obviously, that all touched on, you know, colo and network-dense, highly connected assets. That doesn't exclude hyperscale, right?
Greg Wright: Portugal, it's a highly connected assets, you know, terminations from subsea cable landing stations and the like, you know, with the ability to grow. Israel, same thing. Most highly connected, asset in the area of Petah Tikva, which is, you know, the most highly connected area, of Israel. So again, there's a similar theme there, and that stream plays into, you know, how we play across the product spectrum and go for those kinds of assets. Now, you know, finally, the last market, and even in the US, if you look at it over the last year, right? We've had strategic, colo/enterprise, acquisitions in downtown, you know, in Charlotte, in LA, and the like. Now, that's all on, you know, obviously, that all touched on, you know, colo and network-dense, highly connected assets. That doesn't exclude hyperscale, right?
Yeah, our next question comes from the line of John hudek from UBS your question, please.
Terminations from subsea cable landing stations and the like with the ability to grow.
Israel same thing most highly connected.
Asset in the area of <unk>, which is the most highly connected area.
Israel. So again there is a similar theme there in that stream plays into how we play across the product spectrum and go for those kinds of assets now finally, the last market and even in the U S. If you look at it over the last year right, we've had strategic Colo Slash enterprise.
Acquisitions in downtown Charlotte in La and the like now Thats all on obviously that all touched on Colo and network dense highly connected assets that doesn't exclude hyperscale right. If you look in the U S as well over the last year, we acquired multiple land parcels in the U S in tier one markets that supporting.
Okay, great, maybe, maybe 2 quick ones. First, a follow up for the last comments. Um, just giving how strong demand is for AI, Computing infrastructure, you know, including as, as we just heard tonight 380 billion, just between Amber and Google alone this year, and he updated thoughts on potentially building out some large footprint sites and and say, more remote power capable markets. Uh, that's number 1. And then there seem to be a growing list of efforts to reduce the impact of the data center industry on consumer electric rates by either requiring behind the meter Solutions or deep prioritization. Does this change your guys view on the Reliance on the grid for power? Uh, in future developments, thanks.
Greg Wright: If you look in the US as well, you know, over the last year, we've acquired multiple land parcels in the US, you know, in tier one markets. That's supporting our hyperscale business in the areas, as Andy and Colin mentioned earlier, Atlanta, Charlotte, Dallas, Portland, and Chicago. So I would say, you know, our strategy is consistent with playing across the globe and across the product spectrum.
Greg Wright: If you look in the US as well, you know, over the last year, we've acquired multiple land parcels in the US, you know, in tier one markets. That's supporting our hyperscale business in the areas, as Andy and Colin mentioned earlier, Atlanta, Charlotte, Dallas, Portland, and Chicago. So I would say, you know, our strategy is consistent with playing across the globe and across the product spectrum.
Our hyperscale business in areas as Andy and Colin mentioned earlier, Atlanta, Charlotte Dallas, Portland in Chicago, So I would say our strategy is consistent with playing across the globe and across the product spectrum.
Thanks, Sean. So I think some of the names that uh, Greg just ran out at the end of his call, World Tour of where we're making a strategic Acquisitions, both the support, our interconnection, Enterprise customers, and our hyperscalers
Okay.
Operator: Thank you. And our next question comes from the line of John Hodulik from UBS. Your question, please.
Operator: Thank you. And our next question comes from the line of John Hodulik from UBS. Your question, please.
Thank you and our next question comes from the line of John Hodulik from UBS. Your question. Please.
John Hodulik: Hey, great. Maybe, maybe two quick ones. First, a follow-up to those last comments. Just given how strong demand is for AI compute infrastructure, you know, including, as we just heard tonight, $380 billion, just between Amazon and Google alone this year, any updated thoughts on potentially building out some large footprint sites in, in, say, more remote power-capable markets? That's number one. And then, there seem to be a growing list of efforts to reduce the impact of the data center industry on consumer electric rates, by either requiring behind-the-meter solutions or deprioritization. Does this change your guys' view on reliance on the grid for power in future developments? Thanks.
John Hodulik: Hey, great. Maybe, maybe two quick ones. First, a follow-up to those last comments. Just given how strong demand is for AI compute infrastructure, you know, including, as we just heard tonight, $380 billion, just between Amazon and Google alone this year, any updated thoughts on potentially building out some large footprint sites in, in, say, more remote power-capable markets? That's number one. And then, there seem to be a growing list of efforts to reduce the impact of the data center industry on consumer electric rates, by either requiring behind-the-meter solutions or deprioritization. Does this change your guys' view on reliance on the grid for power in future developments? Thanks.
Hey, Greg maybe two quick ones first a follow up to that last comment.
