Data Center Support Infrastructure Market Trends and Forecast
The future of the global data center support infrastructure market looks promising with opportunities in the cloud service provider, technology provider, telecom, healthcare, BFSI, retail & e-commerce, entertainment & media, and energy markets. The global data center support infrastructure market is expected to grow with a CAGR of 8.2% from 2025 to 2031. The major drivers for this market are the increasing demand for data storage, the rising need for energy efficiency, and the growing adoption of cloud services.
• Lucintel forecasts that, within the infrastructure category, cooling system is expected to witness the highest growth over the forecast period.
• Within the end use category, cloud service provider is expected to witness the highest growth.
• In terms of region, APAC is expected to witness the highest growth over the forecast period.
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Emerging Trends in the Data Center Support Infrastructure Market
The market for data center support infrastructure is dynamically evolving against the backdrop of the incessant acceleration in data creation, emergence of new paradigms in computing, and growing international concern about environmental consequences. These trends represent a move towards smarter, more robust, and greener data center operations. Organizations are focusing on infrastructure that not only serves the existing computational requirements but also foresees the future requirements of scalability, efficiency, and eco-friendliness.
• Advanced Cooling Technologies: As power usage and server densities increase, conventional air-based cooling solutions are no longer satisfactory. There is a strong growing move towards sophisticated liquid cooling solutions, such as immersion and direct-to-chip cooling. These technologies are much more effective at removing heat from high-density racks, allowing IT gear to provide increased performance, lowering total energy consumption, and enabling data centers to accommodate the intense workloads of AI and HPC more efficiently.
• Modular and Prefabricated Data Centers: The need for speed of deployment, scalability, and affordability is fueling the growing usage of modular and prefabricated data center infrastructure. These products are constructed off-site and later rapidly assembled at the destination of choice, slashing both construction time and expense. This trend offers more flexibility for growth, allows for standardized design, and enables data center deployment across multiple locations, such as edge computing sites, with greater agility.
• Artificial Intelligence and Machine Learning Integration: Artificial intelligence and machine learning are transforming data center support infrastructure management. These technologies are being incorporated into Data Center Infrastructure Management (DCIM) solutions to deliver predictive failure forecasts for equipment, dynamically optimize power and cooling, and automate operations. This helps data centers attain greater efficiency, minimize downtime through proactive maintenance, and make better decisions about resource allocation and capacity planning.
• Focus on Green and Sustainable Data Center Practices: Sustainability has emerged as a top priority for the data center industry. This movement includes increasing reliance on renewable energy sources to power data centers, using highly energy-efficient cooling systems, and waste heat reuse programs. Data center operators are not only looking to minimize their carbon footprint, keep up with environmental regulations, and be more responsible in their operations, but it is also leading to innovation in green infrastructure solutions.
• More Powerful Power Management and Energy Storage Solutions: As the criticality of constant uptime grows, an emerging trend towards more sophisticated and effective power management systems is being seen, such as advanced Uninterruptible Power Supply (UPS) systems and battery energy storage systems. The trend aims at achieving maximum power efficiency, enhancing power reliability, and incorporating renewable sources of energy. The trend facilitates stable power supply, reduces energy loss, and provides support to integrate smart grid solutions for increased flexibility.
These new trends are coming together to collectively redefine the data center support infrastructure market through an increased emphasis on intelligence, efficiency, and sustainability. Advancements in cooling, modularity, AI-enabled management, green initiatives, and power solutions are all helping data centers address the increasingly sophisticated needs of the digital age while minimizing operating expense and environmental footprint. This transformation guarantees that the supporting infrastructure is able to deliver the sophisticated and dynamic capabilities of contemporary computing.
Recent Development in the Data Center Support Infrastructure Market
The market for data center support infrastructure has witnessed significant developments in recent times, fueled by the demand for more efficient, resilient, and scalable solutions. These changes are important as data centers continue to become more complex and large in scale, requiring strong underlying systems to guarantee constant operation and maximum performance. Developments in power, cooling, and monitoring systems are revolutionizing the construction and management of data centers.
