The market expansion is fueled by increasing adoption of artificial intelligence workloads, hyperscale cloud growth, and enterprise digital transformation. Rising demand for high-density racks, purpose-built servers, GPUs, and accelerators is reshaping power distribution, cooling, and network interconnect requirements. Government initiatives promoting digitization, smart cities, and data-driven governance are driving the construction of more data centers to improve efficiency, safety, and innovation under heavy workload demands. The industry is shifting from traditional x86 architectures to custom silicon and specialized accelerators tailored for AI and machine learning tasks. Hyperscale operators are investing in proprietary server designs with custom processors and AI accelerators to optimize performance, power efficiency, and total cost of ownership. Edge data center economics differ significantly from hyperscale deployments, while the push for energy-efficient, low-carbon operations is forcing operators to adopt renewable power sourcing, heat-reuse strategies, and stricter energy performance standards.
The hardware segment held a 65% share in 2024 and is expected to grow at a CAGR of 12.7% from 2025 to 2034. This segment includes servers, storage systems, networking equipment, power distribution units (PDUs), uninterruptible power supplies (UPS), cooling infrastructure, racks, and enclosures. Hardware requires significant capital investment and frequent technology refresh cycles to maintain efficiency and performance across evolving workloads.
The enterprise data centers segment accounted for a 45% share in 2024 and is anticipated to grow at a CAGR of 12.6% between 2025 and 2034. These facilities, operated internally by organizations to support IT operations, remain the largest segment but are gradually declining as enterprises migrate toward colocation and public cloud platforms. Many enterprise data centers operate with power usage effectiveness (PUE) values above 1.8-2.0 due to legacy infrastructure and under-optimized cooling systems, presenting opportunities for efficiency improvements.
North America Data Center Infrastructure Market held 38% share, valued at USD 26.3 billion in 2024. The region benefits from a strong presence of hyperscale operators, technology firms, financial institutions, and digital infrastructure. The U.S. market is expected to expand rapidly due to AI infrastructure investments, with demand for data center power projected to increase from around 4 GW in 2024 to 123 GW by 2035.
Key players in the Global Data Center Infrastructure Market include Eaton, Lenovo Group, Hewlett Packard Enterprise (HPE), Cisco Systems, ABB, IBM, Dell, Fujitsu, Schneider Electric, and Huawei Technologies. Companies in the Data Center Infrastructure Market are strengthening their presence by focusing on R&D for high-efficiency servers, advanced cooling solutions, and next-generation networking equipment. Strategic partnerships with cloud providers and enterprise clients help them tailor solutions to specific workload requirements. Geographic expansion into emerging markets and acquisitions of technology startups enhance market reach. Firms are also investing in energy-efficient designs, low-carbon operations, and AI-enabled monitoring systems to improve performance, reduce operating costs, and comply with regulatory standards. Offering comprehensive service and maintenance contracts alongside training programs further builds customer loyalty and reinforces competitive positioning.
Comprehensive Market Analysis and Forecast
- Industry trends, key growth drivers, challenges, future opportunities, and regulatory landscape
- Competitive landscape with Porter’s Five Forces and PESTEL analysis
- Market size, segmentation, and regional forecasts
- In-depth company profiles, business strategies, financial insights, and SWOT analysis
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Table of Contents
Companies Mentioned
The companies profiled in this Data Center Infrastructure market report include:- ABB
- Cisco Systems
- Dell Technologies
- Eaton
- Hewlett Packard Enterprise (HPE)
- IBM
- Lenovo
- NetApp
- Schneider Electric
- Vertiv
- Fujitsu
- Huawei
- Inspur
- Legrand
- Rittal
- AMD
- Arista Networks
- Liquidstack
- Micron
- Pure Storage
- Samsung Electronics
- Seagate Technology
- Super Micro Computer
- Western Digital Corporation (WDC)
- Wiwynn
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 230 |
| Published | November 2025 |
| Forecast Period | 2024 - 2034 |
| Estimated Market Value ( USD | $ 68.2 Billion |
| Forecasted Market Value ( USD | $ 234.8 Billion |
| Compound Annual Growth Rate | 13.4% |
| Regions Covered | Global |
| No. of Companies Mentioned | 26 |