Just given how strong demand is for AI compute infrastructure, including as we've just heard Tonight $380 billion sits between Amazon Google alone. This year any updated thoughts on potentially building out some large footprint.
Uh the theme of called Cloud, zonal markets that are uh numerous Cloud customers, numerous source of demand uh is consistent. That's a Charlotte uh up and coming. That's in Atlanta. That's a Dallas, Chicago uh Hillsboro. Uh most of which we already had either the leading interconnection or Enterprise footprint and support of some form of hyperscale. And now growing, they're all getting bigger.
More remote tower capable markets.
Number one and then they seemed to be a growing list of efforts to reduce the impact of the data center industry consumer electric rates are using requiring behind the meter solutions or do prioritization does.
Does this change your guys' view on reliance on the grid for power and future developments.
Greg Wright: Thanks, John. So I think some of the names that Greg just ran out at the end of his call, world tour of where we're making strategic acquisitions, both to support our interconnection enterprise customers and our hyperscalers. The theme of called cloud zonal markets that are numerous cloud customers, numerous sources of demand, is consistent. That's Charlotte, up and coming. That's Atlanta, that's Dallas, Chicago, Hillsboro, most of which we already had either the leading interconnection or enterprise footprint and supported some form of hyperscale and now growing. They're all getting bigger. So whether it's 200MW land sites, 400MW land sites, and they're gonna continue to get bigger.
Andrew Power: Thanks, John. So I think some of the names that Greg just ran out at the end of his call, world tour of where we're making strategic acquisitions, both to support our interconnection enterprise customers and our hyperscalers. The theme of called cloud zonal markets that are numerous cloud customers, numerous sources of demand, is consistent. That's Charlotte, up and coming. That's Atlanta, that's Dallas, Chicago, Hillsboro, most of which we already had either the leading interconnection or enterprise footprint and supported some form of hyperscale and now growing. They're all getting bigger. So whether it's 200MW land sites, 400MW land sites, and they're gonna continue to get bigger.
Thanks, Sean So I think some of the names that.
Greg just ran out at the end of his call World tour of where were making strategic acquisitions, both to support our interconnection enterprise customers and our Hyperscale.
So whether it's 200, megawatt, land sites, 400 megawatt land sites, uh, and they're going to get continue to get bigger. Uh, and that's where I think. Uh, we have a, a a, a major role to help our customers, uh, where it's tougher where the the stakes are raised for what the utilities are. Requiring, uh, where the size of the dollars are, are just getting much bigger, and Beyond what many can fund, um, that ties into your second, con comment here. Uh, we as an industry are facing tremendous amount of call, uh, nimbyism or push back on data centers. And I think, uh, it's unfair and I think it's not, uh, the right, uh, it's not reality when it pertains to digital realy in particular. Uh, we've been
The theme of called cloud zone or markets that are.
Numerous cloud customers of numerous sources of demand.
It is consistent that's a charlotte.
Up and coming Thats in Atlanta, or Dallas Chicago.
<unk> most of which we already had either the leading interconnection of enterprise footprints and supported some form of Hyperscale and now growing theyre all getting bigger.
So whether it's 200 megawatt land sites 400 megawatt land sites.
And theyre going to get continue to get bigger.
Greg Wright: And that's where I think we have a major role to help our customers, where it's tougher, where the stakes are raised for what the utilities are requiring, where the size of the dollars are just getting much bigger and beyond what many can fund. That ties into your second comment here. We, as an industry, are facing a tremendous amount of called nimbyism or pushback on data centers. And I think it's unfair, and I think it's not the right; it's not reality when it pertains to Digital Realty in particular. We've been long-term major contributors to the communities that we live, build, and operate in. Our investments in the grid are stabilizing the grid.
Andrew Power: And that's where I think we have a major role to help our customers, where it's tougher, where the stakes are raised for what the utilities are requiring, where the size of the dollars are just getting much bigger and beyond what many can fund. That ties into your second comment here. We, as an industry, are facing a tremendous amount of called nimbyism or pushback on data centers. And I think it's unfair, and I think it's not the right; it's not reality when it pertains to Digital Realty in particular. We've been long-term major contributors to the communities that we live, build, and operate in. Our investments in the grid are stabilizing the grid.
And that's where I think we have a major role to help our customers.
Where it's tougher where the states are raised for what the utilities are requiring where the size of the dollars are just getting much bigger and beyond what many can fund.
That ties into your second comment here.
We as an industry are facing tremendous amount of call NIMBY ism or pushback on data centers and I think.
