Data Center IPO Rush Hits Wall as Investor Skepticism Grows

Wall Street's appetite for artificial intelligence data center companies has sharply cooled, forcing major infrastructure firms to delay multibillion-dollar public offerings as bankers face investor skepticism over execution risks, ballooning costs, and fierce public opposition. Data center and infrastructure companies had been expected to account for roughly one-third of all U.S. initial public offerings through the end of 2026, according to interviews with a dozen bankers, lawyers, and investors. But the enthusiasm has evaporated as some Wall Street participants voice growing doubts about the sector's growth projections and capital requirements.