Latest News- Data Center Construction Market in US: Enterprise is expected to lead the Application segment during 2025-2029

The Data Center Construction Market in US is being driven by Increasing number of data centers

The Data Center Construction Market in US is expected to grow at a CAGR of 10.8% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 15.02 billion. In the business world, there is a heightened focus on the environmental impact of data centers, specifically concerning energy consumption and carbon emissions. Companies and consumers are prioritizing sustainability and seeking eco-friendly alternatives. Many organizations have established ambitious sustainability goals, such as carbon neutrality or the transition to 100% renewable energy. Data centers, as substantial energy consumers, are essential in achieving these objectives. For instance, in August 2023, Bitcoin mining company Genesis Digital Assets (GDA) expanded into South Carolina with new eco-friendly data centers. These data centers align with corporate sustainability strategies and assist organizations in meeting their environmental targets. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Application
  • Enterprise
  • Cloud
  • Colocation
  • Hyperscale
• End-user
  • IT and telecom
  • BFSI
  • Government and defense
  • Others
• Infrastructure
  • Electrical Infrastructure
  • Mechanical Infrastructure
  • Networking Infrastructure
  • Power Distribution & Cooling Infrastructure
• Geography
  • US

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Increasing number of data centers
• Increasing merger and acquisition among vendors
• Digital transformation of business surging demand for data centers

However, the market also witnesses some limitations, which are as follows:

• Cybersecurity issues associated with data centers
• High initial investment required for data center construction
• Complex regulatory environment for data centers

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Market Scope in Data Center Construction Market in US Research Report

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Research Analysis Overview

The Data Center Construction Market in the US is witnessing significant growth, driven by increasing critical loads and power densities. Heat load and cooling capacity are key considerations, with airflow management crucial for maintaining high availability and fault tolerance. Data center surveillance and innovation are essential for ensuring security and efficiency, shaping the future of this vital industry.

Market Research Overview

The Data Center Construction Market in the US is a significant segment of the global IT infrastructure services sector, encompassing server racks, cooling systems, precision cooling, HVAC systems, and data center security. The market's expansion is driven by the growing demand for advanced IT solutions, particularly in light of increasing government investments in modernizing IT infrastructure. As government agencies face a shortage of IT expertise, they are turning to IT consulting and services companies for assistance. This trend, in turn, is fueling the growth of the data center construction market in the US. Additionally, the adoption of cloud computing and the rise of the Internet of Things (IoT) are creating new opportunities for data center expansion and upgrades. Technavio forecasts that this market will grow steadily, driven by the need for more efficient and secure data center solutions.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
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