Long-term, uh, major contributors to the communities that we live build and operate in uh, our investments in the grid, uh, are stabilizing the grid. We often do demand response for those customers of, in those utilities, which those hot summer days or those cold winter nights. Uh, benefit those also on those same grids. Uh, We've not given up on the grid uh utility Source. Uh, and we are thinking anything. We're thinking about quote behind the meter is some form of bridging, of some form of duration and can be various sizes to help the grid, uh, as it brings the reinforcement uh, for transmission for distribution. Uh, I think, uh, in times like this, uh, we're doing our best to clear up the misconception. Uh, make sure our story is told our impact, whether it is the jobs that I think it's 6 to 1 jobs come from a data center, uh that benefits the local communities, whether it
It's unfair and I think it's not the right.
Not reality winter pertains to digital Realty in particular.
We've been long term.
Major contributors to the communities that we live build and operate in.
Our investments in the grid.
Is a limited use or impact on water. I think digital realy is 300 plus data centers, use less than 18 California, golf courses worth of water. Uh, I think there's close to 16,000 golf courses in just the us, so we need to fix it the misconception. But it's when it's times like, it's hard, like this. This is where our customers value, what we do, right? Our value, add shines, and we're continuing to deliver.
Greg Wright: We often do demand response for those customers in those utilities, which those hot summer days or those cold winter nights benefit those also on those same grids. We've not given up on the grid utility source, and we are thinking anything we're thinking about, quote, "behind the meter," is some form of bridging, of some form of duration, and it can be various sizes, to help the grid as it brings the reinforcement for transmission, for distribution. I think in times like this we're doing our best to clear up the misconception, make sure our story is told, our impact, whether it is the jobs. So I think it's 6 to 1 jobs come from a data center that benefit the local communities, whether it is a limited use or impact on water.
Andrew Power: We often do demand response for those customers in those utilities, which those hot summer days or those cold winter nights benefit those also on those same grids. We've not given up on the grid utility source, and we are thinking anything we're thinking about, quote, "behind the meter," is some form of bridging, of some form of duration, and it can be various sizes, to help the grid as it brings the reinforcement for transmission, for distribution. I think in times like this we're doing our best to clear up the misconception, make sure our story is told, our impact, whether it is the jobs. So I think it's 6 to 1 jobs come from a data center that benefit the local communities, whether it is a limited use or impact on water.
Our stabilizing the grid, we often do demand response for those customers.
Those utilities, which those hot summer days or those cold winter nights benefit those also on those same grids, we've not given up on the grid utility source.
And we are thinking anything we're thinking about caught behind the meter is some form of bridging of some form of duration and it could be various sizes to help the grid as it brings the reinforcement for transmission <unk> distribution.
I think.
In times like this we're doing our best to clear up the misconception, making sure. Our story is told or impact whether it is the job. So I think it's six to one jobs come from a data center the benefit to local communities, whether it is a limited use or impact on water I think digital realty's 300, plus data centers.
Or inference specific demand. Thanks.
Greg Wright: I think Digital Realty's 300+ data centers use less than 18 California golf courses worth of water. I think there's close to 16,000 golf courses in just the US.
Andrew Power: I think Digital Realty's 300+ data centers use less than 18 California golf courses worth of water. I think there's close to 16,000 golf courses in just the US.
Is less than 18, California golf courses worth of water I think there's close to 16000 golf courses in just the U S. So we need to fix of the misconception, but it's when it's times like this is hard like this this is where our customers value what we do are.
Andy Power: ... So we need to fix the misconception, but it's when it's times like it's hard like this, this is where our customers value what we do, right? Our value add shines, and, and we're continuing to deliver.
Andrew Power: ... So we need to fix the misconception, but it's when it's times like it's hard like this, this is where our customers value what we do, right? Our value add shines, and, and we're continuing to deliver.
Our value add shines and we're continuing to deliver.
Operator: Thank you. Our next question comes from the line of Michael Elias from TD Cowen. Your question, please.
Operator: Thank you. Our next question comes from the line of Michael Elias from TD Cowen. Your question, please.
Thank you and our next question comes from the line of Michael Elias from TD Cowen Your question. Please.
Michael Elias: Great. Thanks for taking the question. You know, a lot of focus on hyperscale demand, but I take it a different way and ask about enterprise. Andy, you were talking about the bands elongate or widening in terms of enterprise. You know, one of the themes that, you know, came up more recently in industry was enterprise AI demand. More specifically, let's call it the 5 to 15 MW capacity blocks. You know, just curious, what are you seeing there? Are you seeing a pickup in that kind of activity? And maybe as part of that, do you think that that is a leading indicator potentially in some more inference-specific demand? Thanks.
Michael Elias: Great. Thanks for taking the question. You know, a lot of focus on hyperscale demand, but I take it a different way and ask about enterprise. Andy, you were talking about the bands elongate or widening in terms of enterprise. You know, one of the themes that, you know, came up more recently in industry was enterprise AI demand. More specifically, let's call it the 5 to 15 MW capacity blocks. You know, just curious, what are you seeing there? Are you seeing a pickup in that kind of activity? And maybe as part of that, do you think that that is a leading indicator potentially in some more inference-specific demand? Thanks.
