Global Hyperscale Data Center Market Landscape 2025-2030

The global hyperscale data center market is expected to grow at a CAGR of 9.58% from 2024 to 2030.

HYPERSCALE DATA CENTER MARKET TRENDS

Adoption of Artificial Intelligence

• Adoption of AI across various industries for enhanced operations has witnessed significant improvement, and it has also increased demand for computing power and advanced data management.
• In May 2024, Microsoft announced that it had signed an MoU with the government to provide an AI-powered future. It also announced that it has constructed a new cloud and AI infrastructure in Thailand.

Growing Procurement of Big Data & IoT Solutions

• The 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 significant growth of IoT and Big data analytics during the forecast period.
• The rapid adoption of IoT across industries, supported by government initiatives and major tech firms, continues to drive efficiency, sustainability, and innovation worldwide. As 5G and AI integration expand, IoT applications will continue to transform sectors like energy, manufacturing, and smart infrastructure.

Increase in Rack Power Density

• The Uptime Institute’s 2024 survey reveals that the average rack density is around 8 kW, driven by high-power server processors and GPU deployments, and some facilities have even deployed rack densities of over 50 kW to 100 kW to support enterprise, colocation, and cloud segments.
• AI, big data, IoT, and cloud computing increase rack densities by requiring more powerful servers and storage systems. These systems pack higher processing and storage capabilities into compact spaces to handle intensive workloads efficiently.

Deployment of Microgrids in Data Centers

• A microgrid is a localized energy grid that can function independently from the traditional power grid. It connects multiple power sources and data centers, collaborating with the primary grid to support various functions.
• In Europe, the growing trend of using microgrids to power data centers, such as the Google data center in Eemshaven, Netherlands, enhances energy independence, resilience, and sustainability.

Increasing Adoption of Liquid Cooling Technology

• The rising use of the internet, digital technologies, AI, and the Internet of Things (IoT) is driving the need for data centers and higher rack power density. As the demand for advanced technology increases, the load on data centers will also increase. With more IT power, the heat generated in these data centers rises. To address this issue, many data centers are turning to liquid-cooling systems as they are more efficient than traditional air-cooling methods. This trend is expected to continue, with the demand for liquid-based cooling systems increasing in the coming years.
• In December 2024, AWS introduced hybrid cooling systems combining air and direct-to-chip liquid cooling to efficiently manage the high power and thermal demands of AI workloads in all its data center facilities, supporting advanced processors like Trainium2 and Nvidia GB200 NVL72.

Data Center Operators Enhance Sustainability

• The rising demand for data centers is leading to an increase in power. To meet this demand, data center operators and the government are adopting green energy. Over the next few years, the demand for green energy is expected to grow, with the government taking steps to ensure its use in data centers across the globe.
• Data center operators are adopting renewable energy in their facilities across the globe. Many data center operators are signing PPA for their facility. For instance, Google signed three major PPAs in India to achieve a carbon-free energy grid. The first PPA was signed with Adani Energy, derived from the Khavda solar-wind hybrid project in Gujarat, offering 30 GW of total capacity for three PPAs, and it is set to be completed by 2026. The second PPA is with CleanMax, with 125.4 MW and 66 MW of solar in Rajasthan and 59.4 MW of onshore wind energy in Karnataka.

Rising Demand for Cloud-based Services

• The adoption of cloud computing services and applications continues to rise rapidly, leading to the establishment of vast hyperscale cloud-based data centers. Cloud computing changes the dynamics of data center facilities, leading to several innovations and the inculcation of modern infrastructure.
• The adoption of cloud-based services is a significant driver for the growth and transformation of data centers. As organizations continue to migrate their operations to the cloud, they get access to several benefits, including enhanced scalability, improved operational efficiency, and access to advanced technologies.

US TARIFF IMPACT ON GLOBAL HYPERSCAL DATA CENTER MARKET

• A trade war refers to an economic conflict in which countries impose tariffs or other trade barriers against each other, typically as a response to similar actions taken by the opposing party. Currently, the world is witnessing the emergence of a global trade war, sparked by the US’s imposition of tariffs on a growing list of countries.
• On April 2, 2025, the US President Donald Trump introduced new tariffs, referred to as reciprocal tariffs, on imports from approximately. 90 countries. Described by the president as “Liberation Day,” the move aims to address the US's trade deficit with countries from China to the EU. The tariffs, which include an across-the-board 10% tax on all imports, mark a significant escalation in the ongoing trade tensions between the US and other countries.
• However, on April 9, 2025, President Trump backtracked on parts of his tariff plan, announcing a 90-day pause on the reciprocal tariffs. Therefore, the general tariff rate was reduced to 10% for most countries. The significant exception remains China, as on April 16, 2025, China faced 245% tariffs on most of its exports to the US, based on the most recent revisions in Trump’s trade policies. China responded with 125% tariffs on US products.
• The recent tariff war has posed a challenge for data center infrastructure, particularly in sourcing raw materials, as increased import and export taxes are expected to raise overall infrastructure costs. For example, the United States has imposed tariffs of around 245% on China, which will increase the cost of equipment imported from China and nearby regions. In response, China has imposed tariffs of around 125% on the United States, which will raise the cost of materials such as electronic equipment that China imports from the U.S.
• The recent increase in tariffs has started to threaten both the rising cost and lead time of data center construction. Some of the construction-related materials that may be impacted include iron and steel, aluminum, and other materials that are crucial to data center development.

HYPERSCALE DATA CENTER MARKET SEGMENTATION INSIGHTS

• The global hyperscale data center market continues to witness significant growth in terms of IT infrastructure investment, with an absolute growth rate of around 190% between 2021 and 2024. In addition, the market is expected to witness significant growth in terms of IT infrastructure, with an absolute growth rate of around 44% between 2025 and 2030.
• The use of advanced technologies, such as cloud, IoT, big data, quantum computing, and AI, by businesses is expected to increase the adoption of HPC infrastructure in the coming years across the globe.
• The global hyperscale data center market continues to witness the adoption of liquid cooling in data centers, which is continuously increasing and is expected to witness an absolute growth rate of 142% between 2025 and 2030.
• Hyperscale operators such as AWS, Google, Meta, and Microsoft are actively developing their data center projects across the globe. These operators focus more on the deployment of OCP-scale infrastructure in their data center facilities. This drives the investments for OCP infrastructure across the globe. For instance, in May 2025, Google announced that it had joined Meta and Microsoft in the "Mount Diablo" project. This project aims to develop a new power rack system that can support data center racks with power density up to 1MW at OCP MEA.

The report includes the investment in the following areas:

Segmentation by Infrastructure

• IT Infrastructure
• Electrical Infrastructure
• Mechanical Infrastructure
• General Construction

Segmentation by IT Infrastructure

• Server Infrastructure
• Storage Infrastructure
• Network Infrastructure

Segmentation by Electrical Infrastructure

• UPS Systems
• Generators
• Transfer Switches & Switchgear
• PDUs
• Other Electrical Infrastructure

Segmentation by Mechanical Infrastructure

• Cooling Systems
• Racks
• Other Mechanical Infrastructure

Segmentation by Cooling System

• CRAC & CRAH Units
• Chiller Units
• Cooling Towers, Condensers & Dry Coolers
• Economizers & Evaporative Coolers
• Other Cooling Units

Segmentation by Cooling Technique

• Air-based
• Liquid-based

Segmentation by General Construction

• Core & Shell Development
• Installation & Commissioning Services
• Engineering & Building Design
• Fire Detection & Suppression
• Physical Security
• DCIM/BMS Solutions

