Latin America Data Center Market Landscape 2025-2030

THE LATIN AMERICA DATA CENTER MARKET SIZE WITNESSED INVESTMENTS OF USD 7.16 BILLION IN 2024 AND WILL WITNESS INVESTMENTS OF USD 14.30 BILLION BY 2030, GROWING AT A CAGR OF 12.21% DURING THE FORECAST PERIOD.

LATIN AMERICA DATA CENTER REPORT

Latin America Data Center Market Size, Share, & Trends Analysis By, IT Infrastructure, Electrical Infrastructure, Mechanical Infrastructure, and General Construction, Tier Standard (Tier I & II, Tier III, and Tier IV), Geography, Forecast 2025-2030

151 pages

1 region

06 countries

97 company

09 segments

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Latin America Data Center Market Landscape 2025-2030

THE LATIN AMERICA DATA CENTER MARKET SIZE WITNESSED INVESTMENTS OF USD 7.16 BILLION IN 2024 AND WILL WITNESS INVESTMENTS OF USD 14.30 BILLION BY 2030, GROWING AT A CAGR OF 12.21% DURING THE FORECAST PERIOD.

The Latin America Data Center Market Size, Share, & Trends Analysis By

  1. Infrastructure: IT Infrastructure, Electrical Infrastructure, Mechanical Infrastructure, and General Construction
  2. IT Infrastructure: Server Infrastructure, Storage Infrastructure, and Network Infrastructure
  3. Electrical Infrastructure: UPS Systems, Generators, Transfer Switches & Switchgear, PDUs, and Other Electrical Infrastructure
  4. Mechanical Infrastructure: Cooling Systems, Racks, and Other Mechanical Infrastructure
  5. Cooling Systems: CRAC & CRAH Units, Chiller Units, Cooling Towers, Condensers, and Dry Coolers, and Other Cooling Units
  6. Cooling Techniques: Air-based and Liquid-based
  7. General Construction: Core & Shell Development, Installation & Commissioning Services, Engineering & Building Design, Physical Security, Fire Detection & Suppression, and DCIM
  8. Tier Standard: Tier I & II, Tier III, and Tier IV
  9. Geography: Brazil, Mexico, Chile, Colombia, Argentina, and Rest of Latin America

Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast 2025–2030.

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LATIN AMERICA DATA CENTER MARKET REPORT SCOPE

REPORT ATTRIBUTEDETAILS
MARKET SIZE – INVESTMENT (2030)USD 14.30 Billion
MARKET SIZE – INVESTMENT (2024)USD 7.16 Billion
CAGR - INVESTMENT (2024-2030)12.21%
MARKET SIZE - AREA (2030)MARKET SIZE - AREA (2030)
POWER CAPACITY (2030)450 MW
HISTORIC YEAR2021-2023
BASE YEAR2024
FORECAST YEAR2025-2030
SEGMENTS BYInfrastructure, IT Infrastructure, Electrical Infrastructure, Mechanical Infrastructure, Cooling Systems, Cooling Techniques, General Construction, Tier Standard, Geography
GEOGRAPHIC ANALYSISBrazil, Mexico, Chile, Colombia, Argentina, and Rest of Latin America
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LATIN AMERICA DATA CENTER MARKET SIZE & INSIGHTS

The Latin America data center market size will witness investments of USD 14.30 billion by 2030, growing at a CAGR of 12.21% during the forecast period. The market has been growing significantly, with the major contributions coming from countries such as Brazil, Mexico, Colombia, and Chile. In 2024, the market witnessed cloud data center investments from major cloud operators such as Microsoft and Google. In 2024, Brazil led the Latin America data center market by investments, followed by Mexico, Chile, and Colombia.