Great. Thanks for taking the question.
A lot of focus on hyperscale demand, but I take it a different way and ask about enterprise. Andy you were talking about the band's elongate or widening in terms of enterprise.
One of the themes that came up more recently, an industry with enterprise AI command more specifically lets call. It the five to 15 megawatt capacity blocks.
Thanks, Michael. Let me touch on for a second. I want to call into, uh, really dig in on that was. I think that, uh, and I was just talking to a CTO, of a major financial institution, a couple days ago. I think that lends it to our sweet spot here. Um, we are about building a Tractive community of Interest or ecosystem for 5,000 plus customers, uh, and rapidly growing, uh, that certainly includes, uh, the hypers scales and 30, 40, 50, 60 locations, but it also includes Enterprises all sizes, and shapes and forms, uh, around the globe. Uh, we are unlike a lot of the private competition that would rather Build 1 data center, at least the whole thing to 1 Customer because the financing is easier, Etc. We want to curate our buildings and our campuses with multiple customers that can grow. Uh, we think that's the best way to deliver for all the customers, uh, as well as Drive long-term value. Uh, but alternative to call them to talk a little bit about some of that Enterprise engagement. Yeah, thanks Michael. Um, appreciate the question. Um,
Just curious what are you seeing there are you seeing a pickup in that kind of activity and maybe as part of that do you think that that is a leading indicator potentially and some more in print specific demand. Thanks.
Andy Power: Thanks, Michael. Let me touch on it for a second. I want Colin to really dig in on that. I think that, and I was just talking to a CTO of a major financial institution a couple of days ago. I think that lends it to our sweet spot here. We are about building an attractive community of interest or ecosystem for 5,000 plus customers, and rapidly growing. That certainly includes the hyperscales in 30, 40, 50, 60 locations, but it also includes enterprises of all sizes, shapes, and forms around the globe. We are, unlike a lot of the private competition, that would rather build one data center and lease the whole thing to one customer because the financing is easier, et cetera. We want to curate our buildings and our campuses with multiple customers that can grow.
Andrew Power: Thanks, Michael. Let me touch on it for a second. I want Colin to really dig in on that. I think that, and I was just talking to a CTO of a major financial institution a couple of days ago. I think that lends it to our sweet spot here. We are about building an attractive community of interest or ecosystem for 5,000 plus customers, and rapidly growing. That certainly includes the hyperscales in 30, 40, 50, 60 locations, but it also includes enterprises of all sizes, shapes, and forms around the globe. We are, unlike a lot of the private competition, that would rather build one data center and lease the whole thing to one customer because the financing is easier, et cetera. We want to curate our buildings and our campuses with multiple customers that can grow.
Thanks, Michael Let me touch on for a second I want to call them too.
Really dig in on that.
I think that and I was just talking to our CTO of a major financial institution couple of days ago, I think that lends it to our sweet spot here.
So, just again, highlighting record performance in Q4, and continue to strong pipelines. So we have as strong of a pipeline in 0, to 1, as we've seen. Um, and that's made up of larger contiguous blocks and questionably. Um, so our, our Enterprise clients are seeing more and more value and contiguous blocks, you know, above 500 KW and there's an emerging conversation to your point around that kind of 5 megawatt block as inference starts to emerge. Um, so we
We are about building, a tractive community of interest or ecosystem.
<unk> 5000, plus customers and rapidly growing that certainly includes the Hyperscale is 30, 40, 50 60 locations, but it also includes enterprises of all sizes and shapes and forms.
Around the globe.
Unlike a lot of the private competition that would rather build one data center and leased the whole thing to one customer because the financings easier et cetera, we want to curate our buildings on our campus with multiple customers that can grow we think thats the best way to deliver for all the customers as.
Andy Power: We think that's the best way to deliver for all the customers, as well as drive long-term value. But I'll turn it to Colin to talk a little bit about some of that enterprise engagement.
Andrew Power: We think that's the best way to deliver for all the customers, as well as drive long-term value. But I'll turn it to Colin to talk a little bit about some of that enterprise engagement.
As well as drive long term value.
We feel like that we're well set up for that again, coming from our heritage, and the ability to support mixed densities across the globe. Um, 300 plus data centers. So, those conversations are are very active. I would say the ability to deliver that connectivity at scale as well. As we, we've announced our private AI um, connectivity story which, which is really helping the narrative. I think with our Enterprise clients who really value our expertise and how we can deliver that consistency consistently across the globe. I will add though just in terms of contributions within zero to 1, we saw a really strong continued push under 500 KW um in Q4 which again speaks to resiliency of ability to scale up and down the platform whether its large footprint contiguous or smaller more Network oriented deployments across our portfolio.
