Connect with us

Technology

Data Center Colocation Market worth $222.97 billion by 2031 – Report by MarketsandMarkets™

Published

on

DELRAY BEACH, Fla., Oct. 12, 2026 /PRNewswire/ — According to MarketsandMarkets™, the Data Center Colocation Market is projected to grow from USD 124.47 billion in 2026 to USD 222.97 billion by 2031, at a CAGR of 12.4% during 2026–2031.

Browse 290 market data Tables and 60 Figures spread through 300 Pages and in-depth TOC on “Data Center Colocation Market – Global Forecast to 2031”

Data Center Colocation Market Size & Forecast:

Market Size Available for Years: 2021–20312025 Market Size: USD 104.27 billion2026 Market Size: USD 124.47 billion2031 Projected Market Size: USD 222.97 billionCAGR (2026–2031): 12.4%

Data Center Colocation Market Trends & Insights:

Growth is driven by increasing cloud adoption, AI and high-performance computing workloads, enterprise migration to hybrid IT environments, and rising demand for scalable and reliable data center capacity.By service type, managed colocation is expected to register the highest CAGR of 18.0% during the forecast period.By service scale, retail colocation is expected to account for the largest market value of USD 86,390.3 million in 2026.By workload type, HPC is expected to register the highest CAGR, driven by AI, machine learning, analytics, and other compute-intensive workloads.North America is expected to account for the largest market value of USD 48,453.2 million in 2026.

Download PDF Brochure: https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=1252

This growth is driven by increasing cloud adoption, rising data volumes, enterprise digital transformation, and growing demand for scalable and reliable IT infrastructure. Organizations are increasingly using colocation facilities to access power, cooling, connectivity, and physical infrastructure without making large investments in owned data centers. The adoption of hybrid and multi-cloud environments is also increasing demand for facilities that provide direct connections to cloud providers, networks, and other digital platforms. At the same time, AI and high-performance computing are creating new requirements for high-density infrastructure, advanced cooling, and greater power availability.

General purpose IT will register the largest market share.

General purpose IT, covering standard compute, storage, and networking workloads, is expected to account for the largest market share in the Data Center Colocation Market during the forecast period. Enterprises across industries continue to rely on colocation facilities for mission-critical applications such as enterprise resource planning, customer relationship management, virtualization, databases, and web hosting. These workloads require reliable power, cooling, connectivity, and high availability, making colocation suitable for organizations seeking to maintain IT performance without operating dedicated facilities. Hybrid IT adoption is also supporting demand as businesses connect colocation infrastructure with private and public cloud environments. Although HPC and AI workloads are growing rapidly, general purpose IT continues to represent a broader base of enterprise workloads. Providers can address this segment through flexible rack capacity, reliable infrastructure, scalable power options, and connectivity services that support changing enterprise requirements.

Request for Proposal: https://www.marketsandmarkets.com/requestsampleNew.asp?id=1252

Hyperscalers are poised for the fastest growth rate during the forecast period.

Hyperscalers are expected to register the fastest growth among end users during the forecast period, supported by continued expansion of cloud services, AI infrastructure, and digital platforms. Hyperscalers require large, scalable data center capacity to support growing computing and storage needs across multiple regions. Colocation lets these companies expand their infrastructure without relying entirely on self-built facilities and provides access to established power, connectivity, and data center ecosystems. The increasing deployment of AI workloads is further increasing their requirements for high-density capacity and suitable cooling infrastructure. Hyperscalers can also use colocation facilities to enter new markets and expand capacity closer to customers and digital ecosystems. Colocation providers can leverage this opportunity by offering large capacity blocks, scalable power and cooling, strong network connectivity, and expansion options that support the changing requirements of hyperscale customers.

North America expected to account for the largest market.

North America is expected to remain the largest regional market for data center colocation during the forecast period, supported by strong demand from enterprises, cloud service providers, hyperscalers, and technology companies. The region has a mature data center ecosystem, extensive network infrastructure, and established cloud and digital service markets. The US accounts for most of the regional activity, with major data center hubs including Northern Virginia, Dallas-Fort Worth, Atlanta, Phoenix, Chicago, and Silicon Valley. Growing AI adoption and cloud requirements are further increasing demand for scalable capacity. At the same time, power availability and development constraints are encouraging providers to evaluate emerging locations beyond traditional data center hubs. Colocation providers can benefit from this demand by securing suitable land and power capacity, expanding interconnected facilities, and offering scalable infrastructure to enterprises and hyperscalers. The region’s established digital ecosystem and continued investment in data center infrastructure are expected to support its leading market position.

