Global Data Center Construction Market Size Study, By Construction Type, By Tier, By Data Center Size, By Industry Vertical, and Regional Forecasts 2022-2032

Description

Global Data Center Construction Market is valued at approximately USD 212.6 billion in 2023 and is anticipated to grow with a healthy growth rate of more than 7.4% over the forecast period 2024-2032. Data center construction is an essential process that caters to the ever-increasing demand for data storage and processing across various industries. The rise in data consumption and the critical importance of data security have underscored the necessity for robust data center infrastructure. Data centers are meticulously designed to ensure a reliable power supply, efficient cooling systems, and stringent physical security measures, making them pivotal in the digital age.

The global expansion of industries and the surge in digital transformation have significantly propelled the demand for data center construction. With the rise in adoption of cloud computing and edge computing, organizations are increasingly turning to these technologies to optimize their operations, enhance flexibility, and drive innovation. Cloud computing offers scalable, cost-effective, and accessible solutions, allowing businesses to deploy applications and services swiftly without the need for extensive on-premises infrastructure. Moreover, the growing trend of edge computing, driven by the proliferation of IoT devices and the need for low-latency processing, is fueling demand for localized data processing closer to end-users. These trends are particularly pronounced in urban centers across Southeast Asia, where smart city initiatives and dense populations create a heightened need for real-time data processing and analysis.

However, the initial high costs associated with data center construction, including the need for advanced technology, infrastructure, and stringent security measures, present significant challenges to the market's expansion. Despite these challenges, the global market is witnessing substantial growth due to increased investments from major tech companies. For instance, Google LLC announced the construction of a new data center in Fort Wayne with an investment of USD 3 billion in April 2024, and AWS revealed plans for new data center infrastructure in Saudi Arabia, expected to be completed by 2026. Such investments reflect the growing demand for data storage and processing across industries, further driving the market's growth.

The key regions considered for the global Data Center Construction Market study include Asia Pacific, North America, Europe, Latin America, and Rest of the World. North America is a dominating region in the Data Center Construction Market in terms of revenue. The market growth in the region is being attributed to factors including exponential growth in data consumption and cloud computing services, which drives demand for advanced data storage and processing facilities. The rise of big data analytics, the proliferation of IoT devices, and the increasing adoption of artificial intelligence are also significant factors contributing to market expansion. Additionally, favorable government policies and tax incentives, coupled with the need for robust cybersecurity measures and disaster recovery solutions, are fueling investment in data center infrastructure across the region. Whereas, the Asia-Pacific region is poised to experience the highest CAGR in the global data center construction market. The region's rapid digitalization, coupled with the proliferation of internet-enabled devices, has led to a surge in demand for data storage and processing capabilities. Government initiatives and investments in infrastructure development are further bolstering the digital economy in this region. Countries like Singapore and Malaysia are emerging as regional hubs for data centers, attracting multinational corporations and tech giants. Additionally, the data center industry in China continues to grow rapidly, driven by the demand for solid-state drives and significant investments from prime vendors in the region.

Major market players included in this report are:

Oracle Corporation
Huawei Technologies Co., Ltd.
IBM Corporation
Equinix, Inc.
Hewlett Packard Enterprise
Hitachi Ltd.
Fujitsu
Cisco Systems Inc.
ABB Ltd.
Schneider Electric
Amazon Web Services (AWS)
Google LLC
Microsoft Corporation
OVHcloud
Digital Realty Trust, Inc.

The detailed segments and sub-segment of the market are explained below:

By Construction Type

General Construction
Electrical Design
Mechanical Design

By Tier

Tier 1
Tier 2
Tier 3
Tier 4

By Data Center Size

Small Data Center
Medium Data Center
Large Data Center

By Industry Vertical

BFSI
IT and Telecommunications
Healthcare
Government
Manufacturing
Others

By Region:

North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
RoLA
Middle East & Africa
Saudi Arabia
South Africa
RoMEA

Years considered for the study are as follows:

Historical year - 2022
Base year - 2023
Forecast period - 2024 to 2032

Key Takeaways:

Market Estimates & Forecast for 10 years from 2022 to 2032.
Annualized revenues and regional level analysis for each market segment.
Detailed analysis of geographical landscape with Country level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of competitive structure of the market.
Demand side and supply side analysis of the market.