I will turn the call on to talk a little bit about some of that enterprise engagement.
Colin McLean: Yeah. Thanks, Michael. Appreciate the question. So just again, highlighting record performance in Q4 and continued strong pipeline. So we have as strong a pipeline in zero to one as we've seen, and that's made up of larger contiguous blocks, unquestionably. So our, our enterprise clients are seeing more and more value in contiguous blocks, you know, above 500 kW, and there's emerging conversations, to your point, around that kind of 5-MW block as inference starts to emerge. So we, we feel like that we're well set up for that, again, coming from our heritage and the ability to support mixed densities across the globe, 300+ data centers. So those conversations are, are very active. I would say the ability to deliver that connectivity at scale as well.
Colin McLean: Yeah. Thanks, Michael. Appreciate the question. So just again, highlighting record performance in Q4 and continued strong pipeline. So we have as strong a pipeline in zero to one as we've seen, and that's made up of larger contiguous blocks, unquestionably. So our, our enterprise clients are seeing more and more value in contiguous blocks, you know, above 500 kW, and there's emerging conversations, to your point, around that kind of 5-MW block as inference starts to emerge. So we, we feel like that we're well set up for that, again, coming from our heritage and the ability to support mixed densities across the globe, 300+ data centers. So those conversations are, are very active. I would say the ability to deliver that connectivity at scale as well.
Michael I appreciate the question.
So again highlighting record performance in Q4 and continued strong pipeline. So we have as strong a pipeline <unk> one as we've seen.
Thank you. And our final question for today, comes in the line of Michael Funk from Bank of America. Your question, please?
And that's made up of larger contiguous blocks unquestionably.
Our enterprise clients, we're seeing more and more value and contiguous blocks.
Above 500 kw and there is emerging conversation to your point around that kind of five megawatt block as inference starts to emerge.
Yeah, great. I'd have 1, 1 question Andy. Um, so, you know, based on the strong releasing spread that you've reported and your forecasting for 2026. Um, what, what is your capacity and interest to go shorter duration on contract? Um, and or maybe shift to higher, um, you know, higher
We felt like that we're well set up for that again coming from our heritage and the ability to support mixed entities across the globe.
Higher rates each year for the escalators. Um, love to hear your thoughts on that.
<unk> hundred plus data centers. So those conversations are very active.
Say the ability to deliver that connectivity at scale as well as we've announced our private AI.
Colin McLean: We've announced our Private AI connectivity story, which is really helping the narrative, I think, with our enterprise clients who really value our expertise and how we can deliver that consistency consistently across the globe. I will add, though, just in terms of contributions within zero to one, we saw a really strong continued push under 500kW in Q4, which again speaks to resiliency of ability to scale up and down the platform, whether it's large footprint, contiguous or smaller, more network-oriented deployments across our portfolio.
Colin McLean: We've announced our Private AI connectivity story, which is really helping the narrative, I think, with our enterprise clients who really value our expertise and how we can deliver that consistency consistently across the globe. I will add, though, just in terms of contributions within zero to one, we saw a really strong continued push under 500kW in Q4, which again speaks to resiliency of ability to scale up and down the platform, whether it's large footprint, contiguous or smaller, more network-oriented deployments across our portfolio.
Connectivity story, which is really helping the narrative I think with enterprise clients, who really value our expertise and how we can deliver that consistency consistently across the globe I will add though just in terms of contributions within zero to one we saw a really strong continued push under 500 kw in.
In Q4, which again speaks to the resiliency of our ability to scale up and down the platform, whether it's large footprint contiguous or smaller more network Oreo deployments across our portfolio.
Operator: Thank you. And our final question for today comes from the line of Michael Funk from Bank of America. Your question, please.
Operator: Thank you. And our final question for today comes from the line of Michael Funk from Bank of America. Your question, please.
Thank you and our final question for today comes from the line of Michael Funk from Bank of America. Your question. Please yes.
Michael Funk: Yeah, great. I just have one question, Andy. So, you know, based on the strong releasing spreads that you've reported and you're forecasting for 2026, what is your capacity and interest to go shorter duration on contract, and/or maybe shift to higher, you know, higher rates each year for the escalators? Love to hear your thoughts on that.
Michael Funk: Yeah, great. I just have one question, Andy. So, you know, based on the strong releasing spreads that you've reported and you're forecasting for 2026, what is your capacity and interest to go shorter duration on contract, and/or maybe shift to higher, you know, higher rates each year for the escalators? Love to hear your thoughts on that.
Yes, great.
One question Andy.
Based on the strong releasing spreads that you've recorded and you are forecasting for 2026.
What is your capacity and interest to go shorter duration on contract.
