Industry: ICT & Media | Publish Date: 11-Jul-2025 | No of Pages: 363 | No. of Tables: 252 | No. of Figures: 177 | Format: PDF | Report Code : IC2446
The Latin America Data Center Market size was valued at USD 3.28 billion in 2023, and is predicted to reach USD 6.42 billion by 2030, at a CAGR of 10.1% from 2024 to 2030. The data center market, also known as the network infrastructure market, covers the entire lifecycle of specialized infrastructure for hosting computing systems, from initial planning and construction to ongoing operation and maintenance. This market includes a variety of components such as servers, storage systems, and networking equipment, that together provide services such as cloud computing and connectivity solutions.
Currently, the industry is experiencing widespread adoption of cloud services and the rise of edge computing aimed at reducing latency. Key trends shaping the market include a strong emphasis on sustainability, increased cybersecurity concerns, the integration of hybrid and multi-cloud approaches, and the growing influence of 5G networks. These trends highlight the industry's proactive efforts to meet the rising demand for scalable, efficient, and secure data processing and storage solutions amid the ongoing digital transformation. According to projections by the United States International Trade Commission, the data processing and storage market is expected to grow from USD 56 billion in 2020 to USD 90 billion by 2025.
Latin America is witnessing strong momentum from hyperscale cloud providers accelerating their regional infrastructure footprint. Major players like AWS, Microsoft Azure, and Google Cloud are announcing multi-billion-dollar investments in Brazil, Chile, and Mexico, driven by rising enterprise cloud demand and public-sector digitalization. These developments are not only increasing core data center capacity but also supporting regional resilience, localized compliance, and sovereign cloud capabilities.
Additionally, cloud regions under development are being paired with investments in renewable energy sourcing and carbon-neutral operations, reinforcing both digital scalability and environmental responsibility. This wave of hyperscale growth is elevating Latin America’s status as a strategic cloud deployment zone and boosting demand for supporting colocation and edge infrastructure.
Amid intensifying scrutiny over energy and water consumption, data center operators in Latin America are embedding sustainability at the core of infrastructure planning. Countries like Brazil and Colombia are leveraging abundant renewable energy resources to attract environmentally conscious data center investments, while also advancing regulations around emissions, land use, and cooling efficiency.
Operators are responding with innovations such as solar-powered campuses, closed-loop cooling, and district heating integrations. This sustainability shift is becoming a competitive differentiator in the market, as enterprises increasingly select providers based on ESG performance. It is also influencing site selection and long-term investment strategies, ensuring that environmental compliance aligns with business scalability.
The Latin America data center market is increasingly impacted by energy supply instability and grid limitations, particularly in countries facing aging infrastructure or constrained electricity transmission systems. While many regions boast renewable energy potential, inconsistent power delivery and periodic outages pose risks to uptime and operational reliability—especially for hyperscale and edge deployments outside major metros.
These challenges are further compounded by bureaucratic hurdles in securing grid access, long permitting cycles for utility connections, and competition for power with other high-consumption sectors. As energy demands surge with AI and cloud workloads, these structural bottlenecks are emerging as a critical constraint to scaling sustainable, high-performance data center infrastructure across the region.
The surge in enterprise adoption of AI, machine learning, and high-performance computing is creating new opportunities for data center operators across Latin America. Businesses in sectors such as finance, healthcare, logistics, and agriculture are seeking AI-capable infrastructure with high-density rack support, accelerated GPU integration, and ultra-low latency connectivity.
This demand is opening premium service segments where providers can differentiate through AI-optimized colocation, liquid cooling, and scalable interconnection ecosystems. With many hyperscalers also planning AI-focused cloud regions in Latin America, local operators have the opportunity to co-locate, partner, or provide edge support—positioning themselves at the forefront of next-generation digital infrastructure.
The key market players operating in the Latin America data center industry include Ascenty, Scala Data Centers, Lumen Technologies Inc., SONDA SA, Terremark, EdgeUno Inc., Equinix Inc., HostDime Global Corp., ODATA (Patria Investments Ltd), HostDime, Elea Digital, KIO Networks, Amazon Web Services (AWS), Cirion Technologies, IBM Corporation, Microsoft Corporation, Oracle Corporation, Digital Realty, Alibaba Group Holding Limited, Alphabet Inc. (Google), and others.
Hardware
IT Hardware
Servers
Storage Systems
Networking Equipment
Power Infrastructure Hardware
Uninterruptible Power Supplies (UPS)
Generators
Automatic Transfer Switches
Power Distribution Units (PDUs)
Mechanical Infrastructure Hardware
Computer-Room Air Conditioners (CRAC/CRA Units)
Chillers
Racks
Cable Management Systems
Safety & Security Hardware
Fire Suppression Systems
Physical Security Systems (CCTV, access controls)
Software
DCIM & Monitoring
Automation & Orchestration
Backup & Disaster Recovery
Security Software
Virtualization Software
Analytics & Reporting Software
Other Software
Services
Planning & Professional Services
Site & Building Design
System/Infrastructure Engineering
Professional Advisory (compliance, energy audits)
Integration & Deployment Services
Electrical & Mechanical Installation
Commissioning & Acceptance Testing
Operation & Support Services
Preventive & Corrective Maintenance
Facilities Management / Remote Monitoring
Support Services (helpdesk, onsite SLA support)
Hosting & Managed Services
Colocation & Cloud Hosting Services
Virtual/Private Hosting Platforms
Enterprise Data Centers
Colocation Data Centers
Cloud Data Centers
Hyperscale Data Centers
Edge Data Centers
Micro Data Centers
Others
Tier I
Tier II
Tier III
Tier IV
Small Data Centers
Med-sized Data Centers
Large Data Centers
<10kW
10-19kW
20-29kW
30-39kW
40-49kW
>50kW
N+1
2N
N+2
N
Less than 1.2
1.2 - 1.5
1.5 - 2.0
Greater than 2.0
Traditional
Containerized
Modular
Cloud Service Provider
Technology Provider
Telecom
Healthcare
BFSI
Retail & E-commerce
Entertainment & Media
Government
Energy
Others
Brazil
Mexico
Argentina
Colombia
Chile
Peru
Other Countries
Ascenty
Scala Data Centers
Lumen Technologies Inc.
SONDA SA
Terremark
EdgeUno Inc.
Equinix Inc.
HostDime Global Corp.
ODATA (Patria Investments Ltd)
HostDime
Elea Digital
KIO Networks
Amazon Web Services (AWS)
Cirion Technologies
IBM Corporation
Microsoft Corporation
Oracle Corporation
Digital Realty
Alibaba Group Holding Limited
Alphabet Inc. (Google)
REPORT SCOPE AND SEGMENTATION:
Parameters |
Details |
Market Size in 2023 |
USD 3.28 Billion |
Revenue Forecast in 2030 |
USD 6.42 Billion |
Growth Rate |
CAGR of 10.1% from 2024 to 2030 |
Analysis Period |
2023–2030 |
Base Year Considered |
2023 |
Forecast Period |
2024–2030 |
Market Size Estimation |
Billion (USD) |
Growth Factors |
|
Companies Profiled |
20 |
Market Share |
Available for 10 companies |
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |