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The Data Center Physical Infrastructure (DCPI) market is set for robust growth, with a projected 15 percent compound annual growth rate (CAGR) from 2024 to 2029, as detailed in a recent report by Dell’Oro Group. The escalation will see the market reach a significant milestone of $63.1 billion by the close of this period, fuelled by AI-ready capabilities intensifying mid-decade.
The forecast underscores accelerated deployments tailored to support surging computing workloads. Alex Cordovil, Research Director at Dell’Oro Group, emphasises how AI innovations are redefining facility designs, raising densities, enhancing power intelligence, and transitioning liquid cooling from a specialist solution to a standard necessity.
Key Report Findings:
Region-wise, North America is leading the charge, with EMEA and China seeing peaks in 2026 before likely moderation. AI sovereignty and export-oriented policies prominently support the ongoing momentum.
Operators globally are optimising utility strategies by integrating on-site generation to mitigate capacity expansion challenges posed by power constraints. This report offers detailed insights into market segments, including UPS, thermal management, and rack distribution among others.
Dell’Oro Group’s Data Center Physical Infrastructure 5-Year Forecast report gives an insight into the Data Center Physical Infrastructure market. This covers market sizes and forecasts for uninterruptible power supplies (UPS), thermal management, cabinet power distribution and busway, rack power distribution, IT racks and containment, and software and services. Allocation of manufacturing revenues by cloud service providers, telco, collocation, and enterprise customer segments is also given.
