Data Center Operator Switch Prepares for IPO with Valuation Up to $80 Billion
0xBroomberg
U.S. data center operator Switch is preparing to go public as early as Q4 this year, targeting up to $10 billion in proceeds at a debt-inclusive valuation near $80 billion — another mega-pricing in the AI infrastructure wave, set to anchor valuations across the sector.
How big is this IPO?
Switch plans to list as early as Q4 this year, raising up to $10 billion at a debt-inclusive valuation near $80 billion.
Goldman Sachs and JPMorgan have been tapped as lead underwriters.
This means → if the deal prices at that level, Switch joins the largest U.S. IPOs in recent years, on par with SpaceX-scale offerings.
People familiar with the matter caution that size, timing, and valuation are still under discussion and may change.
What does Switch actually do?
Based in Las Vegas, Switch operates large-scale data center campuses, supplying the power, cooling, and network connectivity that AI computing demands.
Its clients include Nvidia, Dell Technologies, and FedEx — spanning chips, hardware, and logistics.
In plain terms = Switch doesn't design chips or write software. It builds the buildings that house AI servers and keeps them powered and cool — the physical foundation of AI compute.
All Switch data centers have run on 100% renewable energy since 2016.
From take-private to re-listing — how much has the valuation grown?
Switch was founded in 2000 by CEO Rob Roy and taken private in 2022 by DigitalBridge and IFM Investors for $11 billion.
Barely two years later, the IPO valuation has surged to $80 billion. This means → roughly a ~6× paper gain for the take-private shareholders.
In 2023, Australian pension fund Aware Super acquired a minority stake from existing shareholders; Switch had also held pre-IPO funding talks with private investors at a valuation of at least $40 billion.
How hot is the AI infrastructure IPO wave?
Per Dealogic, U.S. IPO proceeds this year have reached $155.5 billion — the strongest pace since 2021.
Other mega-listings in progress include SpaceX's record-setting IPO and potential offerings by Anthropic and OpenAI.
The data center lane is equally active: Brookfield-backed Csquare is pursuing a U.S. IPO at up to $4.18 billion; AI chip designer Cerebras Systems listed in May, raising $5.55 billion and surging on day one.
This reflects a clear capital-market thesis: whoever owns the physical space where AI runs captures the next wave of premium.
Content is for reference only, not financial advice.