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Artificial Intelligence Data Center Market to Hit $152.91B by 2031 Driven by Hyperscale Expansion & Liquid Cooling Adoption
AI Data Center Market Size & Trends | Mordor Intelligence
Artificial Intelligence Data Center Market Overview and Introduction
According to Mordor Intelligence, the artificial intelligence data center market size is expected to grow from USD 39.49 billion in 2025 to USD 49.49 billion in 2026 and is forecast to reach USD 152.91 billion by 2031, registering a CAGR of 25.32% during the forecast period. This rapid expansion reflects the growing reliance on specialized infrastructure designed to support artificial intelligence training and inference workloads. Organizations across multiple sectors are transitioning from general-purpose computing systems to accelerator-based environments that deliver higher performance, improved scalability, and optimized efficiency for AI operations.
The AI data center industry is experiencing increased demand from hyperscale cloud providers, enterprises, telecom operators, and digital platforms seeking reliable and high-performance environments for AI applications. These facilities are built with dedicated accelerator clusters, advanced cooling systems, and resilient power architecture to support complex computing needs. As artificial intelligence continues to become central to business processes, the artificial intelligence data center market forecast highlights sustained investment in capacity expansion, infrastructure optimization, and operational efficiency.
Report overview: https://www.mordorintelligence.com/industry-reports/artificial-intelligence-ai-data-center-market?utm_source=openpr
AI Data Center Market Key Trends
Rising Hyperscale Cloud Integration
Hyperscale cloud providers play a critical role in AI data center market growth by deploying large-scale facilities capable of supporting high-density accelerator clusters. Cloud platforms are integrating advanced GPUs, specialized chips, and optimized networking systems to enable faster model training and real-time inference. These hyperscale environments allow organizations to access AI computing resources without building their own infrastructure, improving operational flexibility.
Expansion of AI-Optimized Hardware
The transition toward AI-optimized infrastructure is a defining trend in the artificial intelligence data center market. AI workloads require high-performance accelerators, advanced interconnect systems, and specialized storage solutions that differ from traditional data center environments. This shift is increasing demand for hardware components that support higher computing density and faster data processing. Hardware investments are a key contributor to artificial intelligence data center market growth, as organizations deploy dedicated accelerator clusters to support advanced AI applications.
Growing Adoption of Liquid Cooling
Cooling systems play a vital role in maintaining performance and reliability in AI-focused facilities. Traditional air cooling methods are being replaced with advanced liquid cooling technologies designed to manage higher thermal loads. Liquid cooling improves energy efficiency, reduces operational costs, and supports higher rack densities. The artificial intelligence data center market trends indicate increasing adoption of liquid cooling as organizations seek to optimize efficiency and sustainability.
Favorable Government Initiatives
Governments worldwide are promoting the development of energy-efficient and sustainable data centers to support digital transformation. Policies encouraging renewable energy integration, efficient cooling systems, and sustainable infrastructure are influencing the artificial intelligence data center market forecast. These initiatives are helping operators reduce environmental impact while improving operational efficiency.
Check out more details and stay updated with the latest industry trends, including the Japanese version for localized insights: https://www.mordorintelligence.com/ja/industry-reports/artificial-intelligence-ai-data-center-market?utm_source=openpr
Artificial Intelligence Data Center Market Segmentation
By Data Center Type
Cloud Service Providers
Colocation Data Centers
Enterprise / On-Premises / Edge
By Component
Hardware
Power Infrastructure
Cooling Infrastructure
IT Equipment
Racks and Other Hardware
Software
By Technology
Machine Learning
Deep Learning
Natural Language Processing
Computer Vision
By Services
Managed Services
Professional Services
By Tier Standard
Tier III
Tier IV
By End-user Industry
IT and ITES
Internet and Digital Media
Telecom Operators
Banking, Financial Services and Insurance (BFSI)
Healthcare and Life Sciences
Manufacturing and Industrial IoT
Government and Defense
By Geography
North America
United States
Canada
Mexico
South America
Brazil
Argentina
Chile
Rest of South America
Europe
Germany
United Kingdom
France
Italy
Spain
Rest of Europe
Asia-Pacific
China
Japan
South Korea
India
Australia
Singapore
Malaysia
Rest of Asia-Pacific
Middle East and Africa
Middle East
Saudi Arabia
United Arab Emirates
Turkey
Rest of Middle East
Africa
South Africa
Nigeria
Rest of Africa
Explore Our Full Library of Technology, Media and Telecom Research: https://www.mordorintelligence.com/market-analysis/technology-media-and-telecom?utm_source=openpr
AI Data Center Market Key Players
Amazon Web Services Inc.
Microsoft Corporation
Alphabet Inc. (Google Cloud)
NVIDIA Corporation
Meta Platforms Inc.
Conclusion
The artificial intelligence data center market is expected to experience strong expansion as AI adoption continues across industries. Organizations are investing in specialized infrastructure to support AI workloads, improve performance, and enable scalable deployment. The AI intelligence data center market size is increasing as enterprises, cloud providers, and telecom operators deploy AI-optimized environments.
Hyperscale expansion, hardware investments, and advanced cooling systems are strengthening artificial intelligence data center market growth. As AI applications become more widespread, demand for reliable and efficient infrastructure will continue to rise. The AI data center market forecast highlights continued investment in infrastructure development, energy efficiency, and scalable computing environments.
For more insights on AI data center market, please visit the Mordor Intelligence page: https://www.mordorintelligence.com/industry-reports/artificial-intelligence-ai-data-center-market?utm_source=openpr
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About Mordor Intelligence:
Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.
With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.
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