Data centres need more than servers. They need power, automation, cooling, reliability, backup systems, and infrastructure that can scale without breaking. That’s why Canadian investors shouldn’t look only at chip stocks when they think about artificial intelligence (AI). The bigger opportunity may sit in the companies helping build and support the physical backbone behind the digital boom.
Two Canadian infrastructure stocks worth watching closely in that case are Brookfield Renewable Partners (TSX:BEP.UN) and ATS (TSX:ATS). Together, they show how the data-centre buildout could touch far more than the usual tech names.
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BEP
Brookfield Renewable looks like the cleaner fit. Data centres already use huge amounts of electricity, and AI workloads could push demand much higher. Large technology companies also want that power to come from cleaner sources. That puts Brookfield Renewable in a strong position.
The company owns one of the world’s largest publicly traded renewable power platforms, with hydro, wind, solar, storage, distributed energy, and sustainable solutions assets. It also has exposure to nuclear services through Westinghouse, which could become more important as governments and tech companies search for reliable low-carbon power.
Brookfield’s customer list adds weight to the story. In 2024, Brookfield and Microsoft signed an agreement that could deliver more than 10.5 gigawatts (GW) of new renewable energy capacity between 2026 and 2030 in the United States and Europe. In 2025, Brookfield and Alphabet signed a hydro framework agreement for up to 3,000 megawatts (MW) of carbon-free electricity in the United States. Those are exactly the kinds of large-scale deals that show where data-centre demand is heading.
The latest results also looked strong. Brookfield Renewable reported record first-quarter funds from operations (FFO) of US$375 million, or US$0.55 per unit, up 15% per unit from last year. It also declared a quarterly distribution of US$0.39 per unit. For investors, that means Brookfield offers both income and exposure to one of the biggest power-demand stories in the market.
ATS
ATS designs and builds automation systems for industries such as life sciences, food and beverage, consumer products, transportation, and energy. It helps customers build complex automated systems, and that skill set could matter as power, energy, and advanced manufacturing become more important to data-centre growth.
The clearest connection sits in energy. Data centres need dependable electricity, and the power supply chain needs more automation, engineering, and manufacturing capacity. ATS reported that its Q4 fiscal 2026 energy revenue rose 101.5% year over year, helped by execution on nuclear projects. Nuclear power has moved back into the discussion because data centres need power around the clock, not just when wind or solar conditions cooperate.
ATS also serves regulated and technically demanding industries. That gives it a role in the kind of advanced manufacturing and automation work that can support energy infrastructure, industrial equipment, and high-spec production. In fiscal 2026, ATS generated revenue of $3 billion, up 17.4% from the prior year. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose 12% to $413 million. The company ended the year with a backlog of about $2 billion, giving it revenue visibility into fiscal 2027.
The risk is that ATS remains an indirect data-centre play. Investors shouldn’t buy it expecting a pure AI infrastructure stock. Order bookings fell in fiscal 2026, backlog declined from last year, and the company still needs to prove its restructuring work can improve margins. Even so, ATS deserves attention because the data-centre boom will push demand through the wider industrial system. ATS won’t capture all of that, but it could benefit from the larger wave of spending.
Bottom line
Brookfield Renewable and ATS offer two very different ways to think about the same theme. Brookfield brings clean power and income. ATS brings automation and industrial execution. For investors willing to look past the obvious AI names, these two Canadian infrastructure stocks could have room to win as data centres keep expanding.