Segmentation by Tier Standards

• Tier I & Tier II
• Tier III
• Tier IV

GEOGRAPHICAL ANALYSIS

• In the global hyperscale data center market, the US and China are continuously dominating the market in terms of investment and power capacity. However, there are many countries across the globe witnessing exponential growth due to AI, including countries across APAC, Europe, Latin America, and MEA regions. For instance, the US and China contribute to around 70% of the hyperscale data center investments in 2024.
• In the Global hyperscale data center market, North America dominates in terms of investment and power capacity. This is driven by the increasing demand for AI and the expansion of cloud services across North America, along with favorable regulatory, government support, and power support. However, some areas of North America face some power constraints.
• In North America, the US has contributed the highest market share in terms of investments & power capacity in 2024, followed by Canada.
• APAC is one of the fastest-growing data center markets in terms of investment and power capacity after North America. Over the past two or three years, the region has witnessed an explosion in the demand for digitalization, AI, and cloud computing. The government has taken the initiative to develop proper infrastructure for the data center, which has helped attract global as well as local data center investors to the APAC region. However, some countries within APAC, such as Hong Kong & Singapore, face land and power constraints as well as regulatory & permitting delays.
• In APAC, China dominates the data center market in terms of investment, followed by Malaysia, Australia, Japan, India, Singapore, South Korea, Indonesia, Thailand, Hong Kong, New Zealand, the Philippines, Taiwan, and Vietnam.
• The Malaysian data center market is growing due to the spillover demand from Singapore, and we expect that Malaysia will surpass Singapore's capacity in the next three to four years, owing to the significant rise in investments.
• Europe ranks third in the global hyperscale data center market in terms of investment and power capacity after North America & APAC region. The European region has its own data privacy law and regulatory system, which helps to drive investment in data centers across the European region. Additionally, Europe has strong infrastructure connectivity through land and sea. However, the region also faces some challenges, such as high land and power costs.
• The Middle East & Africa is one of the fastest-growing hyperscale data center markets, ranking fourth globally in terms of investment and power capacity. The MEA region offers ample land, abundant solar and wind renewable energy resources, and government support through Various initiatives and programs.
• South Africa leads in investment in the MEA region, followed by Saudi Arabia, the UAE, Israel, and Kenya.
• Latin America ranks fifth in the global hyperscale data center market in terms of investment and power capacity. Brazil leads in terms of investment, followed by Mexico and Chile.
• North America
• The U.S.
• Canada
• Latin America
• Brazil
• Mexico
• Chile
• Other Latin American Countries
• Western Europe
• The U.K.
• Germany
• France
• Netherlands
• Ireland
• Italy
• Spain
• Other Western European Countries
• Nordics
• Denmark
• Sweden
• Norway
• Finland & Iceland
• Central & Eastern Europe
• Poland
• Austria
• Other Central & Eastern European Countries
• Middle East
• UAE
• Saudi Arabia
• Israel
• Other Middle East Countries
• Africa
• South Africa
• Kenya
• Other African Countries
• APAC
• China
• Hong Kong
• Australia
• New Zealand
• Japan
• India
• South Korea
• Taiwan
• Southeast Asia
• Singapore
• Indonesia
• Malaysia
• Thailand
• Philippines
• Vietnam

HYPERSCALE DATA CENTER MARKET VENDOR LANDSCAPE

• The global hyperscale data center market has the presence of IT infrastructure providers such as Arista Networks, Atos, Broadcom, Cisco Systems, DataDirect Networks (DDN), Dell Technologies, Extreme Networks, Fujitsu, Hewlett Packard Enterprise, itachi Vantara, Huawei Technologies, IBM, Infortrend Technology, Inspur, Intel, Lenovo, NetApp, Nimbus Data, NVIDIA, Toshiba, Wiwynn, and others that provide advanced IT infrastructure across the globe.
• Key players in the support infrastructure for the data centers market include 3M, ABB, Airedale, Alfa Laval, Asetek Carrier, Caterpillar, Condair Group, Cummins, Cyber Power Systems, Dakin Applied, Eaton, Generac Power Systems, Green Revolution Cooling, Honeywell, Johnson Controls, Legrand, Rehlko, Rittal, and others.
• The market has a presence of global contractors and subcontractors, such as AECOM, Arup, AtkinsRéalis, Aurecon Group, Basler & Hofmann, Benthem Crouwel Architects, Bouygues Construction, CAP INGELEC, Collen Construction, Corgan, COWI, DPR Construction, DSCO Group, Edarat Group, EMCOR Group, Gensler, HDR Architecture, Turner & Townsend, Sterling and Wilson, and others.
• The increase in hyperscale data center construction is aiding in millions of dollars in revenues from the sector to the major civil contractors and subcontractors in the global hyperscale data center market.
• The market has witnessed new hyperscale data center operators such as 247 Data Centers, Ada Infrastructure, Anan, Apto Data Centre, Beacon AI Centers, Bluestar Data Centre, BW Digital, Colovore, DATA CASTLE, CloudBurst Data Centers, Desert Dragon Data Centers, Digital Reef, Elementica Epoch Digital Evroc, Gatineau Data Hub (GDH), Layer 9 Data Centers, Surfix Data Center, and others.
• Hyperscale operators like Meta (Facebook), Google, Microsoft, AWS, Alibaba, Tencent, and Apple are the major contributors to the global hyperscale data center market in terms of investment & power capacity.

IT Infrastructure Provider

• Arista Networks
• Atos
• Broadcom
• Cisco Systems
• DataDirect Networks (DDN)
• Dell Technologies
• Extreme Networks
• Fujitsu
• Hewlett Packard Enterprise
• Hitachi Vantara
• Huawei Technologies
• IBM
• Infortrend Technology
• Inspur
• Intel
• Inventec Data Center Solutions
• Lenovo
• Micron Technology
• MiTAC Holdings
• NEC Corporation
• NetApp
• Nimbus Data
• NVIDIA
• Oracle
• Pure Storage
• QNAP Systems
• Quanta Cloud Technology
• Quantum
• Seagate Technology
• Silk
• Synology
• Toshiba
• Western Digital
• Wiwynn