Request Pricing: https://www.marketsandmarkets.com/Enquiry_Before_BuyingNew.asp?id=1252

Top Companies in Data Center Colocation Market:

The Top Companies in Data Center Colocation Market are Equinix (US), Digital Realty (US), NTT DATA Corporation (Japan), QTS Data Centers (US), KDDI Corporation (Japan), Iron Mountain (US), China Telecom (China), and CyrusOne (US).

Data Center Colocation Market – Investment & funding +Merger & Acquisition

Investment and Funding Context

The Data Center Colocation Market is attracting substantial investment as operators expand capacity to address growing demand from hyperscalers, cloud service providers, enterprises, and AI infrastructure companies. Investment is increasingly directed toward powered land, large-scale campuses, facility expansion, and high-density infrastructure. In March 2026, Digital Realty closed its inaugural US hyperscale data center fund with USD 3.25 billion in equity commitments, focused on developing hyperscale facilities across major US markets. Operators are also using joint ventures and institutional capital to scale capacity while managing capital requirements. The investment environment is supported by long-term customer demand and rising power and capacity requirements, although high construction costs, power constraints, and longer development timelines remain key considerations for investors.

Revenue Shift Context

The Data Center Colocation Market is increasingly shifting toward recurring revenue generated through long-term colocation leases, hyperscale deployments, interconnection, and capacity expansions. Providers are benefiting from strong customer commitments as enterprises and hyperscalers seek reliable third-party infrastructure rather than developing all capacity internally. Digital Realty reported USD 6.11 billion in revenue for 2025, while Equinix reported USD 9.22 billion, reflecting the scale of recurring revenue generated by established colocation platforms. Revenue growth is increasingly linked to larger capacity requirements, interconnection services, and expansion of existing customer deployments. This creates opportunities for providers to increase revenue through long-term contracts, additional capacity, cross-connects, and expansion services across established and emerging data center markets.

Mergers and Acquisitions

Mergers and acquisitions are reshaping the colocation market as operators and infrastructure investors seek additional capacity, geographic coverage, and access to established customer ecosystems. Recent transactions have focused on high-density colocation platforms, hyperscale facilities, and regional operators. M&A activity in the broader data center sector exceeded USD 69 billion across 113 transactions in 2025, according to S&P Global Market Intelligence. The activity continued in 2026, with Equinix and CPP Investments completing the acquisition of Nordic operator atNorth for approximately USD 4.1 billion in September 2026. Digital Realty also expanded its portfolio through transactions involving Teraco and three Northern Virginia data centers.

DATA CENTER COLOCATION MARKET: MERGERS AND ACQUISITIONS, AUGUST 2025–SEPTEMBER 2026

Month & Year

Deal Type

Company 1

Company 2

Description

September 2026

Acquisition

Equinix (US) & CPP Investments (Canada)

atNorth (Nordics)

Equinix and CPP Investments completed the acquisition of atNorth, a Nordic high-density colocation and built-to-suit data center operator, for approximately USD 4.1 billion. The transaction expanded access to colocation capacity across the Nordic region. (Equinix, Inc.)

June 2026

Acquisition/Stake Increase

Digital Realty (US)

Blackstone (US)

Digital Realty agreed to purchase a 64% equity interest in three fully leased Northern Virginia data centers totaling 288 MW at a gross asset value of USD 7.8 billion. Digital Realty’s consideration was approximately USD 3.5 billion. (Digital Realty Trust)

June 2026

Acquisition/Stake Increase

Digital Realty (US)

Teraco (South Africa)

Digital Realty agreed to increase its ownership in Teraco to 77% by purchasing a 16% minority stake for approximately USD 650 million, strengthening its colocation and connectivity presence in Africa.

