Brazil Data Center Construction Market Size (2024 - 2029)

The Brazil Data Center Construction Market is projected to experience significant growth over the forecast period, with its market size expanding considerably. This growth is driven by the development of IT load capacity, increased raised floor space, and a substantial number of planned racks. Additionally, the construction of submarine cable systems, including major projects like the Firmina cable, is expected to enhance connectivity and support the market's expansion.

Market Size of Brazil Data Center Construction Industry

Brazil Data Center Construction Market Summary
Study Period 2024 - 2030
Base Year For Estimation 2023
Market Size (2024) USD 3 Billion
Market Size (2030) USD 6.30 Billion
CAGR (2024 - 2030) 13.03 %
Market Concentration Medium

Major Players

Brazil Data Center Construction Market Major Players

*Disclaimer: Major Players sorted in no particular order

Brazil Data Center Construction Market Analysis

The Brazil Data Center Construction Market size is estimated at USD 3 billion in 2024, and is expected to reach USD 6.30 billion by 2030, growing at a CAGR of 13.03% during the forecast period (2024-2030).

Factors influencing the growth of the Brazilian data center construction market include the rising adoption of cloud-based services, the country's expanding digital economy, increased integration of AI technologies, the ongoing deployment of 5G networks, and a notable shift toward renewable energy sourcing.

  • Under Construction IT Load Capacity: The upcoming IT load capacity of the Brazilian data center construction market is expected to reach 1,390 MW by 2030.
  • Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase by 4.9 million sq. ft by 2030.
  • Planned Racks: The country's total number of racks to be installed is expected to reach 249 thousand units by 2030.
  • Planned Submarine Cables: Close to 15 submarine cable systems connect Brazil, and many are under construction. One such submarine cable, estimated to be built by the end of 2024, is Firmina, which stretches over 14,517 km with landing points in Las Toninas, Argentina, Praia Grande, Brazil, Myrtle Beach, SC, United States, and Punta del Este, Uruguay.

Brazil Data Center Construction Industry Segmentation

Data center construction combines physical processes used to construct a data center facility. It chains construction standards with data center operational environment requirements.

The Brazilian data center construction market is segmented by infrastructure (electrical infrastructure [power distribution solutions (PDUs, transfer switches, switchgear, power panels and components, and other power distribution solutions), power backup solutions (UPS and generators), and services (design and consulting, integration, and support and maintenance)], mechanical infrastructure [cooling systems (immersion cooling, direct-to-chip cooling, rear door heat exchanger, and in-row and in-rack cooling), racks, and other mechanical infrastructures], and general construction), tier type (tier 1 and 2, tier 3, and tier 4), and end user (banking, financial services, and insurance, IT and telecommunications, government and defense, healthcare, and other end users). The market sizes and forecasts are provided in terms of value (USD) for the above segments.

Market Segmentation - By Infrastructure
Market Segmentation - By Electrical Infrastructure
Power Distribution Solution
PDUs - Basic and Smart - Metered and Switched Solutions
Transfer Switches
Static
Automatic (ATS)
Switchgear
Low-voltage
Medium-voltage
Power Panels and Components
Others
Power Backup Solutions
UPS
Generators
Service (Design and Consulting, Integration, and Support and Maintenance)
Market Segmentation - By Mechanical Infrastructure
Cooling Systems
Immersion Cooling
Direct-to-chip Cooling
Rear Door Heat Exchanger
In-row and In-rack Cooling
Racks
Other Mechanical Infrastructures
General Construction
Market Segmentation - By Tier Type
Tier-I and-II
Tier-III
Tier-IV
Market Segmentation - By End User
Banking, Financial Services, and Insurance
IT and Telecommunications
Government and Defense
Healthcare
Other End Users
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Brazil Data Center Construction Market Size Summary

The Brazil Data Center Construction Market is poised for significant growth, driven by the increasing demand for cloud services and advancements in technologies such as artificial intelligence, big data, and blockchain. The market is characterized by a robust expansion in IT load capacity, raised floor space, and the installation of racks, with substantial investments in infrastructure to support these developments. The cloud and BFSI sectors are expected to dominate the market share, while the manufacturing segment is anticipated to experience the fastest growth. The construction of submarine cables, like the Firmina, further underscores the region's commitment to enhancing its digital infrastructure.

Key cities like Sao Paulo and Rio de Janeiro are central to this growth, given their economic significance and technological advancements. Sao Paulo, as a major economic hub, and Rio de Janeiro, with its financial prominence, provide a conducive environment for data center expansion. The Rest of Brazil, including regions like Ceara, is also witnessing digital transformation efforts, supported by international investments. The market is fairly consolidated, with major players such as AECOM, NetApp, Oracle, and others actively contributing to the construction and development of data centers. Recent investments by companies like Ascenty and Equinix highlight the ongoing commitment to expanding data center capabilities in Brazil.

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Brazil Data Center Construction Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION

    1. 1.1 Market Segmentation - By Infrastructure

      1. 1.1.1 Market Segmentation - By Electrical Infrastructure

        1. 1.1.1.1 Power Distribution Solution

          1. 1.1.1.1.1 PDUs - Basic and Smart - Metered and Switched Solutions

          2. 1.1.1.1.2 Transfer Switches

            1. 1.1.1.1.2.1 Static

            2. 1.1.1.1.2.2 Automatic (ATS)

          3. 1.1.1.1.3 Switchgear

            1. 1.1.1.1.3.1 Low-voltage

            2. 1.1.1.1.3.2 Medium-voltage

          4. 1.1.1.1.4 Power Panels and Components

          5. 1.1.1.1.5 Others

        2. 1.1.1.2 Power Backup Solutions

          1. 1.1.1.2.1 UPS

          2. 1.1.1.2.2 Generators

        3. 1.1.1.3 Service (Design and Consulting, Integration, and Support and Maintenance)

      2. 1.1.2 Market Segmentation - By Mechanical Infrastructure

        1. 1.1.2.1 Cooling Systems

          1. 1.1.2.1.1 Immersion Cooling

          2. 1.1.2.1.2 Direct-to-chip Cooling

          3. 1.1.2.1.3 Rear Door Heat Exchanger

          4. 1.1.2.1.4 In-row and In-rack Cooling

          5. 1.1.2.1.5 Racks

          6. 1.1.2.1.6 Other Mechanical Infrastructures

      3. 1.1.3 General Construction

    2. 1.2 Market Segmentation - By Tier Type

      1. 1.2.1 Tier-I and-II

      2. 1.2.2 Tier-III

      3. 1.2.3 Tier-IV

    3. 1.3 Market Segmentation - By End User

      1. 1.3.1 Banking, Financial Services, and Insurance

      2. 1.3.2 IT and Telecommunications

      3. 1.3.3 Government and Defense

      4. 1.3.4 Healthcare

      5. 1.3.5 Other End Users

Brazil Data Center Construction Market Size FAQs

The Brazil Data Center Construction Market size is expected to reach USD 3 billion in 2024 and grow at a CAGR of 13.03% to reach USD 6.30 billion by 2030.

In 2024, the Brazil Data Center Construction Market size is expected to reach USD 3 billion.

Brazil Data Center Construction Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2030)