• Installation of Liquid Cooling for High-Density Racks: One notable recent advance is the heavier use of liquid cooling technology in data centers, especially for high-density racks used to support AI and HPC workloads. Direct-to-chip cooling involves the coolant in direct contact with server components, and immersion cooling involves submerging servers in dielectric fluid. This advance efficiently handles the high heat generated by contemporary processors and allows for higher performance and improved energy efficiency compared to conventional air cooling.
• Modular and Containerized Data Centers: The industry has witnessed a significant increase in modular and containerized data center solutions. They are pre-built, fully contained modules with all IT and support infrastructure elements (power, cooling, fire suppression). It enables quick deployment, scalability, and flexibility, particularly for edge computing or rapid expansion requirements. It makes construction easier, minimizes expenses, and offers a standard, efficient deployment method.
• Integration of Machine Learning and AI in DCIM: Latest trends emphasize a greater embedding of Artificial Intelligence and Machine Learning within Data Center Infrastructure Management (DCIM) software. This facilitates smarter monitoring, predictive repair, and automated adjustment of power and cooling infrastructures. AI-based algorithms examine large sets of sensor-generated data to detect anomalies, forecast failures, and make dynamic adjustments to infrastructure settings, resulting in better uptime, lower energy usage, and optimized resource utilization.
• Greater Emphasis on Renewable Energy Integration: Data center owners are increasingly looking to include renewable power sources in their power infrastructure. Trends include higher uptake of wind and solar power, together with newer advanced battery energy storage systems (BESS) to handle intermittency. This is prompted by sustainability objectives among corporations, regulatory mandate, and lowering operational expense to make data centers greener and more resilient to grid volatility.
• Advanced Power Distribution Units and UPS System Development: There have been impressive developments in Power Distribution Units (PDUs) and Uninterruptible Power Supply (UPS) systems. Newer PDUs provide detailed power monitoring at the outlet level, whereas UPS systems are becoming more efficient, compact, and sometimes employ advanced battery technologies such as lithium-ion for extended lifespans and superior performance. These advances ensure power delivery, enhance energy efficiency, and supply vital backup in the event of a power outage, increasing data center uptime and stability.
These new developments are collectively shaping the data center support infrastructure market into making data centers more efficient, robust, and nimble to the rising demands of the digital age. The focus on liquid cooling, modularity, AI-based management, integration of renewable power, and sophisticated power systems reflects a strong trend towards future-proofing data center operations. These advances are essential to supporting high-density computing, lowering operating expenses, and addressing sustainability goals.
Strategic Growth Opportunities in the Data Center Support Infrastructure Market
The data center support infrastructure market offers huge strategic growth opportunities in a range of application segments based on the need to deliver the reliability, efficiency, and scalability of the contemporary data center. By focusing on specific applications, vendors can create specialized solutions that address the distinctive requirements of various computing environments. Identification of these opportunities enables strategic investment and product development that meets changing market demands.
• Hyperscale Data Centers: One of the biggest strategic growth opportunities is supporting infrastructure for hyperscale data centers. These enormous facilities, run by cloud titans, require ultra-efficient power, cooling, and monitoring systems that can handle enormous computing loads. Opportunities exist to create customized, high-capacity cooling products (e.g., direct liquid cooling), modular power distribution systems, and scalable DCIM platforms customized to the unique requirements of hyperscale operations where even minor efficiency gains result in huge savings.
• Colocation Facilities: Colocation data centers, which house IT gear for several tenants, are a further major growth market. The suppliers can specialize in providing flexible and scalable support infrastructure capable of addressing varying client needs, ranging from high-density racks for AI workloads to typical enterprise configurations. Examples of opportunities are modular power and cooling technologies that enable tenants to pay as they use, strong physical security systems, and end-to-end monitoring services that deliver transparency and control to several customers.
