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Next-Generation Data Center Forecasts
Market Data | 03 Apr 2024 | MD-NGDC-24
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Data centers are getting larger to accommodate growing enterprise reliance on the cloud
The chart above forecasts the number of colocation Data Centers (DCs) worldwide by size.
The number of next-generation colocation Data Centers (DCs) is expected to reach 7,640 sites by 2030, with a Compound Annual Growth Rate (CAGR) of 6.8%. Key growth drivers for next-generation DCs include increasing demand for mega and large DCs supporting Artificial Intelligence (AI)/Machine Learning (ML) workloads, including generative AI. By 2030, 1,387 mega next-generation DC sites will be built, representing a CAGR of 13.7%, while 1,879 large next-generation DC sites will be built by the same year, at a CAGR of 15.5%.
- Medium DCs account for close to 40% share of total DCs worldwide, growing to 3,018 sites by 2030. Large DCs are the second largest with a 25% share by 2030, followed by mega DCs with an 18% share. Small and micro DCs round up the list with 16% and 1% respectively.
- However, in terms of CAGR, large and mega DCs are the fastest-growing DC sizes with 15.5% and 13.7% growth by 2030. This reflects the demand for more server, storage, and networking hardware that is needed to fulfill the requirements of generative AI, machine learning training/ inference solutions, and low-latency networks.
- At the other end of the spectrum, small and micro DCs will experience a decrease in CAGR by 2030. This is because as cloud solutions mature, the requirements that are required from DC infrastructure can no longer be supported by small and micro DCs.