Blue Owl Forecasts Higher Earnings Amid AI Compute Risks

Blue Owl Technology Finance Corp. expects to increase earnings on digital infrastructure deals as capital becomes scarcer and spreads widen. The investment firm maintains that demand for compute remains unchanged despite potential headwinds in the market.

During an earnings call, the company warned that a potential Democratic sweep in the U.S. midterm elections could challenge the supply of AI computing capacity. President Erik Bissonnette noted that the fallout from a change in government could make the supply of compute more challenged, though he expects spreads to continue widening for some period of time.