• Enterprise Data Centers: Even with cloud adoption, most enterprises have on-premises data centers, presenting opportunities for support infrastructure. This market calls for solutions that meet cost-effectiveness and reliability while tending to be aimed at modernizing installed bases. Growth opportunities include offering energy-efficient retrofits for power and cooling systems, integrated DCIM solutions to enhance management, and consulting services for optimizing legacy data center footprints to facilitate hybrid cloud strategies and new applications.
• Edge Computing Deployments: The expansion of edge computing is opening up new strategic opportunities for growth. Edge data centers are compact, dispersed facilities closer to sources of data, with support infrastructure needing to be compact, resilient, and able to provide efficient operation in non-standard environments. Opportunities include creating self-contained modular power and cooling systems, remote monitoring for unattended sites, and robust physical protection for scattered micro data centers, covering the particular requirements of low-latency applications.
• Telecommunications and 5G Infrastructure: Deployment of 5G networks is fueling significant growth opportunities in the telecom industry. 5G demands an enormous network of edge data centers and central offices to accommodate higher data traffic and low-latency requirements. Strategic opportunities cover the supply of specialized power and cooling for telecom-specific environments, robust racking and cabling infrastructure to accommodate 5G equipment, and integrated monitoring systems to guarantee uninterrupted operation of critical network elements.
These strategic expansion opportunities, broken down by use case, are deeply influencing the data center support infrastructure market by promoting specialized innovation and custom solutions. By meeting the unique requirements of hyperscale, colocation, enterprise, edge, and telecommunications data centers, providers can establish focused value propositions. This strategy fuels market growth, promotes the development of highly efficient and resilient infrastructures, and allows the building blocks of digital transformation to be reliably supported.
Data Center Support Infrastructure Market Driver and Challenges
The infrastructure market supporting data centers is shaped by the dynamic interplay of technology innovation, economic factors, and regulatory forces. The growth of the market derives from the rising demand for data processing, which requires strong and reliable supporting infrastructure. Yet this growth is counterbalanced by a series of complexities and challenges inherent in planning, deploying, and managing highly advanced data center ecosystems.
The factors responsible for driving the data center support infrastructure market include:
1. Explosive Growth of Data and Digitalization: The exponential growth in global data generation, driven by big data analytics, IoT, and cloud computing, is a main driver. With more data being generated, stored, and processed, there is an increasing need for highly reliable and scalable data centers, directly influencing the requirement for advanced power, cooling, and networking infrastructure that accommodates these higher capacities. This core growth in data directly feeds through to more investment in support infrastructure.
2. Growing Rack Power Density and AI/HPC Workloads: Ongoing growth of computational power per server rack, especially driven by the advent of artificial intelligence (AI) and high-performance computing (HPC) workloads, represents a key driver. These workloads require much more power and emit extremely hot heat, requiring advanced and efficient cooling systems (e.g., liquid cooling) and high-power distribution infrastructure. This pressure for increased density fuels innovation in support components.
3. Focus on Energy Efficiency and Sustainability: A key driver is the increasing worldwide focus on energy efficiency and sustainability of data centers. Companies are being forced to minimize their carbon footprint and reduce operating expenses. This creates demand for more efficient UPS units, smart cooling systems, and integrating renewables. Data center players are keenly looking for support infrastructure that assists them in meeting aggressive Power Usage Effectiveness (PUE) goals and aligning with environmental laws.
4. Requirement for High Uptime and Reliability: Data centers are the pillars of the digital economy, and any outage can lead to massive financial losses and reputational damage. The need for perpetual uptime and high reliability demands investment in redundant power facilities (UPS, generators), high-quality cooling infrastructure, and sophisticated monitoring equipment. Companies value support infrastructure that guarantees seamless operations and reduces the likelihood of service outages, making reliability an essential market driver.
5. Hyperscale and Edge Data Center Expansion: Cloud service providers’ accelerated hyperscale data center expansion and the use of small, distributed edge computing centers are driving demand. Hyperscale locations require enormous, scalable facilities, whereas edge locations need small, robust, and frequently remotely supportable support systems. Both segments pose specific infrastructure challenges and opportunities, prompting innovation in modular solutions, on-site power, and specialty cooling.
Challenges in the data center support infrastructure market are:
1. High Initial Capital Expenditure: The installation of cutting-edge data center support infrastructure, especially for large or high-density data centers, requires large initial capital outlays. Features such as advanced cooling facilities, high-capacity UPS devices, and heavy-duty power distribution equipment are costly. Such high initial Cap Ex may prove to be a stumbling block for new entrants or small organizations, influencing the overall market development, particularly in regions with scarce investment capital.
2. Complex Integration and Management: Merging various support infrastructure elements (power, cooling, fire suppression, security, DCIM) from different vendors into a harmonious and optimally performing data center environment is extremely challenging. Maintaining seamless communication, interoperability, and effective management between these systems takes specialist knowledge and substantial resources. This raises the risk of deployment delays, operational inefficiencies, and increased long-term management expenses.
3. Power Availability and Grid Stability Issues: A reliable and adequate power supply is a major issue, particularly in highly populated cities or areas where the data center market is growing very fast. Data centers use electrical power in massive quantities, and obtaining steady power supply from stable grids, usually from renewable energy, can be challenging. Grid instability, increasing energy prices, and the regulatory challenges involved in power procurement are major hurdles to the growth and development of data centers.
Overall, the data center support infrastructure market is witnessing strong growth fueled by data growth explosion, growing rack power densities, the need for energy efficiency, high uptime demand, and hyperscale and edge data center expansion. Yet this expansion is weighed down by issues like the significant up-front capital investment for high-end infrastructure, the intricacies of tying together heterogeneous systems, and key issues of power availability and grid stability. Innovation and smart planning to overcome these issues will be crucial to the ongoing development and prosperity of the data center support infrastructure market.
List of Data Center Support Infrastructure Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies data center support infrastructure companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the data center support infrastructure companies profiled in this report include-
• Corning
• Schneider Electric
• Leviton
• Legrand
• Eaton
• ABB
• Motivair
• Panduit
• Rittal
• Chatsworth Products
Data Center Support Infrastructure Market by Segment
The study includes a forecast for the global data center support infrastructure market by infrastructure, enterprise, end use, and region.
Data Center Support Infrastructure Market by Infrastructure [Value from 2019 to 2031]:
• Power Distribution Systems
• Cooling Systems
• Racks & Enclosures
• Site & Facility Infrastructure
• Security Systems
Data Center Support Infrastructure Market by Enterprise [Value from 2019 to 2031]:
• Large Enterprise
• Small & Medium Sized Enterprises
Data Center Support Infrastructure Market by Region [Value from 2019 to 2031]:
• North America
• Europe
• Asia Pacific
• The Rest of the World
Country Wise Outlook for the Data Center Support Infrastructure Market
The market for data center support infrastructure is changing dramatically with the surge in demand for digital services, spread of new technologies such as AI and IoT, and the worldwide need for sustainability. The industry includes key areas such as power infrastructure, cooling systems, racks, and monitoring, all essential to maintaining the reliability, efficiency, and around-the-clock availability of data centers. Current trends reflect a worldwide move to more efficient, energy-saving, and smarter infrastructure solutions that respond to the evolving requirements of hyperscale, colocation, and enterprise data centers.
• United States: The United States data center support infrastructure market is witnessing strong growth, mainly driven by the enormous growth of hyperscale cloud providers and the growing need for AI-capable infrastructure. Recent innovation includes a strong emphasis on next-generation liquid cooling technologies to address the high power densities of AI applications, large investments in renewable energy for data center operations, and innovation around large-scale powered shell data centers. Northern Virginia continues as a leading hub, with large capacity additions under way.
