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The landscape of global data centres is gearing up for an expansion, led by advancements in artificial intelligence (AI) and energy strategies. According to JLL's latest Global Data Center Outlook, capacity is anticipated to nearly double from 103 GW to 200 GW by 2030. With AI expected to account for half of this capacity, the sector is poised for changes.
The projected growth seeks investment, estimated at $3 trillion over the next half-decade. This figure includes $1.2 trillion aimed at real estate asset creation and around $870 billion in new debt financing. Market authorities are observing a shift akin to the original cloud migration of the past.
AI's integration is altering the nature of data centres. By 2030, AI workloads could represent 50% of data centre capacity, from 25% in 2025. JLL predicts an important moment in 2027 when AI inference workloads surpass training requirements. AI training facilities now require higher power densities, outpacing traditional data centres in lease rate premiums.
The development of speciality AI chips is predicted to strengthen their revenue share from 20% to 50% in the semiconductor market by decade's end. Emerging technologies, such as neuromorphic computing and ultra-efficient task processing, potentially curbing infrastructural demand while promoting energy efficiency.
In regional dynamics, the Americas will maintain dominance, holding 50% global capacity with the fastest growth rate. Asia-Pacific is forecasted to grow from 32 GW to 57 GW, with Europe, the Middle East, and Africa (EMEA) set to expand by 13 GW, driven largely by demand in established European and emerging Middle Eastern markets.
While APAC's growth is led by colocation, there's a decline in on-premise capacities. For EMEA, demands from hyperscalers in key hubs, alongside sustainability initiatives, are guiding developments.
Efficiency and sustainability challenges remain significant, with grid connection lead times challenging operators. Many are investing in self-generated energy to offset utility delays, echoing initiatives seen in places like Dublin and Texas. Innovations in battery energy storage systems (BESS) are gaining traction, aiming to manage short-term outages efficiently and hasten interconnection timelines.
The push towards renewables continues, with initiatives combining renewable power sources to cut costs and environmental impact. Hyperscalers already counterbalance their U.S. portfolios with renewable energy, while EMEA projects aim to integrate private transmission systems to enhance power affordability for tenants.
As expectations around renewable energy intensify, nuclear power is emerging as a potential reliable option, though significant capacity is likely several years away.
The capital landscape is maturing concurrently, with fundraising strategies now prioritising core investments. A shift towards recapitalisations and joint ventures is evident, particularly with the rise of AI and neocloud technologies.
Fresh financial strategies are evolving to support such modern ventures, ensuring frameworks accommodate the capital inflows while safeguarding investments and nurturing potential growth.
