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Hyperscale datacentre capacities continue to rise off back of AI boom

Hyperscale datacentre capacities continue to rise off back of AI boom

  • 20.03.2025 14:39
  • computerweekly.com
  • Keywords: AI, Datacentre

AI is driving growth in hyperscale data centers, with their number doubling to 1,136 globally since 2019. The U.S. leads with 54% capacity, followed by Europe and China.

Microsoft ServicesMeta ServicesMSFTsentiment_satisfiedMETAsentiment_satisfiedTCEHYsentiment_satisfied

Estimated market influence

Synergy Research Group

Neutralsentiment_neutral
Analyst rating: N/A

The company Synergy Research Group is a market watcher that provides data and analysis on the hyperscale datacentre market. Their research indicates significant growth driven by AI.

Amazon Web Services (AWS)

Positivesentiment_satisfied
Analyst rating: N/A

Amazon's AWS has a broad datacentre footprint, contributing to the rise in hyperscale datacentres due to AI demand.

Microsoft

Microsoft

Positivesentiment_satisfied
Analyst rating: Strong buy

Microsoft is one of the major cloud providers with significant datacentre presence, benefiting from AI growth.

Google

Positivesentiment_satisfied
Analyst rating: N/A

Google has a large datacentre footprint and is a key player in the hyperscale market driven by AI.

Meta

Meta

Positivesentiment_satisfied
Analyst rating: Strong buy

Meta, parent company of Facebook, has a substantial datacentre presence contributing to the growth.

Tencent

Tencent

Positivesentiment_satisfied
Analyst rating: Strong buy

Tencent is a major player in hyperscale datacentres and benefits from AI-driven demand.

ByteDance

Positivesentiment_satisfied
Analyst rating: N/A

ByteDance, owner of TikTok, has a significant datacentre presence due to the rise in AI workloads.

Context

Hyperscale Datacentre Growth Driven by AI Boom

Overview

  • Market Insight: The hyperscale datacentre market is experiencing rapid growth driven by the demand for artificial intelligence (AI) workloads.

Key Statistics and Facts

  • Global Hyperscale Datacentres:

    • Total number: 1,136 as of end of 2024.
    • Growth rate: Doubling every five years.

  • Capacity Expansion:

    • Capacity doubled in size over the past four years.
    • Projected to double again within the next four years.

Market Trends

  • Geographical Distribution:
    • 54% of global capacity is in the US.
    • 15% in Europe and 16% in China.

Competitive Dynamics

  • Major Players:
    • AWS, Microsoft, and Google collectively account for 59% of hyperscale datacentre capacity.
    • Other key players include Meta, Alibaba, Tencent, Apple, and ByteDance.

Strategic Considerations

  • AI Impact: Generative AI is the primary driver behind the increased scale of hyperscale datacentres.
  • Datacentre Footprint: The average size of new datacentres has grown significantly due to AI requirements.

Long-term Implications

  • US Dominance: The US will remain the leading region for hyperscale infrastructure, with no immediate signs of slowing growth.
  • Regulatory and Market Impact: The trend towards larger, more powerful datacentres is expected to continue, shaping global cloud and internet service landscapes.

Strategic Insights

  • Focus on Reliability: Accurate market data excludes smaller "points of presence" and marketing claims to provide a clear picture of hyperscale infrastructure growth.
  • Global Expansion: While the US dominates, regions like Europe and China are significant players with growing capacities.