Demands – and opportunities – for a new digital age
The 2023 data centre sector has seen two opposing trends. Demand is at an all-time high, but hurdles to delivery are getting higher too.
In our latest global data centre survey, a resounding 83 percent of respondents said that data centre construction has struggled to meet industry demand in 2023. Appetite for digital capacity continues to accelerate both at a consumer and business level in all markets. These established trends are now being turbo-charged by new technologies too – most prominently from artificial intelligence (AI). According to the World Economic Forum, AI, in all its applications, is predicted to contribute US$15.7tn to the global economy by 2030 – rising from $2tn today. AI and machine learning platforms require an exponential rise in computing capacity, pushing yet further demand – and opportunity – into the data centre sector. 88 percent report demand for DC capacity for artificial intelligence/machine learning projects is increasing rapidly.
of respondents believe that their sector is recession-proof.
AI is resulting in higher power density requirements. Omdia’s 2022 Data Centre Thermal Management Market Analysis report suggests that power demands for racks are soon expected to increase almost ten-fold to 50kW.
It is therefore not surprising that 79 percent of respondents believe that the data centre sector is recession-proof, an increase on last year of eight percent. In our report this year, we explore how current trends have impacted upon data centre construction costs in 46 markets worldwide. We also look at the key headwinds and drivers that will shape future outlook for the sector. We hope you find our research insightful. If you’d like to discuss anything further, please get in touch.
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