KEY TRENDS

Shift toward Sustainable Data Center Construction with Renewable Energy Integration

  1. Investments in renewable energy partnerships and Power Purchase Agreements (PPAs) have become a trend among operators in the Latin America data center market. For instance, investors are implementing innovative approaches, such as solar farms and wind power contracts, to secure a sustainable energy supply while reducing carbon footprints.
  2. In October 2024, ODATA (Aligned Data Centers) signed a supply agreement with Casa dos Ventos in Brazil to expand its sustainable data center footprint within Latin America.
  3. Scala Data Centers, in collaboration with Serena, announced a renewable energy supply to meet the demands of hyperscale data centers which will be sourced from Bahia, Brazil, with a capacity of 393 MW. It will begin in 2025.
  4. International hyperscalers like Google, Microsoft, etc are also involved in the sustainability program in Latin America. For instance, in September 2024, Google signed a carbon removal agreement with Mombak in Brazil to purchase 50,000 tons of carbon removal credits.

Advancement of AI & Automated Technologies In Data Center Operations.

  1. Latin American countries, including Brazil, Chile, Colombia, Mexico, Argentina, and Uruguay have established national AI strategies and policies to foster AI development and adoption. These policies prioritize ethical AI use, research, education, and collaboration with private sectors. It also emphasizes the importance of inclusive growth, sustainable development, and societal well-being. For example, Brazil's AI strategy promotes human-centered values and fairness, while Colombia’s strategy tackles societal and environmental challenges.
  2. The region is attracting significant investments from both local and international players to build and upgrade AI infrastructure. For instance, in September 2024, Microsoft announced its plan to invest USD 2.70 billion in Brazil and USD 1.3 billion in Mexico to expand and upgrade AI infrastructure.

SEGMENTATION INSIGHTS

  1. In the Latin America data center market, the key providers of UPS systems include Schneider Electric, ABB, Rolls Royce, Delta Electronics, Vertiv, and Eaton. Most of the data centers in Latin America are equipped with the N+1 redundant setup.
  2. Most of the data center service providers involved in developing new facilities will be under zero water usage. Due to the scarcity of water availability in the region, most of the data center facilities are moving toward adopting efficient air-based cooling systems. For instance, Google was originally planning to use 7.6 million liters of potable water every day for cooling in Uruguay; however, the excessive use of water compelled Google to revise its plan and switch to an air-based cooling system.
  3. Hyperscale and mega data centers are estimated to use 2N CRAC or CRAH units, whereas smaller data centers choose N+N systems.
  4. Tier III data center facilities make up a sizable portion of the emerging projects in the Latin America data center market.

LATIN AMERICA DATA CENTER MARKET’S GEOGRAPHICAL ANALYSIS

  1. The data center markets in several Latin American countries are poised for significant growth, driven by a combination of technology advancements, increased digitalization, and strategic government initiatives.
  2. Brazil has emerged as a leading destination in the Latin America data center market, representing over 41% of the region's total market investments. It is a developed and established market, with São Paulo being the top data center destination in the country.
  3. Mexico is the second-largest country in Latin America, after Brazil, to host major global cloud operators like Google, AWS, and Microsoft. It is one of the fastest-growing digital infrastructure hubs in the region, with Querétaro being a key city.
  4. Chile is a hub for renewable energy sources; data center companies are trying to maximize their sustainable practices and reduce carbon footprint. There are more than 30 existing data centers in Santiago.
  5. Colombia is one of the growing digital infrastructure hubs in Latin America. The country is actively fostering the integration of AI through government initiatives and investments from both local and international companies.
  6. Argentina, with seven operational submarine cables, is becoming one of the best-connected countries in Latin America for data infrastructure. The most prominent location is Buenos Aeries.
  7. Other Latin American countries, such as Peru, Uruguay, and Panama, are also witnessing growth in digital infrastructure. They are focusing on expanding broadband access, investing in tech infrastructure, and improving connectivity.

