Press release
Australia Data Center Construction Market Projected to Reach USD 2.2 Billion by 2033
The Australia data center construction market was valued at USD 1.2 Billion in 2024 and is projected to reach USD 2.2 Billion by 2033. The market is expected to grow at a CAGR of 6.18% during the forecast period from 2025 to 2033. Growth is driven by advances in digital technologies, AI integration, adoption of modular solutions, and 5G infrastructure deployment, alongside a strong focus on renewable power and sustainable operations within various industry verticals.
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How AI is Reshaping the Future of Australia Data Center Construction Market:
• AI technologies are integral in supporting leading-edge capabilities in facilities such as NEXTDC Limited's D1 Darwin data center, which offers 7MW capacity and enables secure, low-latency cloud access.
• Investments in AI-driven operational efficiency are evident in industry moves like Delta Electronics' installation of 12 prefabricated Power Train Units for hyperscale data centers, significantly reducing deployment time and improving energy use.
• AI accelerates adoption of energy-efficient designs, demonstrated by projects like GreenSquareDCTM's AUD 1 billion green AI data center in Perth coupled with a 300 MW renewable energy farm.
• AI integration enhances edge computing infrastructure, as seen with OVHcloud's water-cooled, high-performance data center in Sydney, enabling advanced cloud services for IoT and 5G applications.
• Strategic acquisitions fueled by AI growth, such as HMC Capital's AUD 2.12 billion purchase of Global Switch Australia, target infrastructure upgrades increasing capacity from 26MW to 88MW, supporting AI's increasing data demands.
• AI-driven market dynamics encourage government policies and collaborations, exemplified by Blackstone Inc.'s AUD 24 billion acquisition of AirTrunk, advancing Asia-Pacific digital infrastructure and sustainable data center development.
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Market Growth Factors
Growth in the data center construction market in Australia is being supported by rising adoption of artificial intelligence and digital solutions. For example, the NEXTDC Limited D1 Darwin data center is designed to accommodate 7 MW loads for advanced AI workloads, as well as enable secure, low-latency cloud access. It is the continuing investment by the country to upgrade their digital infrastructure to meet the increasing demand for IT solutions from particular industries, and the support from government policy and partnership with local government and utilities that drive market growth.
In addition, the market is being driven by the increasing construction of green data centers. One example of a green AI data center is GreenSquareDCTM's 1 billion Australian dollar data center in Perth, Australia, which is powered by renewable energy generated from solar and wind sources. The use of energy-efficient cooling methods including liquid cooling and free cooling in accordance with LEED certification standards, meets the goals of Australia, positioning the facility as a pioneer in green data centers.
The market is driven by growing demand for hyperscale data centers and edge data centers. Hyperscale data centers with systems that deliver highly efficient power and cooling suit computing at high-density and applications for big data analytics. As 5G and the Internet of Things introduce changes, modular data centers gain traction. One example is OVHcloud's data center in Sydney, which uses the latest water-cooling and energy saving technologies to provide real-time applications, low latency, and scalable cloud services for various industries.
Market Segmentation
By Construction Type:
• Electrical Construction
• Mechanical Construction
By Data Center Type:
• Mid-Size Data Centers
• Enterprise Data Centers
• Large Data Centers
By Tier Standards:
• Tier I and II
• Tier III
• Tier IV
By Vertical:
• Public Sector
• Oil and Energy
• Media and Entertainment
• IT and Telecommunication
• Banking, Financial Services and Insurance (BFSI)
• Healthcare
• Retail
• Others
By Region:
• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia
Key Players
• NEXTDC Limited
• Vocus
• HMC Capital
• Global Switch Australia Holdings Pty Limited
• GreenSquareDCTM
• Delta Electronics
• OVHcloud
• Blackstone Inc.
• Canada Pension Plan Investment Board
• Macquarie Asset Management
• Public Sector Pension Investment Board
• Macquarie Data Centers
• FDC Construction
• DCI Data Centers
Recent Developement & News
• June 2025: Macquarie Data Centers commenced construction of the IC3 Super West data center in Sydney with FDC Construction as the main contractor, designed to support the highest-density cloud and AI workloads, including hybrid air and liquid cooling systems. The expansion is expected to increase the IT load capacity to 63 megawatts and create over 1,200 jobs.
• November 2025: DCI Data Centers unveiled a new AUD 70 million high-security data center, ADL02, in Kidman Park, Adelaide, raising the campus's IT load capacity to 5.4MW and offering 24/7 on-site security with access to 100% renewable power, enhancing South Australia's digital infrastructure.
• September 2025: Blackstone Inc., partnering with the Canada Pension Plan Investment Board, acquired AirTrunk from Macquarie Asset Management and the Public Sector Pension Investment Board in a transaction valued over AUD 24 billion, strengthening Asia-Pacific digital infrastructure investments amid rising AI and digitization trends.
If you require any specific information that is not covered currently within the scope of the report, we will provide the same as a part of the customization.
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Contact Us
IMARC Group,
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Email: sales@imarcgroup.com,
Tel No: (D) +91 120 433 0800,
United States: +1-201971-6302
About Us
IMARC Group is a global management consulting firm that helps the world's most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
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