Chapter 1. Global Data Center Construction Market Executive Summary

1.1. Global Data Center Construction Market Size & Forecast (2022-2032)
1.2. Regional Summary
1.3. Segmental Summary
- 1.3.1. By Construction Type
- 1.3.2. By Tier
- 1.3.3. By Data Center Size
- 1.3.4. By Industry Vertical
1.4. Key Trends
1.5. Recession Impact
1.6. Analyst Recommendation & Conclusion

Chapter 2. Global Data Center Construction Market Definition and Research Assumptions

2.1. Research Objective
2.2. Market Definition
2.3. Research Assumptions
- 2.3.1. Inclusion & Exclusion
- 2.3.2. Limitations
- 2.3.3. Supply Side Analysis
  - 2.3.3.1. Availability
  - 2.3.3.2. Infrastructure
  - 2.3.3.3. Regulatory Environment
  - 2.3.3.4. Market Competition
  - 2.3.3.5. Economic Viability (Consumer's Perspective)
- 2.3.4. Demand Side Analysis
  - 2.3.4.1. Regulatory frameworks
  - 2.3.4.2. Technological Advancements
  - 2.3.4.3. Environmental Considerations
  - 2.3.4.4. Consumer Awareness & Acceptance
2.4. Estimation Methodology
2.5. Years Considered for the Study
2.6. Currency Conversion Rates

Chapter 3. Global Data Center Construction Market Dynamics

3.1. Market Drivers
- 3.1.1. Rise in Adoption of Cloud Computing and Edge Computing
- 3.1.2. Increase in Global Investments in Data Centers
3.2. Market Challenges
- 3.2.1. High Initial Costs
3.3. Market Opportunities
- 3.3.1. Growing Demand in Asia-Pacific Region

Chapter 4. Global Data Center Construction Market Industry Analysis

4.1. Porter's 5 Force Model
- 4.1.1. Bargaining Power of Suppliers
- 4.1.2. Bargaining Power of Buyers
- 4.1.3. Threat of New Entrants
- 4.1.4. Threat of Substitutes
- 4.1.5. Competitive Rivalry
- 4.1.6. Futuristic Approach to Porter's 5 Force Model
- 4.1.7. Porter's 5 Force Impact Analysis
4.2. PESTEL Analysis
- 4.2.1. Political
- 4.2.2. Economical
- 4.2.3. Social
- 4.2.4. Technological
- 4.2.5. Environmental
- 4.2.6. Legal
4.3. Top Investment Opportunities
4.4. Top Winning Strategies
4.5. Disruptive Trends
4.6. Industry Expert Perspective
4.7. Analyst Recommendation & Conclusion

Chapter 5. Global Data Center Construction Market Size & Forecasts by Construction Type 2022-2032

5.1. Segment Dashboard
5.2. Global Data Center Construction Market: Construction Type Revenue Trend Analysis, 2022 & 2032 (USD Billion)
- 5.2.1. General Construction
- 5.2.2. Electrical Design
- 5.2.3. Mechanical Design

Chapter 6. Global Data Center Construction Market Size & Forecasts by Tier 2022-2032

6.1. Segment Dashboard
6.2. Global Data Center Construction Market: Tier Revenue Trend Analysis, 2022 & 2032 (USD Billion)
- 6.2.1. Tier 1
- 6.2.2. Tier 2
- 6.2.3. Tier 3
- 6.2.4. Tier 4

Chapter 7. Global Data Center Construction Market Size & Forecasts by Data Center Size 2022-2032

7.1. Segment Dashboard
7.2. Global Data Center Construction Market: Data Center Size Revenue Trend Analysis, 2022 & 2032 (USD Billion)
- 7.2.1. Small Data Center
- 7.2.2. Medium Data Center
- 7.2.3. Large Data Center