VENDOR LANDSCAPE

  1. The Latin America data center market has the presence of IT infrastructure providers such as Arista Networks, Cisco Systems, Dell Technologies, Hewlett Packard Enterprise, Huawei Technologies, NetApp, Oracle, Pure Storage, and others that are driving the availability of advanced IT infrastructure in the market.
  2. The Latin America data center market has a presence of several regional and global contractors and subcontractors, such as AECOM, Afonso França Engenharia, Cundall, Constructora Sudamericana, Fluor Corporation, Gensler, Jacobs, Syska Hennessy Group, The Weitz Company, Turner Construction, Turner & Townsend and others.
  3. Some of the leading colocation providers in the Latin America data center market are Ascenty (Digital Realty), ODATA (Aligned Data Centers), Scala Data Centers, Equinix, Elea Data Centers, KIO Networks, EdgeConneX, Cirion Technologies, Tecto Data Centers (V.tal), and others.
  4. Several hyperscale operators such as Amazon Web Services, Microsoft, and Google are involved in the development of self-built data center facilities across the region. For instance, Amazon Web Services received approval for data center development across Chile.
  5. In August 2024, Google started the construction of its new data center facility in Canelones, Uruguay with an investment of around USD 850 million. It will be the company’s second data center in the Latin America region after one operational data center campus in Quilicura, Chile.
  6. Several new players, including companies like Ada Infrastructure, CloudHQ, Layer 9 Data Centers, MDC Data Centers, Surfix Data Center, and 247 Data Centers have recently announced plans to enter the Latin America data center market, capitalizing on the region’s growing demand for digital infrastructure and cloud services.

SNAPSHOT

The Latin America data center market by investment is projected to surpass USD 14.30 billion by 2030, growing at a CAGR of 12.21% from 2024 to 2030.

The following factors are likely to contribute to the growth of the Latin America data center market during the forecast period:

  1. Increase in Adoption of Cloud Services in Latin America
  2. Rising Data Center Investments and Activities
  3. Enhancement In Submarine & Inland Connectivity
  4. Government Initiatives and Incentives Boosting Data Center Investments

Base Year: 2024

Forecast Year: 2025-2030

The report considers the present scenario of the Latin America data center market and its market dynamics for 2025−2030. It covers a detailed overview of several market growth enablers, restraints, and trends. The study includes the demand and supply aspects of the industry.

Segmentation by Infrastructure

  1. IT Infrastructure
  2. Electrical Infrastructure
  3. Mechanical Infrastructure
  4. General Construction

Segmentation by IT Infrastructure

  1. Server Infrastructure
  2. Storage Infrastructure
  3. Network Infrastructure

Segmentation by Electrical Infrastructure

  1. UPS Systems
  2. Generators
  3. Transfer Switches & Switchgear
  4. PDUs
  5. Other Electrical Infrastructure

Segmentation by Mechanical Infrastructure

  1. Cooling Systems
  2. Racks
  3. Other Mechanical Infrastructure

Segmentation by Cooling Systems

  1. CRAC & CRAH Units
  2. Chiller Units
  3. Cooling Towers, Condensers, and Dry Coolers
  4. Other Cooling Units

Segmentation by Cooling Techniques

  1. Air-based
  2. Liquid-based

Segmentation by General Construction

  1. Core & Shell Development
  2. Installation & Commissioning Services
  3. Engineering & Building Design
  4. Physical Security
  5. Fire Detection & Suppression
  6. DCIM

Segmentation by Tier Standard

  1. Tier I & II
  2. Tier III
  3. Tier IV

Segmentation by Geography

  1. Latin America
  2. Brazil
  3. Mexico
  4. Chile
  5. Colombia
  6. Argentina
  7. Rest of Latin America

VENDOR LANDSCAPE

IT Infrastructure Providers 

  1. Arista Networks
  2. Business Overview
  3. Product Offerings
  4. Broadcom
  5. Cisco Systems
  6. Dell Technologies
  7. Hewlett Packard Enterprise (HPE)
  8. Huawei
  9. IBM
  10. Lenovo
  11. NetApp
  12. Oracle
  13. Pure Storage 
  14. Super Micro Computer 

Key Data Center Support Infrastructure Providers 

  1. ABB
  2. Business Overview
  3. Product Offerings
  4. Alfa Laval
  5. Assa Abloy
  6. Axis Communications
  7. Bosch Security Systems (Robert Bosch)
  8. Caterpillar
  9. Cummins
  10. Daikin Applied
  11. Delta Electronics
  12. Eaton
  13. Honeywell
  14. Johnson Controls
  15. Legrand
  16. Mitsubishi Electric
  17. Munters 
  18. Panduit
  19. Piller Power Systems
  20. Rolls-Royce
  21. Schneider Electric
  22. Siemens
  23. STULZ
  24. Vertiv

