In the second half of 2024, the most expensive deal for a data center site sale was the Loop 202 & Dobbins Rd, Laveen deal in Phoenix. IDM Companies sold the 229 acres site to Amazon for 5.3 billion U.S. dollars.

The data center market is estimated to stand at US$ 30.41 billion in 2024. The market is forecasted to exceed a valuation of US$ 117.24 billion by 2034, recording a CAGR of 14.40%. Data center demand is primarily driven by the exponential upsurge in data consumption and data generation by organizations across multiple industries.

Attributes	Details
Estimated Data Center Market Size (2024)	US$ 30.41 billion
Forecasted Market Size (2034)	US$ 117.24 billion
Projected Value CAGR (2024 to 2034)	14.40%

Historical Study on Data Center Market Alongside Future Projections

Attributes	Quantitative Outlook
Data Center Market Size (2023)	US$ 26.83 billion
Historical CAGR (2019 to 2023)	12.70%

Demand Analysis of Data Centers by Region

Countries	Data Center Industry Forecasted CAGR (2024 to 2034)
United States	11.30%
Germany	9.90%
China	15.00%

Data Center Industry Analysis by Segment

Segment	Estimated Market Share in 2024
Hardware	51.80%
Tier 3 Data Center	38.10%

In 2023, the most expensive deal for a data center property sale was for the purchase of CH1 in Chicago. M GI Partners acquired 65 percent of CH1 from Digital Realty for 446 million U.S. dollars.

In 2023 and the first half of 2024, the largest property sale in the data center real estate market in Europe was DATA4 Paris-Saclay in Paris. In April 2023, Brookfield bought the 47,300 square meter property from AXA for an undisclosed price. The most expensive sale was Digital Frankfurt I. The valuation of the site was 270 million U.S. dollars and Digital Core REIT obtained 24.9 percent from Digital Realty.

In 2022, there were four major site acquisition deals for data centers in the main European markets. Two of the deals took place in Frankfurt. Only one of the deals had an announced acquisition price: The purchase of the seven acre site on Wilhelm-Fay-Strasse 31-37, Frankfurt from Corum cost the buyer Cyrus one over 95 million U.S. dollars.

The Houston Data Center Market is Segmented by DC Size (Small, Medium, Large, Massive, Mega), Tier Type (Tier 1&2, Tier 3, Tier 4), Absorption (Utilized [Colocation Type [Retail, Wholesale, Hyperscale], End User [Cloud & IT, Telecom, Media & Entertainment, Government, BFSI, Manufacturing, E-Commerce]], and Non-Utilized). The Market Sizes and Forecasts are Provided in Terms of Value (MW) for all the Above Segments.

Demand for data centers in Egypt recorded a y-o-y growth of 8.2% in 2022. The total revenue is expected to reach US$ 297.8 million by 2023. Over the assessment period, sales of data center solutions across Egypt are slated to soar at 9.6% CAGR, totaling US$ 745.6 million by 2033. The ability of data centers to store and manage large amounts of data is expected to drive demand.

Attributes	Key Insights
Base Value (2022)	US$ 276.2 million
Estimated Egypt Data Center Business Revenue (2023)	US$ 297.8 million
Projected Egypt Data Center Business Revenue (2033)	US$ 745.6 million
Value-based CAGR (2023 to 2033)	9.6%

2018 to 2022 Egypt Data Center Demand Outlook Compared to 2023 to 2033 Forecast

Historical CAGR (2018 to 2022)	7.3%
Forecast CAGR (2023 to 2033)	7.6%

Particular	Value CAGR
H1 (2022 to 2032)	7.1%
H2 (2022 to 2032)	7.5%
H1 (2023 to 2033)	7.9%
H2 (2023 to 2033)	8.2%

Category-wise Insights

Product	Value CAGR
Hardware	8.6%
Data Center Infrastructure Management (DCIM) Software	10.9%
Services	9.9%

Data Center Type	Value CAGR
Enterprise Data Centers	7.5%
Edge Data Centers	10.3%
Colocation Data Centers	9.3%
Hyperscale Data Centers	12.3%
Cloud Data Centers	9.9%
Managed Data Centers	8.5%

