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

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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.

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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.

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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.

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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.

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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.

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The Tel Aviv Stock Exchange (TASE) Schedules Third Quarter 2026 Results Release and Conference Call for Tuesday, November 10, 2026

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TEL AVIV, Israel, Oct. 12, 2026 /PRNewswire/ — The Tel Aviv Stock Exchange (TASE: TASE) is pleased to announce that its financial statements for the period ended September 30, 2026 will be published on Tuesday, November 10, 2026, after market close.

The financial statements and the investors presentation will be posted on TASE’s MAYA website as well as on the website of the Israel Securities Authority (MAGNA) and under Investor Relations in TASE’s website, at https://ir.tase.co.il/eng.

In addition, the Company is pleased to announce that at 8:00 PM (Israeli time) on Tuesday, November 10, 2026, a conference call will take place, in English, in which the Company’s financial statements for the third quarter 2026 will be reviewed before the Company’s investors.

The Company’s CEO, Mr. Ittai Ben-Zeev, and its CFO, Mr. Alon Solar, will host the call followed by Q&A.

Conference Call Dial-in Details (on passcode required):
Israel: 03-9180609
US: 1-866-744-5399 (toll free)
Canada: 1–888-604-5839 (toll free)
UK: 0-800-917-5108 (toll free)
All other Locations: + 972-3-9180609

The conference call will be held in English and will be accompanied by a presentation, which will be reported on the Israeli Securities Authority website (MAGNA), on the MAYA website and on the Company’s website. A day after the call, a recording of the conference call will be uploaded to the Company’s website, under “News” in the Investor Relations area.

The conference call is not a substitute for perusing the Company’s interim financial statements for the period ended September 30, 2026 in which full and precise information is presented.

https://maya.tase.co.il/he/reports/companies/1775350

The Tel-Aviv Stock Exchange will be happy to assist interested parties in initiating contact with our listed companies. Reach out to us for help connecting with the most relevant executives in these companies:

Tom Alhadif,
Head of Market Development
Tel: +972 76 8160485
toma@tase.co.il

Orna Goren
Head of Communication and Public Relations Unit
Tel: +972 76 8160405
tase.ir@tase.co.il

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SOURCE The Tel Aviv Stock Exchange Ltd.

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Lucid Sets Plan for First Retail and Service Locations in France

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Lucid will open its first three retail and service locations in the first quarter of 2027.Lucid plans to expand its French network to more than 16 partner locations by the end of 2027.Customers will be able to experience and order Lucid Gravity1 and Lucid Air2 at each location; reservations with priority for future ordering are now available on Lucid’s French website.

PARIS, Oct. 12, 2026 /PRNewswire/ — Lucid Group, Inc. (NASDAQ: LCID), maker of the world’s most advanced software-defined vehicles and technologies, today announced that its first French retail and service locations will open in the first quarter of 2027. Those three partner locations are in late-stage planning and mark an important step in Lucid’s entry into France. They are the beginning of a planned network of more than 16 partner locations by the end of 2027.

The network will provide a strong foundation for growth in France while delivering the high-quality sales, service, and ownership experience Lucid customers expect. The three first locations will provide sales and service support and offer customers the opportunity to experience Lucid Gravity1, the 2026 World Luxury Car of the Year, and Lucid Air2.

Lucid Gravity combines the space and versatility of a premium SUV with Lucid’s signature performance, technology, and efficiency, offering up to 739 kilometers of WLTP range, seating for up to seven adults, and ultra-fast charging.

Lucid Air sets benchmarks for electric vehicle efficiency, range, and performance, with up to 960 kilometers of WLTP range and up to 1,251 PS in a highly aerodynamic design.

“France is an important market for Lucid,” said Lawrence Hamilton, President of Europe at Lucid. “With Emil Frey France, we are establishing a customer-focused presence that will deliver the sales, service, and ownership experience our vehicles and customers deserve.”

“We are proud to support Lucid’s entry into the French market,” said Pierre Guignot, General Manager of the Emil Frey France Import Division. “Lucid’s innovative products and technology set new standards in electric mobility. By combining Lucid’s exceptional vehicles with Emil Frey France’s partner network expertise, we are committed to delivering a seamless ownership experience and providing customers across France with the highest level of support throughout their journey.”

Orders for Lucid vehicles in France are expected to open in the first quarter of 2027. Customers can reserve now to receive priority when ordering opens through Lucid’s French website: https://lucidmotors.com/fr-fr 

For more details about Lucid and its vehicles, visit the official Lucid website: https://lucidmotors.com/ 

High-resolution images of the Lucid Gravity and Lucid Air are available here:
https://f.io/RPq0PQlW 

About Lucid Group 

Lucid Group, Inc. (NASDAQ: LCID) is a technology company creating exceptional mobility experiences through innovation to drive the world forward. Built on Lucid’s proprietary technology and software defined vehicle architectures, the company’s lineup of award-winning vehicles brings Lucid’s “Compromise Nothing™” approach to premium segments of the global automotive market. Lucid designs and engineers its products in-house and manufactures at its vertically integrated facilities in Arizona and Saudi Arabia, enabling continuous innovation across vehicles, software, and advanced driver assistance and autonomy-ready capabilities.

