Global Data Center Construction Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Data Center Construction Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

A data center is a facility where organization’s IT equipment (e.g. servers) are kept. It is a secure location where the most critical operations take place which affect the systems and networks of an organization. Data center construction is the collective set of processes used to physically construct a data center facility. It combines construction standards data center operational environment requirements.

Market Overview:

The latest research study on the global Data Center Construction market finds that the global Data Center Construction market reached a value of USD 53232.0 million in 2022. It’s expected that the market will achieve USD 111183.87 million by 2028, exhibiting a CAGR of 13.06% during the forecast period.

Driving strong demand in the data center industry are providers offering essential services, primarily including video conferencing applications (such as Zoom), cloud collaboration platforms, social media, education portals, VPN specialists, and providers of gaming and streaming media. As of the end of December 2019, the number of daily meeting participants using Zoom topped 10 million. In April 2020, Zoom reached over 300 million daily meeting participants.

Digital services are quickly becoming the most important tool for continuing operations during a mass lockdown. A complicating factor when projecting future demand is the lack of a clear event horizon for a COVID pandemic, the need to design the IT infrastructure for a world where COVID could rebound, and the need for continuity plans to account for future pandemics.

Data center construction is closely tied to the demand of the data center, and while much of the growth in demand is being led by cloud platforms and SaaS providers, pandemics may drive structural IT change in organizations that are deferring modernization. The data center industry will see strong demand for web services to support the shift to digital platforms.

Impact of the epidemic on ongoing projects

The lockdowns and other challenges associated with the coronavirus could hinder new data center building projects. Facebook suspended construction of a new $750 million data center in Alabama and an expansion of its data center in Ireland due to the coronavirus pandemic. Protecting the health of the workforce is a top priority for businesses and governments. For engineering service providers in the hardest hit areas, a pause in data center construction may remain necessary for a long time.

Region Overview:

In 2022, the share of the Data Center Construction market in North America stood at 37.06%.

Company Overview:

Holder Construction Company is one of the major players operating in the Data Center Construction market, holding a share of 4.21% in 2023.

Holder Construction Company

Holder Construction's mission to provide clients with quality construction services has resulted in over 90% repeat client business. Holder is a national commercial construction services firm respected as a leader in “team approach” project delivery. It consistently ranks as one of the Nation’s top 25 contractors.

Whiting-Turner Contracting Co

Whiting-Turner provides construction management, general contracting, design-build and integrated project delivery services on projects small and large for a diverse group of customers.

Segmentation Overview:

By type, General Construction segment accounted for the largest share of market in 2022.

Electrical Construction

Electrical construction provides system configurations for the electrical system.

Mechanical Construction

Mechanical construction mainly includes the construction of plumbing, heating, ventilation and air conditioning systems to ensure the proper functioning of critical data centers and modern IT facilities.

General Construction

General construction provides everything from consulting and planning to engineering, construction, project management, preventative maintenance and more.

Application Overview:

By application, the IT & Telecommunications segment occupied the biggest share from 2018 to 2022.

Key Companies in the global Data Center Construction market covered in Chapter 3:

Walsh Construction
Structure Tone
JE Dunn Construction
DPR Construction
Fortis Construction
Balfour Beatty
Turner Construction Co.
Holder Construction Company
Clune Construction
Rogers-O'Brien Construction
Gilbane
Mortenson Construction
HITT Contracting
Hoffman Construction
Hensel Phelps
Brasfield & Gorrie
Whiting-Turner Contracting Co

In Chapter 4 and Chapter 14.2, on the basis of types, the Data Center Construction market from 2018 to 2029 is primarily split into:

Electrical Construction
Mechanical Construction
General Construction

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Data Center Construction market from 2018 to 2029 covers:

Finance
Healthcare
IT & Telecommunications
Government
Others

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)