Worldwide Data Center Construction Market to Surge $73.43 Billion by 2028, Unveiling Lucrative Investment Opportunities Across 51 Countries and 9 Regions - Arizton

According to Arizton latest research report, the worldwide data center construction market will grow at a CAGR of 6.5% from 2022 to 2028.  Edge data center investments fueled by 5G deployment, operators' sustainability initiatives, rack power density surge, innovative data center power technologies, and automation & intelligent monitoring solutions are some key trends in the global data center construction market.  

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North America Data Center Construction Market to Create $29 Billion Investment Opportunities  

The US data center construction market witnessed investments from all major hyperscalers, such as Meta (Facebook), Google, Microsoft, and AWS. The renewable energy trend among data center operators is witnessed across the US. Also, city councils across the US set goals to reduce their emissions. Governors and mayors, as part of the clean and renewable energy initiative in California, plan to achieve the goal of 100% renewable and zero-carbon electricity by 2045. The US government plans to achieve net-zero carbon emissions in the electricity sector by 2035 and to become a carbon-neutral economy by 2050.  

Brazil is the leading data center market in Latin America, with more than 45% of investments in the region due to the growth in internet penetration and adoption of cloud-based services by businesses in the country. The Brazil data center market witnesses the entry of foreign companies with the acquisition of local colocation service providers. For instance, in December 2022, Aligned, a US data center firm, announced to acquire ODATA, a Brazilian colocation data center service firm.   

Germany is one of the most mature data center markets in Western Europe. There is a significant increase in the country’s digitalization of local enterprises fueling the growth of local data centers. There is ample demand from the German data center, paving the way for data center operators to expand in the region. Hyperscale data center providers also invest in the region due to the digital demands of German customers.   

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Market Trends & Opportunities  

Increased M&As & Joint Ventures: The rise in demand across several industries drives data center suppliers to sign several M&A contracts to expand their portfolios. The data center market is also interested in acquiring data centers by real estate and investment firms.  

In November 2022, Partners Group acquired EdgeCore for around $1.2 billion. Later, in May 2022, Digital Bridge and IFM Investors acquired Switch for around $11 billion.   

Data Center Investments Fueled by Big Data & IoT: The Internet of Things (IoT), which connects the digital and physical worlds using a network of sensors, contributes to the fast development of data traffic. Implementing 5G networks for mobile devices will aid the exponential growth of IoT and Big data analytics during the forecast period.  

Smart bots can also be implemented to manage certain operations where human presence is not required. This also leads to more efficient power and cooling systems in data centers since the temperature can be kept cooler, and non-essential power equipment, such as lights and air conditioners, can be adjusted automatically.   

Key Investors & Investments  

• In 2022, hyperscale investments in the US were over 25 projects by major operators, including Meta (Facebook), Google, Microsoft, and AWS.  
• Recently, Meta (Facebook) announced its plan to pause expanding and constructing new data center facilities across the US and the world. The company aims to design a new AI data center and redesign its data center facilities for artificial intelligence workloads.   
• Hyperscale providers continuously expand. For instance, AWS announced its plan to invest around $2.4 billion in the UK to build and operate data centers.     

Market Segmentation 

• 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, Building & Engineering Design, Fire Detection & Suppression, Physical Security, and DCIM 
• 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 

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Arizton’s Expertise in the Data Center Industry   

We track data center investments worldwide on a continuous basis and strive to provide accurate market analysis on investments across 20+ infrastructure categories.   

Arizton’s team of principal consultants and analysts work towards publishing extensive secondary and primary research that is credible, resourceful, and data-driven. With over 5+ years of experience, Arizton has helped several Fortune 500 companies with data-driven insights that enabled them to expand their businesses to niche regions, added over a billion dollars in revenues, and effective go-to-market strategies. We offer various product portfolios to meet the client's requirements, which align with their key business strategies and identify high-value growth avenues.    

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Check the detailed table of contents of the report @  

https://www.arizton.com/market-reports/data-center-construction-market-investment-forecast?details=tableOfContents 

Key Questioned Answered in the Report:  

• How big is the data center construction market? 
• What is the growth rate of the data center construction market? 
• What is the estimated market size in terms of area in the global data center construction market by 2028? 
• What are the key trends in the data center construction industry? 
• How many MW of power capacity is expected to reach the global data center construction market by 2028? 

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