Latin America Data Center Market Size & Share Analysis, Industry Growth Forecast 2031

Within the infrastructure segment, IT infrastructure accounted for the largest share of the Latin America data center market, driven by increasing investments in computing, storage, and networking capabilities. IT infrastructure in data centers primarily comprises servers, storage systems, and network infrastructure solutions, which are essential for supporting growing digital workloads.

The segment has evolved significantly in recent years, driven by the increasing construction of self-built data centers by hyperscale operators, along with expansion initiatives and new facility developments by colocation providers. These investments are further contributing to the continued demand for advanced and scalable IT infrastructure across the region.

By IT infrastructure, the server segment held the largest share of the Latin America data center market, accounting for approximately 56% in 2025, driven by the growing demand for scalable, high-performance, and reliable computing infrastructure. Data centers deploy a range of server configurations, including rack, blade, and tower servers, to support diverse computing requirements and workloads.

Among these, rack and blade servers represent a significant portion of demand, supported by their flexibility and scalability across data center environments. Major vendors, including Cisco Systems, Hewlett Packard Enterprise, Dell Technologies, IBM, Lenovo, and NetApp, supply server infrastructure solutions across the region, further supporting the expansion of the server segment.

Within the electrical infrastructure segment, the generator segment held the largest share of the Latin America data center market, supported by the growing requirement for dependable backup power and continuous facility operations. Although generators contribute to carbon emissions, they remain a critical component of data center infrastructure, particularly during grid outages and power interruptions.

For example, the ODATA (Aligned Data Centers) QR-01 facility in Mexico is equipped with Caterpillar diesel generators, while the Equinix MX2 data center utilizes two 1,939 kW diesel generators to provide support to the main electrical bus.

Within the mechanical infrastructure segment, the cooling system segment accounted for the largest share of the Saudi Arabia data center market in 2025, reflecting the increasing need for effective temperature management and reliable IT equipment performance. Data centers utilize various cooling technologies to maintain suitable operating conditions, including evaporative cooling systems integrated with indoor CRAC units and hybrid solutions combining CRAH units with direct expansion cooling.

For example, the Equinix MX2 data center operates an air-cooled CRAC system with N+2 redundancy and underfloor air distribution, supporting efficient cooling and maintaining operational reliability.

In cooling systems, the CRAC & CRAH units segment held the largest share of the Latin America data center market, supported by the growing need for reliable and efficient temperature control in data center facilities. These systems help maintain optimal operating conditions for IT equipment while providing redundancy to ensure continuous cooling during equipment failures or maintenance.

For instance, the EdgeConneX data center in Buenos Aires features N+1 CRAC units strategically distributed across separate suites to provide dedicated cooling. cooling operations.

Within the cooling technique segment, the air-based cooling segment accounted for the largest share of the Latin America data center market, driven by its extensive use for maintaining efficient and reliable operating temperatures. Air-based cooling technologies include DX-based CRAC units, free cooling solutions, air-cooled chiller systems, and dry coolers, providing operators with flexible options based on facility requirements and environmental conditions.

For example, the Equinix BG2 data center uses a thermal wall system supported by N+2 redundant air-cooled chillers to facilitate indirect free cooling and improve overall cooling efficiency.

In general construction infrastructure, the core & shell development system segment dominated the Latin America data center market in 2025, supported by continued investments in new and expanded data center facilities. Data center construction is generally categorized into greenfield and brownfield development, depending on whether facilities are built on new sites or developed within existing infrastructure.

Building development is typically undertaken by major construction contractors in collaboration with design and infrastructure providers and data center operators, ensuring that facilities meet the required structural, technical, and operational specifications.

By tier standards, the Tier III segment accounted for the largest share of the Latin America data center market in 2025, driven by the increasing demand for highly available, redundant, and reliable data center infrastructure. According to Uptime Institute Tier Certification, the region has more than 200 Tier III-certified data centers, with over 85 facilities located in Brazil, approximately 30 in Chile, and more than 20 facilities each in Mexico and Colombia.

The growing presence of Tier III-certified facilities reflects the increasing emphasis on resilient infrastructure capable of supporting expanding digital workloads and business-critical applications.