Company Revenue Share Details

The global Data Center Colocation Market has a concentrated group of large infrastructure providers, alongside regional operators and specialized data center companies. Equinix, Digital Realty, NTT DATA, KDDI Corporation, and QTS Data Centers represent major global participants, supported by extensive colocation footprints, interconnection capabilities, hyperscale capacity, and established customer relationships. Equinix reported USD 9.22 billion in 2025 revenue, while Digital Realty reported USD 6.11 billion, although these company-level figures include broader digital infrastructure activities and should not be treated as standalone colocation market revenue. Revenue generation is increasingly supported by recurring leases, large hyperscale deployments, interconnection, and capacity expansions. Competition is also shaped by access to power and land, geographic coverage, customer connectivity, and the ability to develop high-density infrastructure. The growing participation of institutional investors and infrastructure funds further supports capacity expansion through joint ventures, acquisitions, and dedicated data center investment vehicles.

Browse Adjacent Markets Data Center and Networking Market Research Reports & Consulting

Related Market Reports:

Data Center Rack Market by Rack Type (Open Frame, Enclosed), Type (Server Racks, Network Racks), Rack Height (42U & Below, 43U up to 52U), Rack Width (19 Inch, 23 Inch), Data Center Type (Enterprise, Colocation, Hyperscale) – Global Forecast to 2030

Hyperscale Data Center Market by Power Capacity (10-50 MW, 50-100 MW, Above 101 MW), IT Infrastructure (Server, Storage, Network), Electrical Infrastructure (PDUs, UPS Systems), Mechanical Infrastructure (Cooling Systems, Rack) – Global Forecast to 2030

About MarketsandMarkets™  

MarketsandMarkets™ has been recognized as one of America’s Best Management Consulting Firms by Forbes, as per their recent report.

MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. With the widest lens on emerging technologies, we are proficient in co-creating supernormal growth for clients across the globe.

Today, 80% of Fortune 2000 companies rely on MarketsandMarkets, and 90 of the top 100 companies in each sector trust us to accelerate their revenue growth. With a global clientele of over 13,000 organizations, we help businesses thrive in a disruptive ecosystem.

The B2B economy is witnessing the emergence of $25 trillion in new revenue streams that are replacing existing ones within this decade. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines – TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the ‘GIVE Growth’ principle, we collaborate with several Forbes Global 2000 B2B companies to keep them future-ready. Our insights and strategies are powered by industry experts, cutting-edge AI, and our Market Intelligence Cloud, KnowledgeStore™, which integrates research and provides ecosystem-wide visibility into revenue shifts.

MarketsandMarkets™ SalesPlay is an AI-driven Revenue Intelligence Co-Pilot designed to help revenue teams prioritize the right accounts, identify critical changes early, and surface opportunities ahead of demand, so pipeline builds naturally and deals close with greater consistency.

To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter, LinkedIn and Facebook.

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
1615 South Congress Ave.
Suite 103, Delray Beach, FL 33445
USA: +1-888-600-6441
Email: sales@marketsandmarkets.com
Visit Our Website: https://www.marketsandmarkets.com/
Content Source: https://www.marketsandmarkets.com/PressReleases/colocation.asp

 

 

View original content to download multimedia:https://www.prnewswire.co.uk/news-releases/data-center-colocation-market-worth-222-97-billion-by-2031–report-by-marketsandmarkets-302905470.html

Continue Reading

Technology

WSI Digital Marketing Montreal Wins 2026 WebAward for Strategy-First Legal Website

Published

on

By

Independent judges recognized the Paquette & Associates website for clear service organization, credibility signals, and a user experience designed to help prospective clients take the next step.

MONTREAL, Oct. 12, 2026 /CNW/ — For professional-service firms, a website needs to do more than look credible. It must help prospective clients understand the business, find the right information, and feel confident taking the next step.

That approach has earned WSI Digital Marketing Montreal a 2026 Legal Standard of Excellence WebAward for the website developed for Paquette & Associates Attorneys, a business law firm serving entrepreneurs, business owners, and individuals from Montreal’s West Island.

Web Marketing Association judges highlighted the site’s professional presentation, clear navigation, credibility signals, clear practice-area organization, and consultation calls to action.