Thanks Mike. Well, maybe I'll let Matt picked that up here. I can just to the high level. I can tell you um, we've been pushing on the escalators and it it it's we're living in inflationary environment. We're working through that, right? Uh, and I'm not talking on a national stage. I'm talking about data centers are racing to deliver infrastructure uh and that is inflationary to our cost base and our operating model. Uh, but this is critical what we're doing. Uh, and we've essentially I don't know if we have that set off top of our hands but pushing to escalators of called minimum, 3%, as high as 4% of, or just above that CPI linked. Uh, so that's certainly something that we've been trying to push through to our our base, our base upon renewals on New Deals. Uh, given the broader environment, not anything else you want to add there. I mean, I mean I think I think Andy covered but I mean just to just to maybe round out, you know, and and I know you're commentary is I think more directed towards our greater than megawatt but you know, our zero to 1
And or maybe shift to higher.
Higher.
Higher rates each year for the escalators love to hear your thoughts on that.
Andy Power: Thanks, Michael. Maybe I'll let Matt pick that up here. I can just at a high level tell you, we've been pushing on the escalators, and it's we're living in an inflationary environment. We're working through that, right? And I'm not talking on a national stage, I'm talking about data centers are racing to deliver infrastructure, and that is inflationary to our cost base and our operating model. But this is critical, what we're doing, and we've essentially, I don't know if we have that stat off the top of our heads, but pushing the escalators, call it, minimum 3%, as high as 4% or just above that, CPI linked.
Andrew Power: Thanks, Michael. Maybe I'll let Matt pick that up here. I can just at a high level tell you, we've been pushing on the escalators, and it's we're living in an inflationary environment. We're working through that, right? And I'm not talking on a national stage, I'm talking about data centers are racing to deliver infrastructure, and that is inflationary to our cost base and our operating model. But this is critical, what we're doing, and we've essentially, I don't know if we have that stat off the top of our heads, but pushing the escalators, call it, minimum 3%, as high as 4% or just above that, CPI linked.
Thanks, Mike.
Matt picked that up here I can just at a high level I can tell you.
We've been pushing on the escalators and it's we're living in an inflationary environment, we're working through that right.
1 megawatt, you know, is typically, we're, we're closer to the market. Does, a shorter term contracts, typically, rolling at rolling up at inflation or CPI. So we generally have, you know, uh, an opportunity to do that on a on a more recurring basis. And then for our larger larger contracts, you know, those, those those don't come up that that frequently in terms of the amount of volume that you're just giving that they're already long.
And I'm not talking on a national stage I'm talking about data centers are racing to deliver infrastructure.
And that is inflationary to our cost base and our operating model, but this is critical what we're doing.
Long-term leases. Some of those also have uh, embedded renewal options. But I think, you know, we're, we're looking at ways to continue to to, um, make sure that we're we're getting the the right price for the value that we're delivering to our customers, you know, each and every each and every year, as we look at not only new deals, but our renewals
And we've essentially.
We have that set off tougher hands, but pushing to escalators of pulp minimum 3% as high as 4% or just above that CPI linked so thats certainly something that we've been trying to push through door or are based upon renewals on new deals.
Thank you. And our next question comes from the line of victim. Mihaela from Mazo, your question, please?
Andy Power: So that's certainly something that we've been trying to push through to our base upon renewals, on new deals, given the broader environment. Matt, anything else you want to add there?
Andrew Power: So that's certainly something that we've been trying to push through to our base upon renewals, on new deals, given the broader environment. Matt, anything else you want to add there?
Given the broader environment not anything else you want to add there.
Matt Mercier: I mean, I think Andy covered, but I mean, just to maybe round out, you know, and I know your commentary is, I think, more directed towards our greater than a megawatt. But, you know, our zero to one megawatt, you know, is typically we're closer to market. Those are shorter-term contracts, typically rolling up at inflation or CPI. So we generally have, you know, an opportunity to do that on a more recurring basis. And then for our larger contracts, you know, those don't come up that frequently in terms of the amount of volume, the churn, just given that they're already long-term leases. Some of those also have embedded renewal options.
Matt Mercier: I mean, I think Andy covered, but I mean, just to maybe round out, you know, and I know your commentary is, I think, more directed towards our greater than a megawatt. But, you know, our zero to one megawatt, you know, is typically we're closer to market. Those are shorter-term contracts, typically rolling up at inflation or CPI. So we generally have, you know, an opportunity to do that on a more recurring basis. And then for our larger contracts, you know, those don't come up that frequently in terms of the amount of volume, the churn, just given that they're already long-term leases. Some of those also have embedded renewal options.
I think I think any covered but I mean, just to just to maybe round out.