Key Data Center Contractors 

  1. AECOM
  2. Business Overview
  3. Service Offerings
  4. Afonso França Engenharia
  5. Constructora Sudamericana
  6. Cundall
  7. DLR Group
  8. Fluor Corporation
  9. Gensler
  10. Grupo PML
  11. Hyphen
  12. Holder Construction
  13. HDOS
  14. Jacobs 
  15. KMD Architects
  16. Mendes Holler 
  17. Modular Data Centers 
  18. PQC
  19. Quark
  20. Racional Engenharia
  21. Soben 
  22. Syska Hennessey Group
  23. The Weitz Company 
  24. Turner Construction
  25. Turner & Townsend
  26. Zeittec

Data Center Investors

  1. AWS
  2. Business Overview
  3. Service Offerings
  4. Actis (NextStream)
  5. Ascenty
  6. Angola Cables 
  7. Ava Telecom
  8. Blue NAP Americas
  9. Cirion Technologies 
  10. Claro
  11. DHAmericas 
  12. Digicel 
  13. EdgeConneX
  14. Elea Data Centers 
  15. Equinix 
  16. EVEO
  17. Google 
  18. Gtd
  19. HostDime
  20. InterNexa
  21. IPXON Networks
  22. KIO Networks
  23. Mexico Telecom Partners
  24. Microsoft 
  25. Millicom (Tigo)
  26. ODATA (Aligned Data Centers)
  27. OneX Data Center
  28. Oxygen 
  29. Quântico Data Center
  30. Scala Data Centers
  31. SONDA
  32. Takoda Data Centers
  33. Telecom Italia Sparkle
  34. Tecto Data Centers
  35. Win Empresas 

New Entrants

  1. 247 Data Centers 
  2. Business Overview 
  3. Service Offerings 
  4. Ada Infrastructure 
  5. CloudHQ
  6. Layer 9 Data Centers 
  7. MDC Data Centers 
  8. Surfix Data Center

LATIN AMERICA DATA CENTER MARKET FAQ's

How big is the Latin America data center market?

The Latin America data center market size was valued at USD 7.16 billion in 2024 and is expected to reach USD 14.30 billion by 2030.

What is the growth rate of the Latin America data center market?

The Latin America data center market share by investment is growing at a CAGR of 12.21% during the forecast period.

What is the estimated market size in terms of area in the Latin America data center market by 2030?

Regarding area, the Latin America data center market is expected to reach 1,888 thousand square feet by 2030.

How much MW of power capacity is expected to reach the Latin America data center market by 2030?

In the Latin America data center market, power capacity is expected to reach 450 MW by 2030.

What are the key trends in the Latin America data center market?

Some of the key trends in the Latin America data center market include the advancement of AI & automated technologies in data center operations, a shift toward edge computing & localized data centers with 5G technologies, a shift toward sustainable data center construction with renewable energy integration, and rise in digital economy.

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For more details, please reach us at [email protected]

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Frequently Asked Questions

How big is the Latin America data center market?

The Latin America data center market size was valued at USD 7.16 billion in 2024 and is expected to reach USD 14.30 billion by 2030.

What is the growth rate of the Latin America data center market?

The Latin America data center market share by investment is growing at a CAGR of 12.21% during the forecast period.

What is the estimated market size in terms of area in the Latin America data center market by 2030?

Regarding area, the Latin America data center market is expected to reach 1,888 thousand square feet by 2030.

How much MW of power capacity is expected to reach the Latin America data center market by 2030?

In the Latin America data center market, power capacity is expected to reach 450 MW by 2030.

What are the key trends in the Latin America data center market?

Some of the key trends in the Latin America data center market include the advancement of AI & automated technologies in data center operations, a shift toward edge computing & localized data centers with 5G technologies, a shift toward sustainable data center construction with renewable energy integration, and rise in digital economy.