Mexico Data Center Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029

Mexico Data Center Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029

The Mexico Data Center Market is projected to register a CAGR of 7.13%

Key Highlights

• IT Load Capacity: The IT load capacity of the data center market will have steady growth and is expected to reach 480.3 MW by 2029.
• Raised Floor Space: The total raised floor area of the country is expected to increase to 2.4 million sq. ft by 2029.
• Installed Racks: The number of installed racks is expected to reach 120,094 units by 2029. Querétaro is expected to house the maximum number of racks by 2029.
• DC Facilities: There are 18 colocation data center facilities in Mexico. Querétaro and Guadalajara are the major hotspots in the country. The increasing adoption of the cloud by most businesses is among the factors boosting the number of data centers in the nation.
• Leading Market Player: Telmex (América Móvil) has five data center facilities in Mexico. These facilities have a 477,744 sq. ft net rentable capacity and an operating capacity of 144.02 MW IT load capacity, with more than 23,887 units of racks.

Mexico Data Center Market Trends

Tier 4 is the largest Tier Type

• The tier 4 data center segment is expected to reach an IT load capacity of 204.30 MW in 2023. It is further projected to exhibit a CAGR of 9.53%, surpassing an IT load capacity of 352.76 MW by 2029.
• While tier 1 and 2 facilities must be increasingly equipped to meet the growing demand for uninterrupted services from businesses, they are losing favor. Due to the increase of business continuity services available around the clock, tier 3 and 4 data centers have gained popularity. This is due to the increasing number of conglomerates. A tier 3 data center is equipped with several channels for electricity and cooling, as well as methods for updating and maintaining it without bringing it offline. It has an annual downtime of 1.6 hours and an expected uptime of 99.982%. Because of the significantly better redundancy protections provided, small and medium-sized businesses typically choose to employ at least a Tier III-rated system.
• A tier 4 data center includes redundancy for every component and is fault-resistant. Clients should not face more than 26.3 minutes of downtime a year, according to a level 4 facility. Government organizations and major corporations with mission-critical servers and high customer or business demands typically use a tier 4 facility. The growth of data centers in Mexico with the best infrastructure certifications is facilitated by the entry of significant international corporations and an increase in the country's enterprises. Throughout the forecast period, the market is anticipated to demonstrate potential growth, which may lead to hyperscale colocation adoption by significant end users in the cloud and telecom industries. The popularity of computer solutions in Mexico is a key encouraging element for the development of tier 4 facilities.

Mexico Data Center Industry Overview

The Mexico Data Center Market is fairly consolidated, with the top five companies occupying 85.90%. The major players in this market are Ascenty (Digital Realty Trust, Inc.), Equinix, Inc., KIO Networks, NABIAX and Telmex (American Movil) (sorted alphabetically).

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