• China: The support infrastructure market of China’s data centers is growing fast, driven by ambitious digitalization plans and strong government backing for the development of digital infrastructure. The current trends indicate a high focus on the establishment of mega-data centers and the integration of sustainable methods, such as procuring renewable energy. Modular deployment of data centers and the use of AI-based software for optimizing data center operations and enhancing Power Usage Effectiveness (PUE) ratios are also gaining a significant amount of focus.
• Germany: The Germany data center infrastructure market is dominated by a focus on energy efficiency, data sovereignty, and adherence to rigorous environmental legislation such as the German Energy Efficiency Act. The latest trends have seen an upsurge in demand for liquid cooling solutions to host high-power density AI and HPC applications. The market is also experiencing growing investment in secondary cities outside Frankfurt, fueled by the demand for localized data centers and a movement towards cleaner technologies and waste heat recovery.
• India: India data center support infrastructure market is experiencing explosive growth driven by the country’s surge in digital growth, growing internet penetration, and heightened demand from cloud service providers. Key developments include unprecedented investment in new data center capacity, especially in Mumbai and Chennai, to meet demand for AI and address data localization regulations. There is emerging interest in deploying high-density fiber systems and advanced cooling techniques to meet the demands of more powerful and energy-hungry computing infrastructure.
• Japan: Japan’s data center infrastructure market is fueled by a desire for technological advancement, disaster tolerance, and increasing dependence on cloud and AI technologies. Recent trends involve high levels of foreign investment in data center infrastructure, especially in hyperscale data centers. The market is increasingly embracing cutting-edge cooling solutions such as chilled water-cooling systems for high-density applications. There is even a strategic government program to relocate information and communication technology industries, including data centers, close to low-carbon power stations.
Features of the Global Data Center Support Infrastructure Market
Market Size Estimates: Data center support infrastructure market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends (2019 to 2024) and forecast (2025 to 2031) by various segments and regions.
Segmentation Analysis: Data center support infrastructure market size by infrastructure, enterprise, end use, and region in terms of value ($B).
Regional Analysis: Data center support infrastructure market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different infrastructures, enterprises, end uses, and regions for the data center support infrastructure market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the data center support infrastructure market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
FAQ
Q1. What is the growth forecast for data center support infrastructure market?
Answer: The global data center support infrastructure market is expected to grow with a CAGR of 8.2% from 2025 to 2031.
Q2. What are the major drivers influencing the growth of the data center support infrastructure market?
Answer: The major drivers for this market are the increasing demand for data storage, the rising need for energy efficiency, and the growing adoption of cloud services.
Q3. What are the major segments for data center support infrastructure market?
Answer: The future of the data center support infrastructure market looks promising with opportunities in the cloud service provider, technology provider, telecom, healthcare, BFSI, retail & e-commerce, entertainment & media, and energy markets.
Q4. Who are the key data center support infrastructure market companies?
Answer: Some of the key data center support infrastructure companies are as follows:
• Corning
• Schneider Electric
• Leviton
• Legrand
• Eaton
• ABB
• Motivair
• Panduit
• Rittal
• Chatsworth Products
Q5. Which data center support infrastructure market segment will be the largest in future?
Answer: Lucintel forecasts that, within the infrastructure category, cooling system is expected to witness the highest growth over the forecast period.
Q6. In data center support infrastructure market, which region is expected to be the largest in next 5 years?
Answer: In terms of region, APAC is expected to witness the highest growth over the forecast period.
Q7. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the data center support infrastructure market by infrastructure (power distribution systems, cooling systems, racks & enclosures, site & facility infrastructure, and security systems), enterprise (large enterprise and small & medium sized enterprises), end use (cloud service provider, technology provider, telecom, healthcare, BFSI, retail & e-commerce, entertainment & media, energy, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
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