End-use Industry	Value CAGR
Carrier/Telcos	10.6%
Colocation Service Providers	11.3%
Communication Service Providers	9.6%
Finance	8.3%
Government	7.2%
Manufacturing	6.2%
Others	5.1%

Data Center Tier	Value CAGR
Tier-1 Data Center	7.5%
Tier-2 Data Center	9.5%
Tier-3 Data Center	10.3%
Tier-4 Data Center	8.9%

The United Kingdom Data Center Market is segmented by Hotspot (London), by Data Center Size (Large, Massive, Medium, Mega, Small), by Tier Type (Tier 1 and 2, Tier 3, Tier 4) and by Absorption (Non-Utilized, Utilized). Market Volume in Megawatt (MW) is presented. Key Data Points observed include IT load capacity for existing and upcoming data centers, current and upcoming hotspots, average mobile data consumption, volume of fiber cable connectivity in KM, existing and upcoming submarine cables, rack space utilization, and number of data centers by tier.

The size and share of the market is categorized based on Application (Data Center, Enterprise, Carrier Ethernet, Campus) and Product (100ME and 1GbE, 10GbE, 40GbE, 100GbE) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

The data center market in Japan was valued at 3.66 trillion Japanese yen in 2023. A breakdown by segment shows that infrastructure as a service (IaaS) and platform as a service (PaaS) constituted the largest segment. The market was projected to increase to 5.95 trillion yen by 2028.

The global data centre UPS market is expected to secure US$ 5,407.8 million in 2023. During the forecast period of 2023 to 2033, the market is likely to exhibit a CAGR of 6.9% while amassing a market value worth US$ 10,571.6, million. The growth of the market can be attributed to the increasing expansion of the consumer electronics sector.

Data Points	Key Statistics
Expected Market Value (2023)	US$ 5,407.8 million
Anticipated Forecast Value (2033)	US$ 10,571.6 ,million
Projected Growth Rate (2023 to 2033)	6.9% CAGR

Report Scope

Attributes	Details
Growth Rate	CAGR of 6.9% from 2023 to 2033
Market Value in 2023	US$ 5,407.8 million
Market Value in 2033	US$ 10,571.6 ,million
Base Year for Estimation	2022
Historical Data	2018 to 2022
Forecast Period	2023 to 2033
Quantitative Units	Revenue in US$ million and CAGR from 2023 to 2033
Report Coverage	Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis
Segments Covered	Product Type Application Technology Region
Regions Covered	North America Latin America Europe Asia Pacific Middle East and Africa
Key Countries Profiled	United States of America Canada Brazil Mexico Germany United Kingdom France Spain Italy China Japan South Korea Malaysia Singapore Australia New Zealand GCC Countries South Africa Israel
Key Companies Profiled	Schneider Electric SA Eaton Corp. Toshiba Corp. Emerson Network Power Inc. Clary Corp. Intellipower Inc. General Electric Electrical Systems Belkin International Inc. Power Innovations International Inc. Barri ABB Ltd. Huawei Technologies Mitsubishi Electric Corporation Vertiv Group
Customization	Available Upon Request

The Frankfurt Data Center Market is segmented by DC Size (Small, Medium, Large, Massive, Mega), by Tier Type (Tier 1&2, Tier 3, Tier 4), by Absorption (Utilized (Colocation Type (Retail, Wholescale, Hyperscale), End User ( Cloud & IT, Telecom, Media & Entertainment, Government, BFSI, Manufacturing, E-Commerce, and Other End-Users)), and Non-Utilized). The market sizes and forecasts are provided in terms of volume (MW) for all the above segments.

The size and share of the market is categorized based on Application (Large Data Center, Small and Medium-sized Data Center) and Product (40G, 100G, 200G, 400G, 800G) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

The size and share of the market is categorized based on Type (Centralized UPS, Modular UPS, Standalone UPS;) and Application (Small & Medium Data Centers, Large Data Centers;) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

The global data center CPU market is anticipated to expand from USD14156.5 million in 2025 to USD 30085.1 million by 2035. The market is projected to grow at a CAGR of 7.8% during 2025 to 2035 and this growth is propelled by rising demand for high-performance computing in cloud services, AI and big data analytics.

Attributes	Description
Estimated Size, 2025	USD 14156.5 million
Projected Size, 2035	USD 30085.1 million
Value-based CAGR (2025 to 2035)	7.8% CAGR

Semi-Annual Market Update

Particular	Value CAGR
H1 2024	6.6% (2024 to 2034)
H2 2024	6.9% (2024 to 2034)
H1 2025	7.8% (2025 to 2035)
H2 2025	8.1% (2025 to 2035)

Country-wise Insights

Countries	CAGR from 2025 to 2035
India	7.4%
China	8.9%
Germany	4.1%
South Korea	7.0%
United States	6.5%

Category-wise Insights

Segment	CAGR (2025-2035)
8-bit digital phase shifter (No. of Bits)	15.4%

Segment	CAGR (2025-2035)
8-bit digital phase shifter (No. of Bits)	15.4%

The Data Center Facility Industry size reached US$ 93.5 million in 2018. Demand for data center facilities recorded Y-o-Y growth of 5.8% in 2022 and thus is expected to reach US$ 124.6 million in 2023. Over the projection period 2023 to 2033, data center facility solutions globally are projected to exhibit 7.6% CAGR and a total size of US$ 259.9 million by 2033.

Attributes	Key Insights
Data Center Facility in Morocco Size (2022A)	US$ 117.5 million
Data Center Facility in Morocco Estimated Size (2023E)	US$ 124.6 million
Projected Data Center Facility in Morocco Valuation (2033F)	US$ 259.9 million
Value-based CAGR (2023 to 2033)	7.6%

Historical Performance of Data Center Facility in Morocco

Historical Value (2022)	US$ 117.5 million
Historical CAGR (2018 to 2022)	5.9%

Country-Wise Insights

Projected Size (2033)	US$ 259.9 million
Value-based CAGR (2023 to 2033)	7.6%

Category-wise Insights

Category	Forecast CAGR (2023 to 2033)
Hardware (Product)	6.7%
Cloud Data Center (Data Center Type)	10.0%
Carriers and telcos (End-use Industry)	6.8%
Tier-3 Data Center (Data Center Tier)	8.9%

Snapshot img

Data Center Market Size 2025-2029

The data center market size is forecast to increase by USD 535.6 billion, at a CAGR of 15.6% between 2024 and 2029.

The global data center market growth is fueled by the rapid adoption of cloud computing, driven by businesses seeking scalable infrastructure, and the increasing demand for real-time data processing as IoT and AI technologies expand across industries. These drivers highlight the shift toward digital solutions and the need for robust IT systems.
This report provides a clear view of market size, growth forecasts, and key segments like colocation and hyperscale data centers, offering practical insights for strategy development, operational efficiency, and client engagement. It digs into trends such as the rise of sustainable data center designs and addresses challenges like rising energy costs that strain budgets and planning. For businesses aiming to thrive in the global data center market, this report delivers essential data and analysis to navigate technological shifts and operational hurdles effectively.

What will be the Size of the Data Center Market During the Forecast Period?

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In today's digital world, data centers play a crucial role in supporting the increasing demand for cloud computing, artificial intelligence (AI), machine learning, the Internet of Things (IoT), and other data-intensive applications. Businesses and individuals rely on data centers to store, process, and analyze vast amounts of data in real-time, enabling personalized experiences and driving innovation in various industries, including online retail and e-commerce. IT infrastructure, such as data center systems, has evolved significantly, offering cost savings, scalability, and flexibility through cloud technology. AI and machine learning algorithms are integrated into these systems, enabling predictive analytics and automation, further enhancing efficiency and performance.
The data center market is evolving with trends such as hyperscale data centers, cloud data centers, and edge computing, enhancing data processing capabilities. Data center automation and AI integration are improving operational efficiency, while green data centers focus on sustainability. Colocation services and data center security are critical for businesses, as virtualization in data centers supports flexible infrastructure. The market also sees growth in modular, energy-efficient data centers with advanced cooling solutions. Multi-cloud data centers and 5G data centers drive connectivity, and data center migration and DCaaS offer scalable solutions with high-density computing.

How is this Data Center Industry segmented and which is the largest segment?

