How to invest in key infrastructure is boosted by growth trends like AI and low-carbon grids

Pantheon Infrastructure partner, head of Europe, and portfolio manager Richard Sem outlines his top three picks while discussing his investment strategy

These factorsdigitalization, artificial intelligence, 5G mobile networks, and the transition to a low-carbon gridare changing industries and economies and increasing demand for critical infrastructure, which is a vital component of the digital economy, energy security, and future connectivity. Cloud services and generative AI are growing rapidly, and the underlying infrastructure needs to keep up. With the demand for data centers expected to increase by more than 30% a year until 2030, data centers, ultra-low latency networks, and flexible energy sources are now essential.

Due to the rapidly increasing power consumption per rack (an open-frame structure that houses servers) in a data center or server room, as well as the surge in AI workloads, the world's electricity consumption is expected to triple within the next ten years. Companies involved in infrastructure stand to gain, providing longer-term investors with an alluring opportunity.

These assets, which offer both resilience and exposure to structural growth, frequently have long-term contracts, inflation-linked cash flows, and strong downside protection, in contrast to volatile listed technology stocks. Three unlisted assets in the portfolio of Pantheon Infrastructures (LSE: PINT) that reflect these trends have been found.

Profits are increasing.

With a portfolio of over 16,000 towers, Vertical Bridge is the biggest privately held wireless tower operator in the US. With the support of industry expert DigitalBridge, the business has expanded quickly through acquisitions and new building.

The need for low-latency, dense mobile infrastructure is growing as 5G is being deployed. Supported by long leases, quality tenants, and steady cash flows, Vertical Bridge is well-positioned to profit from the significant investments made by major American carriers in next-generation networks.

CyrusOne serves cloud service providers and big business clients by running more than 50 data centers in North America and Europe. Because they enable everything from cloud computing and artificial intelligence to online services and video streaming, these data centers are crucial to the digital economy.

With the rise in artificial intelligence and the explosive expansion of data consumption, the case for investing in data centers has only gotten stronger. With long-term agreements, automatic price increases, and a loyal clientele, CyrusOne enjoys both defensive qualities and exposure to structural growth. Data infrastructure will probably continue to be in high demand as digital transformation picks up speed.

Calpine, one of the biggest independent power producers in North America, has about 27 gigawatts (GW) of capacity, mostly from gas-fired plants, with almost 800 megawatts (MW) of renewable energy. It is essential for providing dependable baseload power and facilitating the grid's shift to a lower-carbon one.

Calpines' flexible generation capacity is in high demand as grid reliability and energy security become more crucial, as demonstrated by the blackouts in Portugal and Spain. Additionally, the business is working on solar and battery storage projects. Calpine will be purchased by Constellation Energy in a cash and equity transaction, the company announced.

After the deal closes in early 2026, we will have two years to maintain residual exposure to the combined company. Calpine and Constellation will work together to generate 60 gigawatts of power from low- and zero-emission sources, such as solar, wind, geothermal, hydro, nuclear, natural gas, cogeneration, and battery storage.