According to Arizton’s latest research report, the US sustainable data center market is growing at a CAGR of 12.98% during 2023-2029.
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Report Scope:
Market Size (2029): $35.35 Billion
Market Size (2023): $17 Billion
CAGR (2023-2029): 12.98%
Power Capacity (2029): 3,759 MW
Historic Year: 2020-2022
Base Year: 2023
Forecast Year: 2024-2029
Market Segmentation: Infrastructure and Geography
Regional Analysis: United States (Southeastern U.S., Midwestern U.S., Southwestern U.S., Western U.S., and Northeastern U.S.)
Data center operators across the U.S. have increasingly embraced the trend of purchasing renewable energy throughout the year, marking a significant shift toward sustainability in the industry. Many operators, including colocation and hyperscale leaders such as AWS, Meta, CyrusOne, Equinix, Digital Realty, QTS Realty Trust, Microsoft, STACK Infrastructure, and Google, are actively opting for clean power sources like wind and solar to power their facilities. This collective effort reflects a strong commitment to fostering a cleaner and greener future for data center operations.
The sustainable data center market in the US is booming as companies embrace eco-friendly practices. Businesses increasingly adopt energy-efficient technologies and renewable energy sources to power their data centers, aligning with a broader global push for sustainability. This shift reduces environmental impact and emphasizes the economic benefits of green data solutions.
Major colocation operators such as Equinix, Digital Realty, STACK Infrastructure, NTT DATA CyrusOne, Vantage Data Centers, QTS Realty Trust, and others have pledged to become carbon neutral and procure renewable energy to power their data centers.
Investment Analysis
Sustainable Data Center Growth in the Southeastern US: Northern Virginia and Atlanta Lead the Charge
The Southeastern U.S. encompasses West Virginia, Virginia, Kentucky, Tennessee, North Carolina, South Carolina, Georgia, Alabama, Mississippi, Arkansas, Louisiana, and Florida. Northern Virginia, a prominent data center hub in the Americas, has achieved remarkable growth in its operational and under-development power capacity this year. Despite challenges with land and power availability, operators continue to expand their projects in the region, with a swift pre-leasing trend for new developments. Any land that offers adequate power and fiber access is in high demand for both colocation and hyperscale data centers.
Meanwhile, Atlanta has seen a significant surge in demand for data center space, which was previously lacking in the latter half of 2022. The market now boasts a substantial pipeline of projects, with growth occurring in established areas and emerging clusters nearby. The vacancy rate has dropped to a record low of less than 3%, supported by ongoing construction. Factors driving this growth include the increasing tech presence in the region, power constraints in Northern Virginia, a business-friendly environment, and heightened investor interest. Georgia has further solidified its commitment to the data center sector by implementing tax exemptions on high-tech data center equipment through 2033, leading to numerous projects in various stages of planning and development in the Atlanta market.
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Key Vendors
Data Center Investors
Renewable Energy Providers
Market Segmentation
Infrastructure
Geography
The Arizton Advisory & Intelligence market research report provides valuable market insights for industry stakeholders, investors, researchers, consultants, and business strategists aiming to understand the US sustainable data center market thoroughly. Request for Free Sample to get a glance at the report now: https://www.arizton.com/market-reports/us-green-data-center-market
What Key Findings Will Our Research Analysis Reveal?
How many MW of power capacity is expected to reach the Europe hyperscale data center market by 2029?
What is the growth rate of the Europe hyperscale data center market?
How big is the Europe hyperscale data center market?
What is the estimated market size in terms of area in the Europe hyperscale data center market by 2029?
What are the key trends in the Europe hyperscale data center market?
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