The Data Center industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Component

  IT infrastructure
  Power management
  Mechanical construction
  General construction
  Security solutions


End-user

  BFSI
  Energy
  IT
  Others


Design

  Traditional
  Containerized
  Modular


Data Center Size

  Small and Medium Data Centers
  Large Data Centers


Tier Type

  Tier 1 and 2
  Tier 3
  Tier 4


Type

  Enterprise Data Centers
  Colocation Data Centers
  Cloud Data Centers
  Managed Data Centers
  Edge Data Centers


Geography

  North America

    Canada
    US


  APAC

    China
    India
    Japan


  Europe

    Germany
    UK
    France
    Italy


  South America

    Brazil


  Middle East and Africa

By Component Insights

The IT infrastructure segment is estimated to witness significant growth during the forecast period. The data center IT infrastructure market encompasses all IT hardware, software, and solutions necessary for establishing and expanding data centers. This segment comprises server infrastructure, storage infrastructure, software-defined data centers (SDDC), network infrastructure, converged infrastructure, backup and recovery software, automation software, and data center infrastructure management (DCIM) solutions. The escalating demand for increased computing power and storage capacity is driving the adoption of advanced IT infrastructure in data centers. Enterprises worldwide are transitioning from on-premises data centers to cloud-based alternatives, leading to heightened demand for servers, storage infrastructure, and related technologies. This trend is anticipated to persist throughout the forecast period, fueled by the growing popularity of online retail, e-commerce, and the need for personalized data processing and analysis for various workloads. Cloud technologies are revolutionizing the way businesses manage and store their data, enabling faster processing speeds and enhanced

In 2023, the most expensive deal for a data center site sale was the Covington deal in Atlanta. JBW Investments sold the 430 acres site to Amazon for 361 million U.S. dollars.

The Jakarta Data Center Market is Segmented by DC Size (Small, Medium, Large, Massive, and Mega), Tier Type (Tier 1 and 2, Tier 3, and Tier 4), and Absorption (Utilized (Colocation Type (Retail, Wholescale, and Hyperscale), End User (Cloud and IT, Telecom, Media and Entertainment, Government, BFSI, Manufacturing, and E-Commerce)), and Non-Utilized). The Market Sizes and Forecasts are Provided in Terms of Volume (MW) for all the Above Segments.

The India data center rack market is projected to grow at a CAGR of 19% during the forecast period 2025-2033, reaching a value of XX million by 2033. The growth of the market can be attributed to the increasing demand for data centers due to the growing adoption of cloud computing, big data, and artificial intelligence (AI). Additionally, the government's initiatives to promote digital transformation and smart cities are expected to further drive the growth of the market. The major drivers of the India data center rack market include the increasing demand for data storage and processing, the growing adoption of cloud computing, and the government's initiatives to promote digital transformation. The key trends in the market include the increasing adoption of modular and prefabricated data center racks, the growing popularity of colocation data centers, and the increasing demand for energy-efficient data center racks. The major challenges in the market include the high cost of data center racks, the lack of skilled labor, and the stringent regulatory environment. The key companies operating in the India data center rack market include Fujitsu Corporation, Legrand SA, Hewlett Packard Enterprise, nVent Electric PLC, Schneider Electric SE, Dell Inc, Black Box Corporation, Rittal GMBH & Co KG, Vertiv Group Corp, and Eaton Corporation. Recent developments include: October 2022: In contrast to the smaller installations provided by the iRack solution, NetRack created iRack Block to cater to large requirements primarily. The rack was a step toward intelligent infra capsules or modular data centers because it includes self-cooking, self-powered, and self-contained capabilities., June 2022: To deliver streamlined, zero-touch edge computing, data centers enabled the next wave of industrial innovation. Schneider Electric, the leader in the digital transformation of energy management and automation, announced its partnership with Stratus Technologies, a global leader in simplified, protected, and autonomous edge computing platforms, and Avnet Integrated.. Key drivers for this market are: Increasing Deployment of Data Center Facilities, Growing Cloud Computing Adoption Leading to Investment in Hyperscale Data Centers; BFSI Sector Expected to Hold a Significant Share. Potential restraints include: Presence of cheap and counterfeit racks affecting the organized Data Center Racks sales. Notable trends are: BFSI to have significant market share.