The global data centre industry is undergoing a transformative period of rapid growth, propelled by the accelerating adoption of artificial intelligence (AI), cloud computing, and the escalating demand for robust data storage and processing capabilities.
Recent forecasts by Global Market Insights project that the data center services market — encompassing installation, integration, training, consulting, maintenance, and support — will soar from $15 billion in 2022 to $70 billion by 2032 with a compound annual growth rate (CAGR) of 15%.
Small data centres led global demand in 2022, accounting for 42.5% of the market share, followed by large facilities at 38.1% and medium-sized centers at 19.5%.
The distribution underscores the growing momentum behind decentralised computing, edge deployments, and the adoption of private cloud infrastructure in response to surging data volumes.
Cloud-based data centre services continue to gain traction, with a projected CAGR of 17.7% through 2030, according to Yahoo Finance, as enterprises prioritize scalable and agile infrastructure models.
Simultaneously, the AI-specific data centre market is expected to skyrocket from $15.13 billion in 2024 to $94.03 billion by 2032 — an astounding CAGR of 25.7%, per Fortune Business Insights.
Supporting this demand is a robust expansion in data centre infrastructure, forecasted to grow from $273.88 billion in 2024 to $549.99 billion by 2032. The construction market is following suit, projected to nearly double from $212.6 billion in 2023 to $416.4 billion within the same timeframe.
Energy consumption remains a critical issue. Data centres consumed 2.5% of all electricity in the United States in 2022, a figure that could rise to 7.5% by 2030, according to the Lawrence Berkeley National Laboratory’s 2024 Energy Usage Report.
Regionally, North America continues to lead, representing 38.83% of the global data centre market in 2024. The region is projected to grow from $114.12 billion in 2023 to $201.8 billion by 2032.
In the U.S. specifically, the market is expected to expand at a CAGR of 10.7% through 2030, driven by AI integration, cloud migration, and advanced analytics adoption.
India is also emerging as a major player, with national data center capacity expected to nearly double from 950 MW in 2024 to 1,800 MW by 2026. This growth is largely attributed to ongoing digitization efforts and increased regulatory emphasis on data localization.
The modular data center segment — valued for its scalability and rapid deployment capabilities — is gaining significant momentum. Market size is projected to grow from $25.3 billion in 2023 to $111.3 billion by 2032, reflecting a CAGR of nearly 18%.
Meanwhile, colocation markets in North America are tightening. In 2024, vacancy rates hit a record low of 2.6%, while monthly asking rates for 250–500 kW requirements climbed 12.6% year-over-year, reaching $184.06 per kilowatt.
The sector’s rapid expansion is driven by an overwhelming and accelerating demand for data from governments and businesses.
According to analysis by Whiteshield and Khazna, data creation and consumption are soaring, with more than 180 zettabytes projected to be generated in 2025. Meanwhile, 402.74 million terabytes of data is created every day according to latest statistics.
As of 2025, (current day) the global data centre market is estimated to be worth approximately $324 billion reflecting the critical role data centres play
Industry analysts agree: the coming decade will be defined by smart infrastructure, sustainability challenges, and the race to build faster, more efficient, and greener data centers.
