Davis Polk partner and Infrastructure Finance practice co-head David Penna discussed with Tech Capital the growth of Brazil’s data center sector and the factors that are driving an influx of foreign capital into the market.

In an interview at the publication’s first LATAM Finance Forum in São Paulo, David explained that abundant renewable energy, low power costs, geopolitical stability and investor-friendly regulations are all fueling development.

“There are lots of reasons to think that all of LATAM, but Brazil in particular, are sort of on the precipice of really exploding in the data center space,” he said. “I think all of the conditions are here, but I really think bringing in some of that foreign capital and some more sophisticated financing structures is really going to unlock the market.”

“Brazil’s data centre boom and why foreign capital is about to flood in,” Tech Capital (August 11, 2025) 

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