Forward-Looking Statements
This communication includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “shall,” “expect,” “anticipate,” “believe,” “seek,” “target,” “continue,” “could,” “may,” “might,” “possible,” “potential,” “predict” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, Lucid’s planned entry and expansion in France, including the expected opening of its retail and service locations and the opening of vehicle orders, the plan on expansion of French network, and the anticipated customer experience and results of expansion, and Lucid’s strategy. These statements are based on various assumptions, whether or not identified in this communication, and on the current expectations of Lucid’s management. These forward-looking statements are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and may differ from these forward-looking statements. Many actual events and circumstances are beyond the control of Lucid. These forward-looking statements are subject to a number of risks and uncertainties, including those factors discussed under the cautionary language and the Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2025, subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, and other documents Lucid has filed or will file with the Securities and Exchange Commission. If any of these risks materialize or Lucid’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Lucid currently does not know or that Lucid currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Lucid’s expectations, plans or forecasts of future events and views as of the date of this communication. Lucid anticipates that subsequent events and developments will cause Lucid’s assessments to change. However, while Lucid may elect to update these forward-looking statements at some point in the future, Lucid specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Lucid’s assessments as of any date subsequent to the date of this communication. Accordingly, undue reliance should not be placed upon the forward-looking statements.

Media Contact
Sebastian Michel
Manager PR & Communications Europe at Lucid
preurope@lucidmotors.com

Camilla Jokisch
Lead PR & Communications Europe at Lucid
preurope@lucidmotors.com

Trademarks

This communication contains trademarks, service marks, trade names and copyrights of Lucid Group, Inc. and its subsidiaries and other companies, which are the property of their respective owners.

1 Lucid Gravity 418 – 617 kW (568 – 839 ch), 536 – 739 km d’autonomie combinée (WLTP), 0 g CO₂/km, 19,1 à 18,2 kWh/100 km.
La consommation de carburant et les émissions de CO₂, d’un véhicule sont fonction non seulement de son rendement énergétique, mais également du comportement au volant et d’autres facteurs non techniques.
Les informations sur les consommations de carburant et les émissions de CO₂, de tous les modèles de voitures particulières neuves, contenues dans le guide de l’ADEME, peuvent être obtenues gratuitement dans tous les points de vente, auprès de l’ADEME et consultées sur le site internet : www.ademe.fr

2 Lucid Air 325 – 920 kW (442 – 1.251 ch), 694 – 960 km d’autonomie combinée (WLTP), 0 g CO₂/km, 19,1 à 11,8 kWh/100 km.
La consommation de carburant et les émissions de CO₂, d’un véhicule sont fonction non seulement de son rendement énergétique, mais également du comportement au volant et d’autres facteurs non techniques.
Les informations sur les consommations de carburant et les émissions de CO₂, de tous les modèles de voitures particulières neuves, contenues dans le guide de l’ADEME, peuvent être obtenues gratuitement dans tous les points de vente, auprès de l’ADEME et consultées sur le site internet : www.ademe.fr

Pour les trajets courts, privilégiez la marche ou le vélo.
Au quotidien, prenez les transports en commun.
Pensez à covoiturer.
#SeDéplacerMoinsPolluer

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Jones Walker Appoints Ted Jones as Baton Rouge Office Head

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BATON ROUGE, La., Oct. 12, 2026 /PRNewswire/ — Jones Walker LLP announced that Ted Jones has been appointed as head of the firm’s Baton Rouge office, effective September 1, 2026.

Ted is a partner in the Corporate Practice Group and joined the firm as special counsel in 2012. He was promoted to partner in 2017. In his new role as head of the office, Ted will oversee the management of and strategic expansion efforts for the firm’s office located in downtown Baton Rouge.

“We are thrilled to have Ted take on this important role leading our Baton Rouge office and helping shape its continued growth and impact in the market,” said managing partner Bill Hines. “He has long been a trusted voice within our firm and a respected presence in the Greater Baton Rouge business and legal communities.”

Ted is a skilled corporate attorney who advises public and private companies, private equity and venture capital funds, investment banks and underwriters, and individual and other institutional investors in connection with securities offerings, other financing transactions, mergers and acquisitions, joint ventures, restructurings and recapitalizations, corporate governance, and public finance matters. He also advises private fund managers, investment bankers and other investment advisors, and broker-dealers with respect to compliance under federal and state securities laws and regulations.

Prior to joining Jones Walker, Ted was an investment banker with the Baton Rouge office of Stephens Inc. and practiced corporate and securities law in Silicon Valley.

Ted replaces Brandon Black, a partner in the Litigation Practice Group, who joined the firm in 2005 and has served as office head since 2016. Brandon is joining Cajun Industries as Chief Legal Officer beginning January 2027.

Brandon and Ted will collaborate on this leadership transition through the end of the year.

About Jones Walker
Jones Walker LLP (joneswalker.com) is among the largest 140 law firms in the United States. With offices in Alabama, Arizona, the District of Columbia, Florida, Georgia, Illinois, Kentucky, Louisiana, Mississippi, New York, and Texas, we serve local, regional, national, and international business interests. The firm is committed to providing a comprehensive range of legal services to major multinational public and private corporations, Fortune® 500 companies, money center banks, worldwide insurers, and emerging companies doing business in the United States and abroad.

Contact:
Ryan Evans
504.582.8209
revans@joneswalker.com

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SOURCE Jones Walker LLP

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