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Sustainable Data Center Market Investment to Reach $54.53 Billion by 2028, More than 6,907 MW Power Capacity to be Added in the Next 6 Years - Arizton

Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast 2023–2028.
Published 27 May 2024

According to Arizton’s latest research report, the sustainable data center market is growing at a CAGR of 9.72% from 2022 to 2028.

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The trend of procurement of renewable energy by data center operators has been seen worldwide. Several operators, which include colocation and hyperscale operators like AWS, Meta, CyrusOne, Equinix, Microsoft, STACK Infrastructure, atNorth, Sify Technologies, Google, and many others, were involved in procuring renewable and clean energy to power their data center facilities, striving for a cleaner and sustainable future. Renewable energy companies have been constantly investing in the development of renewable energy power plants. A few data center companies are also investing in the development of solar plants on rooftops. Most companies across the globe are procuring renewable power from solar, wind, hydro, geothermal, and bioenergy. Hyperscalers like Google, Microsoft, and AWS have been known for purchasing numerous renewable energy certificates to mitigate the energy generated from fossil fuels that they have been consuming in massive amounts or what they consumed in the past up until now.

Key Insights

·        Equinix strongly focuses on making its data center super-efficient. As the company uses Sustainable energy for all its sites and follows high energy efficiency standards, it also cares about the environment by using Sustainable building certifications. Equinix has invested $129 million to make their data center even more energy efficient, showing they are committed to being environmentally responsible.

·        Scala Data Centers is a leading eco-friendly data center operator in Latin America. Scala Data Centers is the first operator to use 100% certified Sustainable energy. Scala has also committed to ensuring that all its new facilities will achieve a PUE of less than 1.4 once they become operational.

·        EdgeConneX is committed to achieving a comprehensive ESG sustainability approach, aiming to become a carbon-neutral data center platform powered with 100% renewable energy sources by 2030.

Sustainable Innovations in Data Center Power Technology

In 2023, HCLTech collaborated with Schneider Electric to provide eco-friendly solutions for APAC data centers. HCLTech emphasized the importance of responsible data center energy management in a growing digital economy and expressed passion about the partnership's potential to cultivate sustainability solutions for APAC's data centers by combining HCLTech’s expertise in information technology (IT) and Schneider Electric's expertise in operational technology (OT). This collaboration aims to produce solutions that not only improve data center efficiency, productivity, and modernization but also contribute considerably to carbon footprint reduction. The division of IT and OT activities presents difficulties in optimizing data center supply chain dynamics. HCLTech and Schneider Electric are ready to meet these challenges by working together to develop sustainable technologies and implement integrated IT-OT solutions.

EcoDiesel or Eco-labelled diesel contains renewable material in diesel. This mixing of renewable materials brings recyclability and lesser pollution than diesel. Microsoft has been working toward the development of effective alternatives to diesel generator utilization, keeping in mind the need to make its data centers more sustainable and less dependent on the utility grid. The backup generators at the Microsoft data center in Sweden run on Preem’s Evolution Diesel Plus, the first Nordic eco-labeled fuel that uses tall oil, a renewable by-product of paper production and forestry. Evolution Diesel Plus fuel contains at least 50% renewable raw materials and has led to an almost equivalent reduction in CO2 emissions compared to standard fossil diesel blends. Microsoft has also tested Preem’s Evolution Diesel Plus at its Dublin data center in Ireland in collaboration with Caterpillar.

The Sustainable Data Center Market Report Encompasses Crucial Data, Including:    

CAGR (Compound Annual Growth Rate) during the forecast period: This metric provides insights into the annual growth rate of the sustainable data center market over the specified time frame.   

Detailed information on growth drivers: The report offers in-depth information on the factors that will propel the sustainable data center market growth from 2023 to 2028. This includes an analysis of various market influences.   

Precise estimation of market size: Accurate assessments of the sustainable data center market size and its contribution and focusing on key market segments.   

Predictions about upcoming trends and changes in consumer behavior: The report offers insights into anticipated trends and shifts in consumer behavior that are likely to impact the sustainable data center market, helping businesses prepare for future market dynamics.   

Geographical market growth: The report covers the development of the sustainable data center market across different regions, including North America, Latin America, Western Europe, Nordics, Central & Eastern Europe, Middle East, Africa, APAC, and Southeast Asia. This provides a comprehensive understanding of the market's global landscape.   

Competitive landscape analysis: A thorough examination of the market's competitive landscape is presented, including detailed information about companies operating in the sustainable data center market. This includes an overview of key players, their market share, strategies, and key developments.   

Analysis of growth challenges: The report includes a comprehensive analysis of factors that may pose challenges to the growth of companies in the sustainable data center market, providing a well-rounded view of the market dynamics.   