“Professional-service firms sell expertise before they sell a service, and their website is often where that judgment begins,” said Laurie McCullagh, Vice-President of WSI Digital Marketing Montreal. “If visitors have to work to understand what you do, why they should trust you, or what to do next, the website is creating friction instead of confidence. Our goal is to remove that friction.”

WSI Digital Marketing Montreal develops websites by starting with the business, its customers, and the actions the site needs to support. Those insights guide the content, structure, and user experience.

Learn more about the strategy behind the award-winning website on the WSI Digital Marketing Montreal blog.

About WSI Digital Marketing In Montreal

WSI Digital Marketing Montreal is a digital marketing and AI consultancy serving businesses in Montreal, Quebec. Working with professional service firms and industrial and manufacturing firms since 2000, the team focuses on AISEO, paid marketing and web design, combining local market knowledge with strategies and research shared across WSI’s global network. For more information, visit wsisme.com.

About the WSI Network

Founded in 1995 and headquartered in Toronto, Canada, WSI is a leading global network of digital marketing and AI consultants: a community of agencies, each rooted in its local market and backed by knowledge shared across the network. For more than 30 years, WSI has been a strategy-first partner to businesses through every major shift in digital, from search to AI, pairing practical strategy with hands-on execution rather than one-off campaigns. Guided by its mission to unlock a world of possibility for those it serves, WSI helps businesses use digital and AI to strengthen the people and relationships behind them, not replace them. That belief is the heart of its tagline: Embrace Digital. Stay Human.

SOURCE WSI SME

Continue Reading

Technology

Data Center Chip Market to Surpass USD 1 Trillion by 2035 as AI Accelerators and Custom Silicon Transform Server Economics – DC Market Insights

Published

on

By

Market reaches USD 1,021.48 billion by 2035 at 12.49% CAGR; accelerators account for 53.9% of 2025 value and custom in-house silicon approaches 30% share by 2035

LONDON, Oct. 12, 2026 /PRNewswire/ — The “Data Center Chip Market – Growth, Share, Opportunities & Competitive Analysis, 2026-2035” report has been added to the DC Market Insights offering. The global Data Center Chip Market was valued at USD 314.87 billion in 2025 and is projected to reach USD 1,021.48 billion by 2035, expanding at a CAGR of 12.49%. AI accelerators now represent the largest chip value pool inside data centers, while custom silicon, high-bandwidth memory and AI networking are changing the mix of semiconductor content per server and per rack. 

Key Takeaways

Accelerator spending reached approximately USD 169.77 billion in 2025, equal to 53.9% of the total data center chip market.Custom in-house silicon is projected to rise from 16.6% of market value in 2025 to 29.7% by 2035 as hyperscalers design more workload-specific chips.AI networking and interconnect silicon is projected to reach USD 118.64 billion by 2035 as scale-up and scale-out fabrics become a larger part of AI system cost.North America held 54.8% of the 2025 market, followed by Asia Pacific at 27.6% and Europe at 10.9%.Power and cooling constraints are increasingly influencing chip selection because buyers are optimizing performance per watt at the rack and campus level.

Scope & Segmentation – Data Center Chip Market

The report covers data center GPUs and AI accelerators, server CPUs, memory and storage chips, networking and interconnect silicon and other data center chips. It evaluates AI training, AI inference, general-purpose cloud and enterprise compute and HPC workloads across hyperscalers, neoclouds, enterprises, colocation providers, governments and research organizations.

Get Free Sample Report – https://www.dcmarketinsights.com/report/data-center-chip-market

“The data center semiconductor market has crossed a structural threshold: accelerators now carry more value than CPUs, memory or networking alone. Over the next decade, the biggest change will be the rise of custom silicon and system-level co-design, where compute, memory and network chips are selected together around the economics of the workload and the power available to the data center.”

– Amit Jain, Senior Consultant, ICT & Emerging Technologies, DC Market Insights, report author

Why This Report Matters

Chip spending now determines a growing share of total data center capital expenditure. The shift toward AI changes not only accelerator demand but also memory, networking, optical connectivity, motherboard design and power architecture. The report gives infrastructure buyers and semiconductor suppliers a common market framework for sizing these linked value pools. 

