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Leading Companies Reinforce Their Roles in the Data Center Construction Market
Data Center Construction Market
Projected Market Size and Growth Trajectory in the Data Center Construction Market
The data center construction market is forecasted to experience substantial growth in the coming years, reaching a valuation of $382.64 billion by 2030. This expansion corresponds to a compound annual growth rate (CAGR) of 6.8%. Contributing factors include rising investments in hyperscale data centers, surging demand for edge computing facilities, an increased emphasis on sustainable cooling technologies, the proliferation of AI-driven workloads, and expanding use of modular and prefabricated data center designs. Throughout the forecast period, key trends such as the accelerated development of hyperscale centers, growing popularity of edge data centers, wider adoption of modular construction methods, focus on energy-efficient cooling solutions, and deployment of high-density server infrastructure will continue to drive market momentum.
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Leading Companies Powering the Data Center Construction Industry
The competitive landscape of the data center construction market features a mix of technology giants and specialized construction firms. Notable players include Google LLC, Amazon Web Services Inc, Microsoft Azure, The International Business Machines Corporation, Schneider Electric SE, Meta Platforms Inc., NTT Ltd., Turner Construction Co, STO Building Group Inc., Equinix Inc., DPR Construction Inc., Iron Mountain Inc., Digital Realty Trust Inc., Stantec Inc., Zayo Group Holdings Inc., Gensler, CyrusOne LLC, Hensel Phelps Construction Co., Cyxtera Technologies LLC, Fortis Construction Inc, QTS Realty Trust Inc., HITT Contracting Inc, TierPoint LLC, Sabey Data Center Properties LLC, Flexential Corp., Holder Construction Group LLC, Cologix Inc., and Alfa Tech Consulting Engineers Inc.
A significant industry move occurred in August 2024 when Turner Construction, a US-based construction services company, acquired Dornan Engineering Group. This strategic acquisition strengthens Turner's footprint in Europe and broadens its service offerings. Dornan, based in Ireland, specializes in data center construction, and the merger is expected to open up more opportunities to serve clients across the continent while enhancing Turner's capabilities and client relationships.
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Emerging Innovations and Technological Trends in Data Center Construction
Industry leaders are increasingly focusing on advancing their product technologies to capture larger market shares. One such innovation is the Universal Data Hall Design (UDHD), which emphasizes flexibility and scalability while incorporating common colocation components. UDHD features a slab floor design combined with perimeter cooling, making it especially suitable for large-scale, high-performance computing (HPC) deployments. For example, in August 2023, DataBank Holdings Ltd., a US-based information management services provider, introduced UDHD as a novel approach to constructing high-density data centers tailored to HPC needs. This design gives enterprises the adaptability required to support various workload deployments efficiently.
Breakdown of Market Segments and Forecast by Data Center Construction Type
The data center construction market is categorized into distinct segments to better understand opportunities and demands. These include:
1) Data Center Type:
- Small-Scale Data Centers
- Medium-Scale Data Centers
- Large-Scale Data Centers
2) Infrastructure Type:
- Electrical Infrastructure
- Networking Infrastructure
- Other Infrastructures
3) Power Distribution and Cooling Infrastructure:
- Power Distribution
- Cooling
4) End-Use Sectors:
- Banking, Financial Services, and Insurance (BFSI)
- Energy
- Government
- Healare
- Manufacturing
- IT and Telecom
- Other End-Uses
Further subdivisions within data center types specify small-scale centers as edge and micro data centers; medium-scale as colocation and hybrid data centers; and large-scale as enterprise and hyperscale data centers. This segmentation framework provides a clear view of the market's diverse structural makeup and emerging areas of investment.
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