Technology
Data Center Rack Market Accelerates with AI Infrastructure Expansion | reach US$ 13.5 billion by 2033 | Persistence Market Research
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LONDON, July 14, 2026 /PRNewswire/ — The global data center rack market is growing rapidly, expected to be valued at around US$ 7.5 billion in 2026 and projected to reach US$ 13.5 billion by 2033, with a CAGR of 8.8% during the forecast period. This expansion is being driven by unprecedented investments in hyperscale data center construction, accelerating cloud computing adoption, and the emergence of artificial intelligence workloads that require high-density, high-power rack configurations. Data center racks have become indispensable infrastructure for modern digital economies, supporting everything from enterprise IT systems and cloud platforms to AI training clusters and edge computing networks.
Key Highlights
The global data center rack market is projected to grow from US$ 7.5 billion in 2026 to US$ 13.5 billion by 2033, registering a CAGR of 8.8%.North America remains the leading regional market, supported by hyperscale cloud investments, enterprise IT modernization, and large-scale data center expansions.Asia Pacific is the fastest-growing region, driven by China’s digital infrastructure initiatives and substantial cloud investments across India and Southeast Asia.Cabinet racks dominate the market with approximately 62% share, owing to their superior security, cable management, and compliance with Tier III and Tier IV data center standards.Rising deployment of AI and high-performance computing workloads is increasing demand for high-density racks capable of supporting power loads exceeding 100 kW per rack.The expansion of edge computing and 5G infrastructure is creating significant opportunities for compact, ruggedized rack solutions across distributed computing environments.
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Hyperscale Data Center Construction Fuels Rack Demand
The global surge in hyperscale data center development is creating significant demand for advanced rack infrastructure. Cloud service providers including Amazon Web Services (AWS), Microsoft Azure, and Google Cloud continue expanding their global data center footprints to accommodate rising demand for cloud services, AI applications, and digital storage.
Hyperscale operators announced more than US$ 200 billion in combined data center investment commitments, leading to the construction of facilities that require thousands of rack enclosures per site. These racks serve as the foundation for housing servers, networking systems, and storage equipment while ensuring efficient power distribution and thermal management.
The growth of artificial intelligence is further amplifying demand. Modern AI GPU clusters consume between 30 kW and 100+ kW per rack, significantly higher than traditional enterprise workloads. As a result, operators increasingly require reinforced cabinet racks designed to support greater weight loads, higher power densities, and liquid-cooling integration.
Beyond cloud providers, colocation operators are expanding capacity to meet enterprise outsourcing requirements. Major data center hubs such as Northern Virginia, Frankfurt, Singapore, and Mumbai continue to witness strong rack deployment activity. This large-scale infrastructure buildout ensures sustained demand for advanced rack solutions while creating long-term opportunities for manufacturers and suppliers across global markets.
Enterprise Digital Transformation and Edge Computing Drive Adoption
Enterprise digital transformation initiatives are emerging as another major growth driver for the data center rack market. Organizations across banking, healthcare, manufacturing, retail, and government sectors continue modernizing their IT infrastructure to support cloud-native applications, cybersecurity requirements, and data-intensive operations.
Data center racks play a vital role in these modernization programs by enabling structured deployment of servers, storage systems, and networking equipment. Enterprises increasingly favor enclosed cabinet racks because of their superior security, cable management, and thermal performance characteristics.
The rapid expansion of edge computing is also creating new opportunities. Rather than processing data exclusively in centralized facilities, businesses are deploying compute resources closer to end users to reduce latency and improve application performance. These distributed deployments require compact, standardized rack solutions suitable for telecom sites, retail stores, manufacturing facilities, and transportation hubs.
The global rollout of 5G networks further strengthens this trend. Industry estimates suggest billions of 5G subscriptions will be active by the end of the decade, driving demand for edge infrastructure and associated rack deployments. Manufacturers are responding by developing compact, ruggedized, and remotely manageable rack solutions designed specifically for edge environments.
Key Highlight: Schneider Electric Expands AI-Ready Data Center Infrastructure Portfolio in 2025
A major development in 2025 was Schneider Electric’s launch of new data center solutions designed to address the challenges of high-density AI and accelerated computing applications. The company introduced its EcoStruxure™ Rack Solutions, a portfolio of rack systems engineered to support the growing infrastructure requirements of AI workloads. The solutions are designed to accommodate higher power densities, increased equipment weight, and advanced cooling requirements associated with modern AI deployments.The new rack portfolio includes support for liquid-cooling technologies, such as direct-to-chip liquid cooling, along with enhanced rack power distribution capabilities. Schneider Electric also introduced an Open Compute Project (OCP)-inspired rack system that supports NVIDIA MGX architecture, providing infrastructure options for organizations deploying next-generation AI computing environments. These solutions are intended to help data center operators manage increasingly demanding AI and accelerated computing workloads.Schneider Electric further strengthened its AI infrastructure strategy through its collaboration with NVIDIA. The companies announced initiatives focused on accelerating the development and deployment of AI factories at scale by combining Schneider Electric’s expertise in data center infrastructure, power management, cooling, and sustainability with NVIDIA’s accelerated computing and AI technologies.
