Takanock has secured a $500 million capital commitment from ArcLight Capital Partners and DigitalBridge Group to accelerate the rollout of its integrated power infrastructure solutions for data centers. The funding supports Takanock’s mission to resolve power shortages that have delayed hyperscale data center developments in top-tier markets like Northern Virginia and Phoenix. Formed in 2023, the company combines digital infrastructure know-how with deep energy sector expertise under the leadership of Kenneth Davies, former head of energy initiatives at Google and Microsoft.
Takanock’s business model centers on deploying highly dispatchable, on-site power systems that act as primary sources until grid substations are operational. These systems later serve as grid resources, avoiding the need for new offsite utility-scale generation or firm gas pipeline contracts. This model addresses both grid interconnection delays and utility cost pass-throughs, offering faster time to power while enhancing grid flexibility and renewable energy integration. The company also emphasizes environmental sustainability through closed-loop cooling and emissions control technologies.
The strategic investment comes as Takanock prepares to launch its first contracted deployments. With backing from ArcLight and DigitalBridge, the firm aims to scale in major constrained power markets. Houlihan Lokey advised Takanock on the deal.
- $500M committed by ArcLight and DigitalBridge
- Solutions target power bottlenecks in data center-heavy markets
- On-site generation serves as interim and long-term grid support
- Late-stage deployments underway in Northern Virginia and Phoenix
- Founded by Kenneth Davies, former Google Energy and Microsoft energy executive
“To meet the increasingly compute-intensive needs of hyperscalers and large-scale data center operators, it’s essential to combine expertise from both the energy and digital sectors,” said Kenneth Davies, CEO of Takanock.
- Takanock’s core technology centers on deploying modular, dispatchable power systems co-located with data center developments to accelerate “time to power” and enhance grid resilience. These systems are designed to serve as prime power during early operations and seamlessly transition to grid-supporting resources over time. The company uses advanced emissions control, minimal-water closed-loop cooling, and site-specific integration strategies to meet the demands of both hyperscale operators and local utilities. Takanock was founded by Kenneth Davies, a recognized leader in energy innovation who previously launched Google Energy and led Microsoft’s global renewable energy strategy. His background at the intersection of digital infrastructure and power procurement informs Takanock’s unique approach to resolving the growing tension between data center growth and grid limitations.