Arizton is pleased to announce its latest report, the data center construction market - global outlook & forecast 2024-2029, shedding light on the dynamic and rapidly evolving industry. The comprehensive report unveils valuable market trends, growth opportunities, and the competitive landscape of the business. With in-depth analysis and meticulous research, this report serves as a strategic guide for industry players, investors, and decision-makers, offering a comprehensive understanding of the current data center construction market dynamics and future prospects.  

Browse 203 market data Tables and 443 Figures spread through 1201 Pages and in-depth TOC on the data center construction market by facility type (hyperscale data centers, colocation data centers, and enterprise data centers), infrastructure (electrical infrastructure, mechanical infrastructure, and general construction), electrical infrastructure (ups systems, generators, transfer switches & switchgears, pdus, and other electrical infrastructure), mechanical infrastructure (cooling systems, racks, and other mechanical infrastructure), cooling systems (crac & crah units, chiller units, cooling towers, condensers, & dry coolers, economizers & evaporative coolers, and other cooling units), cooling technique (air-based cooling and liquid-based cooling), general construction (core & shell development, installation & commissioning services, engineering & building design, fire detection & suppression, physical security, and dCIM/BMS solutions), tier standards (tier I & tier II, tier III, and tier IV), geography: North America, Latin America, Western Europe, Nordics, Central & Eastern Europe, Middle East, Africa, APAC, and Southeast Asia – global outlook & forecast 2024-2029.

Arizton predicted that the global data center construction market by to reach USD 113.62 billion by 2029.

Market Overview

The global data center construction market is experiencing substantial growth, driven by the increasing demand for data storage and processing capabilities. In the United States, major investments from tech firms and infrastructure developers are propelling expansion, fueled by the adoption of cloud computing, edge computing, and advanced technologies such as 5G, IoT, and AI.

Latin America is witnessing growth supported by the rise of IoT and cloud services, along with data localization laws that bolster local infrastructure development. Europe is at the forefront of sustainability, implementing energy-efficient practices to align with environmental goals.

Middle East and Africa are becoming prominent players, with investments from major companies like DigitalBridge and Khazna Data Centers, indicating the region’s growing role in the global market. Asia-Pacific benefits from substantial investments by leading cloud service providers and telecoms, establishing itself as a crucial center for data center expansion and technological innovation.

The Growing Cloud Market in Europe: Opportunities, Investments, and Challenges

The digitalization of business operations is fueling the adoption of cloud-based services across the globe, particularly in Europe, where the establishment of hyperscale cloud data centers is reshaping the market. Major cloud providers such as Google, Amazon Web Services (AWS), Microsoft, Alibaba, Oracle, Tencent, and IBM are driving this trend, enabling businesses to store data, run applications, and access computing power online. This shift to cloud computing provides significant benefits, including flexibility, scalability, and cost savings, making it the preferred choice for industries such as IT, telecom, manufacturing, retail, logistics, healthcare, and government.

Europe's cloud market is expanding rapidly, with countries like Poland and Austria projected to see revenues exceeding $3 billion and $2 billion by 2028, respectively. This growth is bolstered by investments from major global providers like Microsoft and Google. Denmark is emerging as an attractive hub for tech giants, with substantial data center investments boosting innovation and employment. Norway is also seeing a rise in cloud adoption, supported by investments from AWS and Google Cloud and strategic edge computing deployments.

However, challenges persist, including geopolitical tensions, regulatory hurdles, and reliance on global providers. These issues highlight the need for a stronger local operator ecosystem, creating opportunities for players like Yandex and Mail.ru to capture market share.

The Global Data Center Construction Market: Regional Investments and Growth

North America leads the global data center construction market with steady investment growth, achieving an 11.75% CAGR from 2020 to 2029. North Virginia, in particular, is the top hub for data centers, supported by strong connectivity, renewable energy, and tax incentives. Other key U.S. states like Texas, Arizona, and Georgia are also seeing significant growth driven by hyperscale demand.

The APAC region, with a CAGR of 10.28%, is emerging as a key market, driven by investments in countries like China, India, and Singapore, as well as Southeast Asia, with Malaysia and Indonesia poised for increased growth. Latin America is also expanding, particularly in Brazil, Mexico, and Chile, indicating rising demand for infrastructure. The Middle East and Africa are investing heavily in power capacity, spurred by smart city projects and sustainable energy initiatives. Europe, notably Central and Eastern Europe, is showing growth, establishing itself as an emerging market.

Overall, while North America remains dominant, regions like APAC, Latin America, Europe, and Africa are expected to play significant roles in shaping the future of the global data center market.

Competitive Overview

The competition among power infrastructure companies such as ABB, Eaton, Legrand, Schneider Electric, and Vertiv is intense in the global data center industry. These companies vie for market shares by offering a diverse range of power solutions tailored to meet the specific demand from data center operators. Each company invests heavily in R&D activities to stay ahead of competitors, resulting in a constant stream of innovative products and technologies.

Constant innovation in power solutions is driven by the competitive landscape, aiming to offer maximum efficiency and reliability. Companies in this space are continuously pushing the boundaries of what is possible in terms of power distribution, backup systems, and energy management. This relentless pursuit of innovation benefits data center operators by providing them with cutting-edge solutions to optimize their power infrastructure.

Adoption of advanced technologies such as lithium-ion batteries, HVO, fuel cell systems, and intelligent PDUs, is on the rise to enhance overall efficiency. Data center operators are increasingly turning to these advanced technologies to improve energy efficiency, reduce operational costs, and minimize environmental impact. This trend is driving support infrastructure providers to develop and integrate these technologies into their product offerings.

Increasing use of renewable energy sources such as solar and wind power is gaining traction to reduce reliance on traditional electrical grids. Support infrastructure providers are responding to this trend by offering solutions that enable data centers to harness renewable energy sources effectively. This includes integrating renewable energy generation systems with existing power infrastructure and developing innovative ways to store and distribute renewable energy.

The data center cooling solutions market is witnessing intense competition due to strong demand for energy-efficient cooling systems with low carbon emissions. As data centers continue to grow in complexity and size, the need for efficient cooling solutions becomes increasingly critical. Support infrastructure providers are racing to develop innovative cooling technologies that can meet the stringent requirements of modern data center environments while minimizing energy consumption and environmental impact.

Why Arizton?    

100% Customer Satisfaction    

24x7 availability – we are always there when you need us    

200+ Fortune 500 Companies trust Arizton's report  

80% of our reports are exclusive and first in the industry    

100% more data and analysis    

1500+ reports published till date    

Post-Purchase Benefit    

1. 1hr of free analyst discussion    
2. 10% off on customization    

About Us:    

Arizton Advisory and Intelligence is an innovative and quality-driven firm that offers cutting-edge research solutions to clients worldwide. We excel in providing comprehensive market intelligence reports and advisory and consulting services.    

We offer comprehensive market research reports on consumer goods & retail technology, automotive and mobility, smart tech, healthcare, life sciences, industrial machinery, chemicals, materials, I.T. and media, logistics, and packaging. These reports contain detailed industry analysis, market size, share, growth drivers, and trend forecasts.    

Arizton comprises a team of exuberant and well-experienced analysts who have mastered generating incisive reports. Our specialist analysts possess exemplary skills in market research. We train our team in advanced research practices, techniques, and ethics to outperform in fabricating impregnable research reports.    

Contact Us    

Call: +1-312-235-2040    

+1 302 469 0707  

Mail: enquiry@arizton.com  

Contact Us: https://www.arizton.com/contact-us  

Blog: https://www.arizton.com/blog  

Website: https://www.arizton.com/