This development reflects the broader evolution of data center infrastructure toward AI-optimized environments. As AI workloads continue to drive higher power and cooling requirements, infrastructure providers are increasingly focusing on integrated rack, power, and cooling solutions that enable efficient deployment of high-density computing systems.
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Segmentation Insights: Cabinet Rack Leadership Reflects Enterprise Security and High-Density Infrastructure Requirements
Cabinet racks continue to lead the data center rack market, accounting for approximately 62% of market share. Their dominance stems from superior physical security, enclosed architecture, integrated cable management, and compatibility with high-density server deployments. Enterprise, hyperscale, and colocation operators increasingly prefer cabinet racks because they support efficient airflow management, organized power distribution, and compliance with critical industry standards such as TIA-942 and ANSI/EIA-310. The growing adoption of AI, cloud computing, and mission-critical workloads is further strengthening demand for enclosed rack solutions, while advanced features such as intelligent monitoring, integrated cooling options, and remote management capabilities continue to reinforce their position as the preferred rack type across modern data center environments.
Regional Insights: North America Leads Global Data Center Rack Demand While Asia Pacific Accelerates Fastest Growth
North America remains the largest market for data center racks, accounting for the highest share of global revenue. The region benefits from the world’s largest concentration of hyperscale cloud facilities, extensive enterprise IT spending, and ongoing federal modernization initiatives. The United States dominates regional demand, supported by major data center developments across Virginia, Texas, Arizona, and Nevada, where hyperscale operators continue expanding capacity.
Asia Pacific is the fastest-growing region and is projected to record the strongest growth through 2033. China leads regional demand through large-scale initiatives such as the Eastern Data Western Computing project, while India’s Digital India program and expanding cloud infrastructure investments are accelerating market expansion. Global cloud providers continue investing billions of dollars across Mumbai, Chennai, Hyderabad, and other emerging data center hubs.
Europe maintains a strong position, driven by hyperscale and colocation activity across Frankfurt, London, Amsterdam, and Dublin. Sustainability regulations and energy-efficiency requirements are encouraging investments in advanced rack systems that support optimized cooling and power management.
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Key Players and Business Strategies
Leading players include Schneider Electric, Rittal GmbH & Co. KG, Vertiv Group, Legrand, Eaton Corporation, Hewlett Packard Enterprise, and Dell Technologies.
Schneider Electric continues expanding its AI-ready rack portfolio with integrated cooling and intelligent infrastructure management capabilities.Rittal GmbH & Co. KG focuses on premium cabinet rack solutions featuring advanced thermal management, modular designs, and enterprise-grade monitoring systems.Vertiv Group is investing heavily in liquid-cooling-compatible rack infrastructure to address rapidly growing AI and high-performance computing requirements.Legrand and Eaton Corporation emphasize intelligent power distribution integration and energy-efficient rack ecosystems for enterprise and colocation customers.Chatsworth Products and Panduit Corporation are strengthening their positions in edge computing and telecommunications deployments through compact and ruggedized rack solutions.
Business strategies across the market increasingly center on AI infrastructure readiness, liquid-cooling compatibility, intelligent monitoring, modular deployment architectures, and strategic partnerships with hyperscale cloud providers and colocation operators.
Market Segmentation
By Rack Type
Open Frame RackCabinetOthers
By Height
Below 42 U42 UAbove 42 U
By Width
19 Inch23 InchOthers
By Vertical
BFSIGovernment & DefenseHealthcareIT & TelecomEnergyRetailOthers
By Region
North AmericaEuropeEast AsiaSouth Asia & OceaniaLatin AmericaMiddle East & Africa
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Established Dynamic Active Multifactor Strategy Extends QiM’s Time-Tested Investment Process Through Single-Ticker ETF Solution
OAKS, Pa., July 14, 2026 /PRNewswire/ — SEI® (NASDAQ:SEIC) today announced the launch of the SEI QiM U.S. Equity Factor Allocation Active ETF (NASDAQ:SEUS), an actively managed core U.S. equity solution that brings SEI’s established U.S. Equity Factor Allocation strategy to the ETF market. Managed by SEI’s Quantitative Investment Management (QiM) team, SEUS provides access to a time-tested investment process through a transparent, cost-effective ETF structure that offers accessibility, scalability, and tax efficiency.