And I know your commentary is I think more directed towards our greater than a megawatt but are zero. One megawatt is typically closer to market. Those are shorter term contracts typically were only not rolling up at inflation CPI. So we generally have.
With like what's available capacity uh that you have to leave and bringing on over the next 2 years, in some of your make a major markets by megawatt, that would be helpful. Thanks.
An opportunity to do that on a more recurring basis, and then for our larger larger contracts. Those those those don't come up that frequently in terms of the amount of volume that churn just given that they're already long term leases. Some of those also have.
Thanks. I mean, I think the commentaries are called record pipeline was called both cross both segments and obviously, then into totality here. Um and this is coming off the back of like a really strong year, uh, when it comes to 0 to 1 up, 35.
Basic.
Matt Mercier: But I think, you know, we're looking at ways to continue to make sure that we're getting the right price for the value that we're delivering to our customers, you know, each and every year, as we look at not only new deals but our renewals.
Matt Mercier: But I think, you know, we're looking at ways to continue to make sure that we're getting the right price for the value that we're delivering to our customers, you know, each and every year, as we look at not only new deals but our renewals.
Embedded renewal options, but I think we are.
We're looking at ways to continue to.
Make sure that we're getting the right price for the value that we're delivering to our customers each and every week each and every year as we look at not only new deals, but our renewals.
Operator: Thank you. And our next question comes from the line of Vikram Malhotra from Mizuho. Your question, please.
Operator: Thank you. And our next question comes from the line of Vikram Malhotra from Mizuho. Your question, please.
Thank you and our next question comes from the line of Vikram Malhotra from Mizuho. Your question. Please.
Vikram Malhotra: Thanks for squeezing me in. I just wanted to clarify two things. I guess you've mentioned, like, record pipelines in the zero to one megawatt. Maybe you can just expand upon that for the larger segment. If you can just marry that with, like, what's available capacity that you have to lease and bringing on over the next two years in some of your major markets by megawatt, that would be helpful. Thanks.
Vikram Malhotra: Thanks for squeezing me in. I just wanted to clarify two things. I guess you've mentioned, like, record pipelines in the zero to one megawatt. Maybe you can just expand upon that for the larger segment. If you can just marry that with, like, what's available capacity that you have to lease and bringing on over the next two years in some of your major markets by megawatt, that would be helpful. Thanks.
Thanks Christine.
Squeezing me in.
And we lost there for a second. Uh up 35% on a zero uh year-over-year basis and and back-to-back billion plus years of new signings. I think the major markets I ran through hundreds of megawatts in Northern Virginia that are prized possessions for our customers, Charlotte Atlanta. Uh, and let's not forget again, this demand is globalising with the hyperscalers. I think you're going to see a continuation of demand, uh growing into Europe, South America and Asia has been a great contributor as well. So we're really delighted to be able to help these customers support their long-term growth here.
I just wanted to clarify two things I guess, you've mentioned record pipelines in the zero to one megawatt maybe you can just expand upon that for the largest segment and if you can just marry that with like whats available.
This does conclude the question and answer session of today's program. I'd like to hand the program back to president and CEO, Andy power for any further remarks.
Thank you, Jonathan.
That you have to leave and bringing on over the next two years and some of you will make a major markets by megawatt that would be helpful. Thanks.
Andy Power: Thanks, Vikram. I mean, I think the commentary of record pipeline was called both, across both segments and obviously then in totality here. And this is coming off the back of, like, a really strong year, when it comes to zero to one, up 35 base. Think we lost there for a second. Up 35% on a year-over-year basis, and back-to-back billion-plus years of new signings. I think the major markets I ran through, hundreds of megawatts in Northern Virginia that are prized possessions for our customers, Charlotte, Atlanta. And let's not forget, again, this demand is globalizing with the hyperscalers. I think you're going to see a continuation of demand, growing into Europe, South America, and Asia has been a great contributor as well.
Andrew Power: Thanks, Vikram. I mean, I think the commentary of record pipeline was called both, across both segments and obviously then in totality here. And this is coming off the back of, like, a really strong year, when it comes to zero to one, up 35 base. Think we lost there for a second. Up 35% on a year-over-year basis, and back-to-back billion-plus years of new signings. I think the major markets I ran through, hundreds of megawatts in Northern Virginia that are prized possessions for our customers, Charlotte, Atlanta. And let's not forget, again, this demand is globalizing with the hyperscalers. I think you're going to see a continuation of demand, growing into Europe, South America, and Asia has been a great contributor as well.
Thanks Vikram.
I think the commentary.
The fourth quarter, capped a very strong year for digital realy. We delivered record financial performance for our investors while executing with the reliability that our customers expect
Paul.
Our record pipeline was called both across both segments and obviously that into totality here.
And this is coming off the back of like a really strong leader when it comes to zero to one up 35%.