Chapter 8. Global Data Center Construction Market Size & Forecasts by Industry Vertical 2022-2032

8.1. Segment Dashboard
8.2. Global Data Center Construction Market: Industry Vertical Revenue Trend Analysis, 2022 & 2032 (USD Billion)
- 8.2.1. BFSI
- 8.2.2. IT and Telecommunications
- 8.2.3. Healthcare
- 8.2.4. Government
- 8.2.5. Manufacturing
- 8.2.6. Others

Chapter 9. Global Data Center Construction Market Size & Forecasts by Region 2022-2032

9.1. North America Data Center Construction Market
- 9.1.1. U.S. Data Center Construction Market
  - 9.1.1.1. By Construction Type, Size & Forecasts, 2022-2032
  - 9.1.1.2. By Tier, Size & Forecasts, 2022-2032
  - 9.1.1.3. By Data Center Size, Size & Forecasts, 2022-2032
  - 9.1.1.4. By Industry Vertical, Size & Forecasts, 2022-2032
- 9.1.2. Canada Data Center Construction Market
  - 9.1.2.1. By Construction Type, Size & Forecasts, 2022-2032
  - 9.1.2.2. By Tier, Size & Forecasts, 2022-2032
  - 9.1.2.3. By Data Center Size, Size & Forecasts, 2022-2032
  - 9.1.2.4. By Industry Vertical, Size & Forecasts, 2022-2032
9.2. Europe Data Center Construction Market
- 9.2.1. UK Data Center Construction Market
- 9.2.2. Germany Data Center Construction Market
- 9.2.3. France Data Center Construction Market
- 9.2.4. Spain Data Center Construction Market
- 9.2.5. Italy Data Center Construction Market
- 9.2.6. Rest of Europe Data Center Construction Market
9.3. Asia-Pacific Data Center Construction Market
- 9.3.1. China Data Center Construction Market
- 9.3.2. India Data Center Construction Market
- 9.3.3. Japan Data Center Construction Market
- 9.3.4. Australia Data Center Construction Market
- 9.3.5. South Korea Data Center Construction Market
- 9.3.6. Rest of Asia Pacific Data Center Construction Market
9.4. Latin America Data Center Construction Market
- 9.4.1. Brazil Data Center Construction Market
- 9.4.2. Mexico Data Center Construction Market
- 9.4.3. Rest of Latin America Data Center Construction Market
9.5. Middle East & Africa Data Center Construction Market
- 9.5.1. Saudi Arabia Data Center Construction Market
- 9.5.2. South Africa Data Center Construction Market
- 9.5.3. Rest of Middle East & Africa Data Center Construction Market

Chapter 10. Competitive Intelligence

10.1. Key Company SWOT Analysis
10.2. Top Market Strategies
10.3. Company Profiles
- 10.3.1. Oracle Corporation
  - 10.3.1.1. Key Information
  - 10.3.1.2. Overview
  - 10.3.1.3. Financial (Subject to Data Availability)
  - 10.3.1.4. Product Summary
  - 10.3.1.5. Market Strategies
- 10.3.2. Huawei Technologies Co., Ltd.
- 10.3.3. IBM Corporation
- 10.3.4. Equinix, Inc.
- 10.3.5. Hewlett Packard Enterprise
- 10.3.6. Hitachi Ltd.
- 10.3.7. Fujitsu
- 10.3.8. Cisco Systems Inc.
- 10.3.9. ABB Ltd.
- 10.3.10. Schneider Electric
- 10.3.11. Amazon Web Services (AWS)
- 10.3.12. Google LLC
- 10.3.13. Microsoft Corporation
- 10.3.14. OVHcloud
- 10.3.15. Digital Realty Trust, Inc.

Chapter 11. Research Process

11.1. Research Process
- 11.1.1. Data Mining
- 11.1.2. Analysis
- 11.1.3. Market Estimation
- 11.1.4. Validation
- 11.1.5. Publishing
11.2. Research Attributes