The data center market size is expected to see strong growth in the next few years. It will grow to $460.61 billion in 2030 at a compound annual growth rate (CAGR) of 9.2%. The growth in the forecast period can be attributed to increasing AI workload deployment, expansion of edge computing use cases, growing demand for sustainable data centers, rising investments in digital infrastructure, increasing regulatory focus on data sovereignty. Major trends in the forecast period include expansion of hyperscale data center facilities, rising deployment of edge data centers, growing adoption of modular data center designs, increased focus on energy-efficient infrastructure, enhanced integration of ai-driven data center management.
The increasing prevalence of IoT-linked devices is expected to contribute to the growth of the data center market. IoT-linked devices, which are nonstandard computing devices connecting wirelessly to networks, generate substantial amounts of data. This growth in IoT devices necessitates sophisticated data center solutions capable of addressing the unique challenges posed by massive data, real-time processing needs, and requirements for scalability and security in the evolving IoT landscape. According to a November 2022 report from Ericsson, broadband IoT (4G/5G) connections, linking the majority of cellular IoT devices, reached 1.3 billion in 2022. The proliferation of IoT-linked devices, with an anticipated 60% of cellular IoT connections being broadband IoT by the end of 2028, is driving the demand for advanced data center solutions. The increasing number of IoT-linked devices is a significant factor fueling the growth of the data center market.
Major companies operating in the data centre market are focusing on developing modular, liquid-cooled pre-fabricated data-centre units to meet the rising demand for rapid deployment, high-density compute, energy efficiency, and edge-infrastructure expansion. A modular, liquid-cooled pre-fabricated data-centre unit is a factory-assembled building block that integrates power, cooling, racks, and monitoring systems, delivered as a complete module rather than constructed on-site from scratch. For instance, in November 2023, Vertiv Group Corp., a US-based provider of critical digital infrastructure, launched its SmartMod Max CW modular data-centre unit. This solution supports up to 200 kW of IT load in a single unit and uses chilled-water cooling to enhance energy efficiency. It is fully factory-assembled and tested to minimize on-site build time and cost and offers customizable power and cooling configurations, enabling rapid deployment across edge locations and mid-sized enterprise environments.
In February 2024, Marubeni Corporation, a Japan-based provider of trading, infrastructure, and renewable-energy solutions, partnered with Yondr Group to develop hyperscale data centres in the West Tokyo region. Through this partnership, Marubeni aimed to leverage its renewable-energy network and local market expertise to accelerate large-scale hyperscale data-centre rollout and support its strategic expansion into digital infrastructure. Yondr Group is a UK-based developer, owner, and operator of hyperscale data centres.
Major companies operating in the data center market are Caterpillar Inc.; Cummins Inc.; ABB Ltd.; Generac Power System Inc.; KOHLER Group; Hitech Power Protection; Rolls Royce Power Systems AG; Aggreko Company; Eaton Corporation; F.G. Wilson; Atlas Copco; Himoinsa SL; MTU Friedrichshafen GmbH; Wärtsilä Corporation; Schneider Electric SE; Siemens AG; Emerson Electric Co.; Socomec Group; Riello UPS; Vertiv Co.; Delta Electronics Inc.; Toshiba Corporation; Fuji Electric Co.Ltd.; Kirloskar Electric Company; Yanmar Co. Ltd.
North America was the largest region in the data center market in 2025. The regions covered in the data center market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the data center market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Tariffs are influencing the data center market by increasing costs of imported servers, cooling systems, power equipment, and construction materials required for new facility development. North America and Europe are most affected due to dependence on imported IT and electrical components, while Asia-Pacific faces cost pressure on large-scale hyperscale projects. These tariffs are increasing capital expenditure and extending deployment timelines. At the same time, they are encouraging localized manufacturing, regional sourcing of equipment, and greater investment in modular and prefabricated data center solutions.
The data center market research report is one of a series of new reports that provides data center market statistics, including data center industry global market size, regional shares, competitors with a data center market share, detailed data center market segments, market trends and opportunities, and any further data you may need to thrive in the data center industry. This data center market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
Data centers represent physical facilities comprising networked computers, storage systems, servers, computational infrastructure, and application-delivery controllers. They are essential for businesses to conduct operations and store organizational data assets.
The primary types of data centers include colocation, hyperscale, edge, and other variations. Colocation involves a rental service catering to enterprise customers, allowing them to lease space for storing servers and other hardware crucial for daily business operations. The key components encompass solutions and services. Enterprise sizes utilizing data centers range from large enterprises to small and medium enterprises (SMEs). End users span various sectors such as BFSI, IT & telecom, government, energy & utilities, and other industries.
The data center market consists of sales of IT infrastructure, electrical infrastructure, mechanical infrastructure, general construction, and other services that are used to store, process, and disseminate data and applications. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
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Table of Contents
Executive Summary
Data Center Market Global Report 2026 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses data center market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Description
Where is the largest and fastest growing market for data center? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The data center market global report answers all these questions and many more.The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
- The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
- The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
- The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
- The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
- The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
- Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.
Report Scope
Markets Covered:
1) By Type: Colocation; Hyperscale; Edge; Other Types2) By Component: Solution; Services
3) By Enterprise Size: Large Enterprises; Small And Medium Enterprises (SMEs)
4) By End User: BFSI; IT And Telecom; Government; Energy And Utilities; Other End Users
Subsegments:
1) By Colocation: Retail Colocation; Wholesale Colocation2) By Hyperscale: Cloud Service Providers; Large-Scale Enterprises
3) By Edge: Micro Data Centers; Mobile Edge Computing
4) By Other Types: Modular Data Centers; Containerized Data Centers; Traditional Data Centers
Companies Mentioned: Caterpillar Inc.; Cummins Inc.; ABB Ltd.; Generac Power System Inc.; KOHLER Group; Hitech Power Protection; Rolls Royce Power Systems AG; Aggreko Company; Eaton Corporation; F.G. Wilson; Atlas Copco; Himoinsa SL; MTU Friedrichshafen GmbH; Wärtsilä Corporation; Schneider Electric SE; Siemens AG; Emerson Electric Co.; Socomec Group; Riello UPS; Vertiv Co.; Delta Electronics Inc.; Toshiba Corporation; Fuji Electric Co.Ltd.; Kirloskar Electric Company; Yanmar Co. Ltd.
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita.
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery Format: Word, PDF or Interactive Report + Excel Dashboard
Added Benefits:
- Bi-Annual Data Update
- Customisation
- Expert Consultant Support
Companies Mentioned
The companies featured in this Data Center market report include:- Caterpillar Inc.
- Cummins Inc.
- ABB Ltd.
- Generac Power System Inc.
- KOHLER Group
- Hitech Power Protection
- Rolls Royce Power Systems AG
- Aggreko Company
- Eaton Corporation
- F.G. Wilson
- Atlas Copco
- Himoinsa SL
- MTU Friedrichshafen GmbH
- Wärtsilä Corporation
- Schneider Electric SE
- Siemens AG
- Emerson Electric Co.
- Socomec Group
- Riello UPS
- Vertiv Co.
- Delta Electronics Inc.
- Toshiba Corporation
- Fuji Electric Co.Ltd.
- Kirloskar Electric Company
- Yanmar Co. Ltd.
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 250 |
| Published | February 2026 |
| Forecast Period | 2026 - 2030 |
| Estimated Market Value ( USD | $ 324.25 Billion |
| Forecasted Market Value ( USD | $ 460.61 Billion |
| Compound Annual Growth Rate | 9.2% |
| Regions Covered | Global |
| No. of Companies Mentioned | 26 |