We posted another year with over a billion dollars of total leasing including record performance in our 0, to 1 megawatt, plus interconnection business, and an 800 plus million backlog that provides tremendous visibility throughout through this year. And into next,
The pace.
And we lost there for second up 35% on year over year basis and back to back 1 billion plus years of new signings I think the major markets I ran through hundreds of megawatts in northern Virginia that are prized possessions for our customers Charlotte Atlanta.
We continue to expand our footprint involved. Our funding strategy with the successful raise of our inaugural hyperscale data center fund.
And let's not forget again this demand is globalizing with Hyperscale or do you see a continuation demand growing.
Operationally we remain in a very strong position to serve our growing roster of nearly 6,000 customers with a 3. Gigawatts of in place, Data Center capacity and another 5 gigawatts of development capacity in our core markets around the world.
Growing into Europe, South America, and Asia has been a great contributor as well. So we're really delighted to be able to help these customers support their long term growth here.
Andy Power: So we're really delighted to be able to help these customers support their long-term growth here.
Andrew Power: So we're really delighted to be able to help these customers support their long-term growth here.
Operator: Thank you. This does conclude the question and answer session of today's program. I'd like to hand the program back to President and CEO, Andy Power, for any further remarks.
Operator: Thank you. This does conclude the question-and-answer session of today's program. I'd like to hand the program back to President and CEO, Andy Power, for any further remarks.
Thank you. This does conclude the question and answer session of today's program I'd like to hand, the program back to President and CEO, Andy power for any further remarks.
Digital reality has never been better, positioned. And I owe that to my fellow digital realy, teammates, who have worked hard to deliver these results and have already started 2026 off on the right foot. Thank you, all, and thanks. All of you who have joined us today for the call.
Yeah.
Andy Power: Thank you, Jonathan. The Q4 capped a very strong year for Digital Realty. We delivered record financial performance for our investors while executing with the reliability that our customers expect. We posted another year with over $1 billion of total leasing, including record performance in our zero to 1 MW plus interconnection business and an $800+ million backlog that provides tremendous visibility throughout this year and into next. We continue to expand our footprint and evolved our funding strategy with the successful raise of our inaugural hyperscale data center fund. Operationally, we remain in a very strong position to serve our growing roster of nearly 6,000 customers with our 3GW of in-place data center capacity and another 5GW of development capacity in our core markets around the world.
Andrew Power: Thank you, Jonathan. The Q4 capped a very strong year for Digital Realty. We delivered record financial performance for our investors while executing with the reliability that our customers expect. We posted another year with over $1 billion of total leasing, including record performance in our zero to 1 MW plus interconnection business and an $800+ million backlog that provides tremendous visibility throughout this year and into next. We continue to expand our footprint and evolved our funding strategy with the successful raise of our inaugural hyperscale data center fund. Operationally, we remain in a very strong position to serve our growing roster of nearly 6,000 customers with our 3GW of in-place data center capacity and another 5GW of development capacity in our core markets around the world.
Thank you, ladies and gentlemen for your participation. In today's conference, this does conclude the program. You may now disconnect good day.
Thank you Jonathan.
The fourth quarter capped a very strong year for digital Realty, we delivered record financial performance for our investors, while executing with the reliability that our customers expect.
Hosted another year with over $1 billion of total leasing including record performance in our zero to one megawatt plus interconnection business and an 800 plus million backlog that provides tremendous visibility throughout through this year and into next we continue to expand our footprint and evolved our funding strategy with the successful raise of our novel Hyperscale data Center.
<unk>.
Operationally, we remain in a very strong position to serve our growing roster of nearly 6000 customers with a three gigawatts of emplaced data center capacity and another five gigawatts of development capacity.
Core markets around the world digitally.
Andy Power: Digital Realty has never been better positioned, and I owe that to my fellow Digital Realty teammates, who have worked hard to deliver these results and have already started 2026 off on the right foot. Thank you all, and thanks to all of you who have joined us today for the call.
Andrew Power: Digital Realty has never been better positioned, and I owe that to my fellow Digital Realty teammates, who have worked hard to deliver these results and have already started 2026 off on the right foot. Thank you all, and thanks to all of you who have joined us today for the call.
Digital Realty has never been better positioned and I owe that to my fellow digital Realty teammates who have worked hard to deliver these results and have already started 2026 off on the right foot.
You all and thanks, all of you who have joined US today for the call.
Operator: Thank you, ladies and gentlemen, for your participation in today's conference. This does conclude the program. You may now disconnect. Good day.
Operator: Thank you, ladies and gentlemen, for your participation in today's conference. This does conclude the program. You may now disconnect. Good day.
Thank you, ladies and gentlemen for your participation in today's conference. This does conclude the program you may now disconnect good day.