Market Overview

DC Market Insights estimates that data center chip value more than tripled between 2020 and 2025. Accelerators became the largest chip family as AI deployments scaled, while server CPUs, memory, storage and networking continued expanding with the installed server base. The forecast assumes continued unit growth, richer chip content per AI system and a gradual shift from merchant silicon toward custom hyperscaler designs. 

Market Insights

Custom in-house silicon is one of the market’s most important share shifts because hyperscalers can optimize price, performance and power for specific workloads. Networking silicon is another major growth pool as AI clusters require higher-bandwidth fabrics. The market remains concentrated in North America by value, but Asia Pacific is strategically important through semiconductor manufacturing, cloud expansion and domestic accelerator programs. 

Key Attributes

Attribute

Details

Historical Market Size (2020)

USD 99.30 billion

Market Size (2025)

USD 314.87 billion

Forecast Market Size (2035)

USD 1,021.48 billion

CAGR (2025-2035)

12.49 %

Leading Region / District

North America – 54.8%

Base Year

2025

Forecast Period

2026-2035

Report Author

Amit Jain, Senior Consultant, ICT & Emerging Technologies

Report Updated

Oct. 7, 2026

 

Segmentation

Chip Type: GPUs and AI Accelerators; Server CPUs; Memory and Storage Chips; Networking and Interconnect Chips; Other Data Center Chips.

Workload: AI Training; AI Inference; General-Purpose Cloud and Enterprise Compute; HPC and Other.

End User: Hyperscale Cloud Providers; GPU and Neocloud Providers; Enterprise and Colocation; Government and Research.

Design Model: Merchant Silicon; Custom In-House Silicon. 

Regional Analysis

North America led the market in 2025 with 54.8% share. The full regional distribution was North America 54.8%; Asia Pacific 27.6%; Europe 10.9%; Middle East and Africa 4.4%; Latin America 2.3%. The regional outlook reflects differences in hyperscale investment, AI adoption, power availability, semiconductor or equipment ecosystems and local data center construction pipelines. 

Competitive Landscape

Competitive advantage is shifting from single-chip leadership toward full-platform capability. NVIDIA and AMD compete in accelerators, Intel and Arm-based suppliers remain important in server CPUs, while Broadcom and Marvell participate across custom silicon and networking. Hyperscalers are simultaneously becoming major chip designers, creating a dual market in which merchant and captive silicon coexist.

Companies profiled: NVIDIA, AMD, Intel, Broadcom, Marvell Technology, SK hynix, Samsung Electronics, Micron Technology, Qualcomm, Google, Amazon Web Services, Microsoft, Huawei, Arm, Astera Labs and Ampere Computing. 

Recent Developments

NVIDIA agreed to invest USD 5 billion in Intel, with Intel expected to manufacture custom chips for NVIDIA AI infrastructure platforms.AMD and OpenAI announced a 6 GW deployment agreement for AMD Instinct GPUs, with the first 1 GW planned for the second half of 2026.OpenAI and Broadcom announced plans to deploy 10 GW of OpenAI-designed accelerators between the second half of 2026 and the end of 2029.Qualcomm introduced AI200 and AI250 data center inference products, expanding competition in inference-oriented silicon.

Full report: https://www.dcmarketinsights.com/report/data-center-chip-market 

Recently Published and Related Reports

AI Chip MarketData Center Accelerator MarketData Center Server MarketSilicon Photonics MarketData Center Interconnect Market

DC Market Insights Data & Tools

Explore DC Market Insights proprietary data tools for data center locations, operators, transactions, power and policy developments and PUE benchmarking:

Data Center MapData Center OperatorsDeal TrackerPower & Policy TrackerPUE Calculator

About Us

DC Market Insights, headquartered at 128 City Road, London, EC1V 2NX, United Kingdom, is a dedicated research and consulting firm that empowers data center leaders with actionable intelligence. We combine rigorous market research, advanced analytics and practical advisory support to help organizations make confident decisions in an increasingly complex digital infrastructure landscape. Our goal is to transform data into clarity, giving clients the ability to act decisively on strategy, investment and execution. 