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About SEI®
SEI (NASDAQ:SEIC) is a leading global provider of financial technology, operations, and asset management services within the financial services industry. SEI tailors its solutions and services to help clients more effectively deploy their capital—whether that’s money, time, or talent—so they can better serve their clients and achieve their growth objectives. As of March 31, 2026, SEI manages, advises, or administers approximately $1.9 trillion in assets. For more information, visit seic.com.
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To determine if the Funds are an appropriate investment for you, carefully consider the investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Funds’ summary and full prospectuses, which may be obtained by calling 1-800-DIAL-SEI. Read it carefully before investing.
There are risks involved with investing, including loss of principal. There is no guarantee an investment objective will be achieved, nor that risk can be managed successfully. Diversification may not protect against market risk. The Fund may trade securities actively, which could increase its transaction costs (thereby lowering its performance) and could increase the amount of taxes you owe by generating short-term gains, which may be taxed at a higher rate.
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There can be no assurance that performance will be enhanced or risk will be reduced for investment strategies that seek to provide exposure to certain quantitative factors. Exposure to such investment factors may detract from performance in certain market environments, in some cases for extended periods. In such circumstances, an investment strategy may seek to maintain exposure to the targeted investment factors and not adjust to target different factors, which could result in losses. While the Fund is actively managed, the investment process is expected to be heavily dependent on quantitative models, and the models may not perform as intended.
Forward-looking statements
This communication contains forward-looking statements within the meaning of the rules and regulations of the Securities and Exchange Commission. In some cases, you can identify forward looking statements by terminology, such as “may,” “will,” “expect,” “believe,” “can,” “continue,” “seek,” or similar expressions.
SEI’s forward-looking statements include its current expectations as to:
The benefits, if any, that our ETF products offer to investors
You should not place undue reliance on any forward-looking statements, as they are based on the current beliefs and expectations of management and are subject to significant risks and uncertainties, many of which are beyond management’s control or are subject to change. Although management believes the assumptions upon which the forward-looking statements are based are reasonable, they could be inaccurate. Some of the risks and important factors that could cause actual results to differ from those described in SEI’s forward looking statements can be found in the “Risk Factors” section of SEI’s Annual Report on Form 10 K for the year ended Dec. 31, 2025, filed with the Securities and Exchange Commission. SEI undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Media Contact:
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Vested
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THINK Surgical and TMINI are registered trademarks of THINK Surgical, Inc.
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Healthcare Credit. For Science, By Science.
For more information, please visit www.symbcap.com.
Information repurposed from THE ORTHOPAEDIC INDUSTRY ANNUAL REPORT® published by ORTHOWORLD® Inc.
Media Contact:
THINK Surgical Inc.
Jonathan Gibson
jgibson@thinksurgical.com
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SOURCE THINK Surgical, Inc.
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Published
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IRVINE, Calif., July 14, 2026 /PRNewswire/ — Dynabook Americas, Inc., a Sharp Company, today announced the Portégé® Z40L-P, a premium Copilot+ PC, the second generation of Dynabook’s advanced Portégé Z40L platform. Built for the demands of today’s AI-enabled workplace, the 14-inch Portégé Z40L-P combines next-generation Intel® Core™ Ultra Series 3 processor options, enhanced on-device AI capabilities, enterprise-grade security, Intel® Wi-Fi 7 and user replaceable 56Wh Li-Polymer battery. Pricing for the Portégé® Z40L-P starts at $2,170 MSRP.
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Availability
The Dynabook Portégé Z40L-P will be available through authorized Dynabook partners and can be custom ordered to meet the needs of business, education, healthcare, government and public sector customers. To learn more about Dynabook, visit us.dynabook.com.
About Dynabook Americas, Inc.
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Dynabook Americas is an independent operating company wholly owned by Dynabook, Inc., of Japan, a wholly owned company of Sharp Corporation. For more information on Dynabook Americas, visit us.dynabook.com.
© 2026 Dynabook Americas, Inc. Dynabook is a trademark of Dynabook Inc. All other product, service and company names are trademarks, registered trademarks, or service marks of their respective owners. Information including without limitation product prices, specifications, availability, content of services, and contact information is subject to change without notice. All rights reserved.
Media Contact:
Eric Paulsen
Dynabook Americas, Inc.
eric.paulsen@dynabook.com
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