Data Center Support Infrastructure Providers

• 3M
• ABB
• Airedale
• Alfa Laval
• Asetek
• Asperitas
• Assa Abloy
• Bloom Energy
• Carrier
• Caterpillar
• Condair Group
• CoolIT Systems
• Cormant
• Cummins
• Cyber Power Systems
• Daikin Applied
• DCX LIQUID COOLING SYSTEMS
• Delta Electronics
• Eaton
• Enlogic
• FNT Software
• Generac Power Systems
• GIGABYTE
• Green Revolution Cooling
• HITEC Power Protection
• Honeywell
• Iceotope
• Johnson Controls
• KyotoCooling
• Legrand
• LiquidStack
• Mitsubishi Electric
• Munters
• Natron Energy
• NetZoom
• Nlyte Software
• Panduit
• Pillar Power Systems
• Rehlko
• Rittal
• Rolls-Royce
• Schneider Electric
• Siemens
• STULZ
• Submer
• Trane
• Vertiv
• Yanmar
• ZincFive

Data Center Construction Contractors

• AECOM
• Arup
• AtkinsRéalis
• Aurecon Group
• Basler & Hofmann
• Benthem Crouwel Architects
• Bouygues Construction
• CAP INGELEC
• Collen Construction
• Corgan
• COWI
• DAR
• Deerns
• Dornan
• DPR Construction
• DSCO Group
• Edarat Group
• EMCOR Group
• Ethos Engineering
• EYP Mission Critical Facilities
• Flour Corporation
• Fortis Construction
• Gensler
• Gilbane Building Company
• HDR Architecture
• HITT Contracting
• Hoffmann Construction
• Holder Construction
• ISG
• Jacobs
• Kirby Group Engineering
• Laing O’Rourke
• Larsen & Toubro
• Linesight
• M+W Group (Exyte)
• Mace
• Mercury
• Mortenson
• NTT Facilities
• Quark Unlimited Engineering
• RED Engineering Design
• Haskoning
• Skanska
• STO Building Group
• Syska Hennessy Group
• Sterling and Wilson
• Turner Construction Company
• Structure Tone
• Turner & Townsend
• Winthrop Technologies

Data Center Investors

• AdaniConneX
• Africa Data Centres
• AirTrunk
• Aligned Data Centers
• Apple
• AtNorth
• AWS
• Big Data Exchange (BDx)
• CDC Data Centres
• center3
• Chindata Group
• CloudHQ
• Cologix
• Compass Data Centers
• CoreSite
• CyrusOne
• Data4
• DataBank
• Digital Realty
• EdgeConneX
• Equinix
• Meta (Facebook)
• Flexential
• GDS Services
• Global Switch
• Google
• Green Mountain
• Gulf Data Hub
• Iron Mountain
• iXAfrica Data Centre
• Keppel Data Centres
• Khazna Data Centers
• Microsoft
• NEXTDC
• Novva Data Centers
• NTT DATA
• Nxtra by Airtel
• Rostelecom
• Scala Data Centers
• Sify Technologies
• ST Telemedia Global Data Centres
• SUNeVison Holdings
• T5 Data Centers
• Turkcell
• Vantage Data Centers
• Yondr

New Entrants

• 247 Data Centers
• Ada Infrastructure
• Anan
• Apto Data
• Ardent Data Centers
• Beacon AI Centers
• Bluestar Data Centre
• BW Digital
• CloudBurst Data Centers
• Colovore
• Crane Data Centers
• DATA CASTLE
• DataGrid
• DataVolt
• Desert Dragon Data Centers
• Digital Halo
• Digital Reef
• Doma Infrastructure Group
• Eclairion
• Edged Energy
• DAMAC Digital
• Elementica
• Energia Group
• Epoch Digital
• Evolution Data Centres
• Evroc
• Form8tion Data Centers
• Gatineau Data Hub (GDH)
• Gaw Capital
• GreenScale
• GreenSquareDC
• Kasi Cloud
• Latos
• Layer 9 Data Centers
• Mediterra Datacenters
• NE Edge
• PHOCEA DC
• PolarDC
• Prometheus Hyperscale
• Qareeb Data Centres
• Quantum Loophole
• Quetta Data Centers
• Rowan Digital Infrastructure
• Sahayeb Datacenters
• SC Zeus Data Centers
• SDC Capital Partners
• Serverz Data Center
• Surfix Data Center
• Techtonic
• Tract
• Trifalga
• YCO Cloud

KEY QUESTIONS ANSWERED:

1. How big is the global hyperscale data center market in terms of investments?
2. Which region holds the most significant global hyperscale data center market share?
3. What is the estimated market size in terms of area in the global hyperscale data center market by 2030?
4. How many MW of power capacity is expected to reach the global hyperscale data center market by 2030?
5. What is the growth rate of the global hyperscale data center market?