Contact Us

Tower C-1105, S 25, Akash Tower, 
Vishal Nagar, Pimple Nilakh, Haveli, 
Pune – 411027, India
Email: sales@dcmarketinsights.com
UK Phone: +44 7453 598 606 
US Phone: +1 628 262 7656
Website: www.dcmarketinsights.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/data-center-chip-market-to-surpass-usd-1-trillion-by-2035-as-ai-accelerators-and-custom-silicon-transform-server-economics—dc-market-insights-302903744.html

SOURCE DC Market Insights

Continue Reading

Technology

Fraikin announces exclusive agreement with Asterion Industrial Partners to support its next phase of growth

Published

on

By

PARIS, Oct. 12, 2026 /PRNewswire/ — The management of Fraikin, a leading pan-European provider of commercial vehicle leasing and fleet solutions platform, today announced that affiliates of its ultimate majority shareholders, Benefit Street Partners, Värde Partners and Canyon Partners, have entered into an exclusive agreement with Asterion Industrial Partners (“Asterion”), an independent investment management firm focused on mid-market infrastructure in Europe, relating to the contemplated acquisition of Fraikin.

The transaction follows a multi-year transformation of Fraikin, which today generates approximately €1 billion in revenue and operates a fleet with a gross book value of c. €3 billion, with significant improvements in financial performance and resilience across its European markets.

Under Asterion’s ownership, Fraikin will pursue three priorities: continued investment in its fleet and European operating platform, the transition of its customers towards lower-carbon mobility, and the digitalisation of its fleet management offering.

Yves Pétin, President and Chief Executive Officer of Fraikin Group, said:

“Our ambition is to establish Fraikin as the leading European commercial vehicle fleet management infrastructure platform. We will continue to invest in our fleet, people and digital capabilities, while accelerating the transition towards lower-carbon mobility and pursuing sustainable growth opportunities.”

“We thank Benefit Street Partners, Värde Partners and Canyon Partners, together with our other shareholders, for their continued support and commitment, and look forward to partnering with Asterion.”

Bice Di Gregorio, Partner at Asterion Industrial Partners, said:

“Fraikin provides essential infrastructure for commercial mobility across Europe. Its scale, integrated service model and longstanding customer relationships create a strong platform for growth. We see a significant opportunity to support the transition of its fleet towards lower-emission vehicles, in line with Asterion’s commitment to the energy transition, and we look forward to partnering with Fraikin’s management team.”

Sergio Val, Operating Partner at Asterion Industrial Partners, said:

“Fraikin has served France’s commercial vehicle sector for more than 80 years and is a key investment for our French franchise. By combining our industrial approach and local teams with Fraikin’s operational expertise, we will support investment in its fleet, maintenance network and digital capabilities, strengthen customer service and pursue disciplined growth across its markets.”

The contemplated transaction is expected to close in the first quarter of 2027, subject to the completion of the applicable employee information and consultation processes and obtaining the necessary regulatory approvals. BofA Securities and Lazard acted as financial advisers to the majority shareholders and management, and Latham & Watkins acted as their legal counsel, in connection with the transaction.

About Fraikin Group

Fraikin is a leading European provider of full-service operating leases for commercial vehicles, managing more than 50,000 vehicles across ten European countries. The Group provides contract hire, fleet management and flexible rental solutions to customers in essential sectors including healthcare, food distribution, utilities, waste management, logistics and public services, contributing to better urban living. www.fraikin.com

About Asterion Industrial Partners

Asterion Industrial Partners is an independent investment management firm focused on European infrastructure in the mid-market. Founded in 2018 and with $10 billion under management, the firm invests in essential infrastructure across the energy, digital, utilities and mobility sectors, with a hands-on, industrial approach that prioritizes long-term value creation and sustainability. Asterion Industrial Infra Fund III, which closed in September 2025, reached total commitments of €3.4 billion. For more information, please visit www.asterionindustrial.com

PR contact: 
Kable Communications
Tygénia El-Khattabi
tygenia.elkhattabi@kable-communication.com

View original content to download multimedia:https://www.prnewswire.co.uk/news-releases/fraikin-announces-exclusive-agreement-with-asterion-industrial-partners-to-support-its-next-phase-of-growth-302905893.html

Continue Reading

Trending