New Zealand Data Center Market - Investment Analysis & Growth Opportunities 2025-2030

NEW ZEALAND DATA CENTER MARKET SIZE & SHARE

The New Zealand data center market size will witness investments of USD 1.44 billion by 2030, growing at a CAGR of 10.02% during the forecast period.

Auckland, a primary data center hub in New Zealand, is experiencing a surge in data centers, aiming at the expansion of cloud service providers in the Oceania region. The reliance on digital infrastructure is growing, attracting US cloud service providers. The government is actively supporting digital growth by implementing tax incentives and simplified permit processes for data centers, creating a favorable environment for the booming digital economy.

The New Zealand data center market is on the path of becoming a major hub, driven by the increasing demand for cloud services, digital transformation initiatives, and AI-driven workloads. Furthermore, the New Zealand Overseas Investment Office (OIO) plays a pivotal role in regulating and facilitating foreign investments in the country, including data centers. Its primary function is to assess and grant consent for overseas investments involving New Zealand assets, such as significant land acquisitions and substantial business assets.

New Zealand’s cloud-first policy is part of the broader New Zealand 4.0 initiative, aimed at transforming the country into a value-based, innovation-driven economy. This policy mandates that government agencies prioritize cloud services for their IT infrastructure requirements.

KEY HIGHLIGHTS

1. As AI technology evolves, the demand for robust data infrastructure is intensifying, with New Zealand strategically preparing to serve this growing market. With increased investments in technology and infrastructure, the country can attract businesses looking for reliable data storage and processing solutions and support the New Zealand data center market growth.
2. According to Turner & Townsend’s Data Center Cost Index for 2024, the construction cost of data centers in Auckland, New Zealand was approximately $12.00 per watt. The cost is expected to increase year over year due to several factors, including supply chain issues, inflation, and interest rates.
3. According to our estimates, the average occupancy rate of third-party data center facilities in New Zealand as of 2024 was more than 89%. This rate is anticipated to grow significantly, possibly surpassing 95% by 2030. This upward trend can be attributed to the accelerating pace of digital transformation and substantial investments in artificial intelligence throughout the country.
4. Currently, New Zealand has seven operational submarine cables and is witnessing investment in three additional submarine cables, which are expected to become operational by 2026–2027. Multiple submarine cables enable high-speed data transmission, decrease latency, and meet the increasing demand for broadband and cloud services, which are essential for New Zealand’s digital economy.

WHY SHOULD YOU BUY THIS RESEARCH?

1. Market size available in the investment area, power capacity, and New Zealand colocation market revenue.
2. An assessment of the data center investment in New Zealand by colocation, hyperscale, and enterprise operators.
3. The data center investments in the area (square feet) and power capacity (MW) across cities in the country.
4. A detailed study of the existing New Zealand data center market landscape, an in-depth market analysis, and insightful predictions about the New Zealand data center market size during the forecast period.
5. Snapshot of existing and upcoming third-party data center facilities in New Zealand
6. Facilities Covered (Existing): 33
7. Facilities Identified (Upcoming): 7
8. Coverage: 5+ Cities
9. Existing vs. Upcoming (Data Center Area)
10. Existing vs. Upcoming (IT Load Capacity)
11. Data center colocation market in New Zealand
12. Colocation Market Revenue & Forecast (2021-2030)
13. Retail vs Wholesale Colocation Revenue (2021-2030)
14. Retail Colocation Pricing
15. Wholesale Colocation Pricing
16. The New Zealand data center landscape market investments are classified into IT, power, cooling, and general construction services with sizing and forecast.
17. A comprehensive analysis of the latest trends, growth rate, potential opportunities, growth restraints, and prospects for the industry.
18. Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the industry.
19. A transparent research methodology and the analysis of the demand and supply aspects of the market.

NEW ZEALAND DATA CENTER MARKET VENDOR LANDSCAPE

1. The New Zealand data center market has the presence of several major data center operators establishing their facilities and have further plans to invest as well, such as CDC Data Centres, DCI Data Centers, Spark, Datacom, DataVault, DataCentre220, and others. The New Zealand data center market is also witnessing announcements and investments from several new operators, which include Datagrid, Goodman, and NEXTDC.
2. In December 2024, Amazon Web Services (AWS) is investing US$4.24 billion (NZ$7.5 billion) in its upcoming Auckland cloud region, which is expected to launch in 2025, supporting local businesses like One New Zealand, Vector, and Datacom.
3. In December 2024, Microsoft launched its first cloud region in Aotearoa, New Zealand, which will be powered entirely by 100% renewable energy and use air cooling technology. This move is expected to fuel local cloud services adoption, providing customers with data storage, processing, and backup capabilities within the country.
4. In February 2024, Goodman Property Trust (GMT) planned a $185 million (NZ$300 million) fund to build data centers in Auckland, New Zealand. The company plans to expect the value of the fund to grow over $1.23 billion) over the next three to five years.

EXISTING VS. UPCOMING DATA CENTERS

1. Existing Facilities in the Region (Area and Power Capacity)
2. Auckland
3. Other Cities
4. List of Upcoming Facilities in the Region (Area and Power Capacity)
5. Auckland
6. Other Cities  

REPORT COVERAGE:

This report analyses the New Zealand data center market share. It elaborately analyses the existing and upcoming facilities and investments in IT, electrical, mechanical infrastructure, general construction, and tier standards. It discusses market sizing and investment estimation for different segments. The segmentation includes:

1. IT Infrastructure
2. Server Infrastructure
3. Storage Infrastructure
4. Network Infrastructure
5. Electrical Infrastructure
6. UPS Systems
7. Generators
8. Transfer Switches & Switchgears
9. PDUs
10. Other Electrical Infrastructure
11. Mechanical Infrastructure
12. Cooling Systems
13. Racks
14. Other Mechanical Infrastructure
15. Cooling Systems
16. CRAC and CRAH Units
17. Chillers Units
18. Cooling Towers, Condensers and Dry Coolers
19. Other Cooling Units
20. General Construction
21. Core & Shell Development
22. Installation & Commissioning Services
23. Engineering & Building Design
24. Fire Detection & Suppression
25. Physical Security
26. Data Center Infrastructure Management
27. Tier Standard
28. Tier I & Tier II
29. Tier III
30. Tier IV 
31. Geography
32. Auckland
33. Other Cities

VENDOR LANDSCAPE

1. IT Infrastructure Providers: Arista Networks, Atos, Broadcom, Cisco, Dell Technologies, Fujitsu, Hewlett-Packard Enterprise, Huawei Technologies, IBM, Lenovo, and NetApp.
2. Data Center Construction Contractors & Sub-Contractors: AECOM, Arup, Aurecon, Beca, Hawkins, Norman Disney & Young, The Building Intelligence Group, TransWorks, and WT.
3. Support Infrastructure Providers: 3M, ABB, Airedale, Alfa Laval, Black Box, Climaveneta, Cummins, Cyber Power Systems, Eaton, Rehlko (Kohler), Legrand, Rittal, Rolls-Royce, Schneider Electric, STULZ, THYCON, Trane, and Vertiv.
4. Data Center Investors: Amazon Web Services, CDC Data Centres, Chorus, Datacom, DataVault, DCI Data Centers, DataCentre220, Microsoft, Spark, and T4 Group.
5. New Entrants: Datagrid, Goodman, and NEXTDC.

TARGET AUDIENCE

1. Real Estate Investment Trusts
2. Construction Contractors
3. Infrastructure Providers
4. New Entrants
5. Consultants/Consultancies/Advisory Firms
6. Corporate and Government Agencies