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Key Company Profiles

  • Africa Data Centres
  • Airtel (Nxtra Data)
  • AirTrunk
  • Alibaba Cloud
  • Aligned Data Centers
  • Amazon Web Services (AWS)
  • American Tower
  • Apple
  • AQ Compute
  • Atman
  • atNorth
  • Big Data Exchange (BDx)
  • CDC Data Centres
  • Chayora
  • China Telecom
  • Chindata Group
  • CloudHQ
  • Cologix
  • Colt Data Centre Services (COLT DCS)
  • Corscale Data Centers
  • Compass Datacenters
  • CtrlS Datacenters
  • CyrusOne
  • Cyxtera Technologies
  • Data4 Group
  • DataBank
  • Digital Edge DC
  • Digital Realty
  • EdgeConneX
  • Equinix
  • Flexential
  • GDS Services
  • Global Switch
  • Google
  • Green Mountain (AZRIELI GROUP)
  • GreenSquareDC
  • Gulf Data Hub
  • HostDime
  • Huawei Technologies
  • Iron Mountain
  • IXAfrica
  • Keppel Data Centres
  • Khazna Data Centers
  • KIO Networks
  • Kao Data
  • Lumen Technologies (Cirion Technologies)
  • Meta
  • Microsoft
  • Moro Hub
  • Nautilus Data Technologies
  • Netia
  • NTT Global Data Centers
  • Novva Data Centers
  • OneAsia Network
  • Oracle
  • Orange Business Services
  • OVHcloud
  • Penta Infra
  • Princeton Digital Group
  • QTS Realty Trust
  • RackBank
  • Raxio Group
  • Rostelecom Data Centers
  • Sabey Data Centers
  • Scala Data Centers
  • Serverfarm
  • Sify Technologies
  • SpaceDC
  • STACK Infrastructure
  • ST Telemedia Global Data Centres
  • SUNeVision Holdings
  • Switch
  • T5 Data Centers
  • Telehouse
  • Tencent Cloud
  • Tenglong Holdings Group
  • Vantage Data Centers
  • VNET Group
  • Yandex
  • Yondr
  • Yotta Infrastructure

Renewable Energy Providers

  • ACCONIA Energia
  • Adani Green Energy (AGEL)
  • AGL
  • Algonquin Power & Utilities Corp.
  • AMP Energy
  • Apex Clean Energy
  • Avaada Energy
  • Better Energy
  • Bryt Energy
  • Conrad Energy
  • Datafarm Energy
  • DE Shaw Renewable Investments
  • Distributed Power Technologies
  • Dominion Energy
  • EDF Renewables
  • Eneco
  • Enel Group
  • Engie
  • ERG
  • Faro Energy
  • GreenYellow
  • HDF Energy
  • Iberdrola
  • Ilmatar Energy
  • Leeward Renewable Energy
  • Lightsource bp
  • MC Retail Energy
  • MP2 Energy
  • Neoen
  • NextEra Energy
  • NTR
  • Ørsted
  • Pacific Gas and Electric Company
  • Pattern Energy
  • Renantis
  • ReNew Power
  • Rocky Mountain Power
  • RWE Renewables
  • RZK Energia
  • ScottishPower
  • Shell
  • Shizen Energy
  • Simply Energy
  • Solar Alliance
  • Sunseap Group
  • The AES Corporation
  • Torch Clean Energy
  • TotalEnergies

Segmentation by Infrastructure

  • Electrical Infrastructure
  • Mechanical Infrastructure
  • General Construction

Segmentation by Geography

  • North America
  • The U.S.
  • Canada
  • Latin America
  • Brazil
  • Chile
  • Mexico
  • Colombia
  • Rest of Latin America
  • Western Europe
  • The UK
  • Germany
  • France
  • Netherlands
  • Ireland
  • Switzerland
  • Other Western European Countries
  • Nordics
  • Sweden
  • Denmark
  • Norway
  • Finland & Iceland
  • Central & Eastern Europe
  • Poland
  • Other Central & Eastern European Countries
  • Middle East
  • The UAE
  • Saudi Arabia
  • Other Middle Eastern Countries
  • Africa
  • South Africa
  • Other African Countries
  • APAC
  • China & Hong Kong
  • Australia & New Zealand
  • India
  • Japan
  • South Korea
  • The Rest of APAC
  • Southeast Asia
  • Singapore
  • Indonesia
  • Malaysia
  • The Other Southeast Asian Countries

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Key Questions Answered in the Report:   

How big is the sustainable data center market?

What is the growth rate of the global sustainable data center market?

What are the key trends in the sustainable data center market?

Which region holds the most significant global sustainable data center market share?

How many MW of power capacity is expected to reach the sustainable data center market by 2028?

Check Out Some of the Top-Selling Research Reports:  

Europe Green Data Center Market - Industry Outlook & Forecast 2023-2028

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Hyperscale Data Center Market - Global Outlook & Forecast 2023-2028

APAC Green Data Center Market - Industry Outlook & Forecast 2023-2028

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