Data Center Construction Market Global Report 2026

The data center construction market size has grown strongly in recent years. It will grow from $277.59 billion in 2025 to $296.13 billion in 2026 at a compound annual growth rate (CAGR) of 6.7%.The growth in the historic period can be attributed to rising adoption of cloud computing, expansion of data generation and storage needs, increasing reliance on digital services, early development of enterprise data centers, and growth in telecom and BFSI infrastructure.

The data center construction market size is expected to see strong growth in the next few years. It will grow to $389.31 billion in 2030 at a compound annual growth rate (CAGR) of 7.1%. The growth in the forecast period can be attributed to increasing investments in hyperscale facilities, rising adoption of edge computing, growing emphasis on sustainable cooling solutions, expanding AI-driven workloads, and increasing deployment of modular and prefabricated data centers. Major trends in the forecast period include continued expansion of hyperscale data center development, increasing demand for edge data centers, wider adoption of modular construction methods, greater emphasis on energy-efficient cooling technologies, and growing deployment of high-density server infrastructure.

The rising demand for cloud services is expected to drive the growth of the data center construction market in the coming years. Cloud services comprise a wide range of computing resources, applications, and digital capabilities delivered over the internet on an on-demand basis. The growing volume of digital data, together with the increasing use of cloud computing, big data analytics, and Internet of Things (IoT) applications, is creating greater requirements for data storage capacity. The increasing demand for cloud services is encouraging data center construction as service providers expand physical infrastructure to meet customer requirements while ensuring high performance, reliability, and security. For instance, in June 2024, according to AAG IT Services, a UK-based provider of IT and digital transformation services, Google Cloud recorded revenue of $6.87 billion in Q3 2022, increasing from $4.99 billion in the same period of the previous year. In Q4 2022, Google Cloud revenue increased further to $7.32 billion, representing 32% year-over-year growth. Therefore, the increasing demand for cloud services is expected to support the growth of the data center construction market.

Key companies operating in the data center construction market are concentrating on technological advancements in products by implementing innovations such as Universal Data Hall Design (UDHD) to strengthen their market share. Universal Data Hall Design (UDHD) refers to a data center design that incorporates typical colocation components while emphasizing flexibility and scalability. UDHD features a slab floor with perimeter cooling, making it suitable for large, full-hall high-performance computing (HPC) application deployments. For example, in August 2023, DataBank Holdings Ltd., a US-based provider of information management services, launched Universal Data Hall Design (UDHD), an innovative approach to high-density data center construction designed to support high-performance computing (HPC). Universal Data Hall Design (UDHD) enables HPC by providing enterprises with the flexibility to accommodate the specific deployment requirements of their workloads.

In August 2024, Turner Construction, a US-based construction services company, acquired Dornan Engineering Group for an undisclosed amount. The acquisition of Dornan by Turner created a business of significant scale across Europe, supporting the delivery of an expanded portfolio and a broader range of services. By integrating Dornan’s complementary capabilities, Turner identified significant opportunities to increase its presence across the European market and strengthen relationships with both existing and prospective clients. Dornan Engineering Group is an Ireland-based company specializing in data center construction.

Major companies operating in the data center construction market are Google LLC, Amazon Web Services Inc, Microsoft Azure, The International Business Machines Corporation, Schneider Electric SE, Meta Platforms Inc., NTT Ltd., Turner Construction Co, STO Building Group Inc., Equinix Inc., DPR Construction Inc., Iron Mountain Inc., Digital Realty Trust Inc., Stantec Inc., Zayo Group Holdings Inc., Gensler, CyrusOne LLC, Hensel Phelps Construction Co., Cyxtera Technologies LLC, Fortis Construction Inc, QTS Realty Trust Inc., HITT Contracting Inc, TierPoint LLC, Sabey Data Center Properties LLC, Flexential Corp., Holder Construction Group LLC, Cologix Inc., Alfa Tech Consulting Engineers Inc.

North America was the largest region in the data center construction market in 2025. The regions covered in the data center construction 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 construction market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The data center construction market includes revenues earned by entities by planning, developing and providing construction assistance for extremely profitable and effective next-generation data center. The market value includes the value of related goods sold by the service provider or included within the service offering. The data center construction market also includes sales of generators, power infrastructure, cooling infrastructure and physical security. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

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