| Study Period | 2024 - 2031 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2031 |
| Market Size (2025) | USD 3.34 Billion |
| Market Size (2031) | USD 6.11 Billion |
| CAGR (2025 - 2031) | 10.60 % |
| Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
Canada Data Center Construction Market Analysis
The Canada Data Center Construction Market size is estimated at USD 3.34 billion in 2025, and is expected to reach USD 6.11 billion by 2031, at a CAGR of 10.6% during the forecast period (2025-2031).
- Under Construction IT Load Capacity: The upcoming IT load capacity of the Canadian data center construction market is expected to reach more than 1220 MW by 2030
- Under Construction Raised Floor Space: The country's construction of raised floor area is expected to reach more than 5.8 million sq. ft by 2030.
- Planned Racks: The country's total number of racks to be installed is expected to reach more than 289 thousand units by 2030. Quebec is expected to house the maximum number of racks in six years.
- Planned Submarine Cables: Close to 12 submarine cable systems are connecting Canada, with many under construction. One such submarine cable, estimated to be built by the end of the next three years, is Leif Ericson, which stretches over 4200 km with landing points in Goose Bay, NL, Canada.
Canada Data Center Construction Market Trends
Tier 3 Data Centers were Expected to Record Significant Market Share in 2023
- The Canadian data center construction market is on the rise, compelling service providers to adopt tier 3 standards. Consequently, the country has seen a surge in tier 3 colocation facilities. Currently, Canada hosts 35 operational tier 3 facilities, with several more in the pipeline.
- There has been a notable decline in demand for tier 1 and 2 data centers, lagging behind the rising demand for uninterrupted services. With the proliferation of global conglomerates, the spotlight is shifting to tier 3 and 4 data centers, which offer enhanced 24/7 business continuity services.
- By the end of 2023, tier 3 data centers were projected to claim over 70% of the market share, positioning them as dominant players. These centers are known for their robust redundancies in power and cooling, alongside a comprehensive suite of onsite services. Sectors like BFSI, telecommunications, and media, especially those emphasizing entertainment, are pivoting toward wholesale and hyperscale colocation facilities, fueling the demand for tier 3 centers. For instance, in early 2023, Canada boasted 33.1 million social media users, with a vast majority maintaining at least one active account. This translated to a social media penetration rate of 91.3% in the country, underscoring the pivotal role of social media in propelling Canada's data center growth.
- In March 2023, eStruxture Data Centers, a Canadian provider of cloud and carrier-neutral data centers, unveiled its second data center in Calgary, known as CAL-2, boasting a tier 3 classification. Spanning about 93,000 square feet and powered by 20 MW, CAL-2 stands as Calgary's most extensive data center, marking a significant stride in the nation's tier 3 data center landscape.
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The IT and Telecommunication Segment to Hold Significant Market Share
- Canada's information and communications technology (ICT) market stands out as one of the fastest-growing. As more enterprises and organizations shift their operations to cloud platforms, the industry is witnessing a notable surge in growth.
- Major cloud service providers like Microsoft, Oracle, Google, Amazon Web Services, and Tencent Cloud are establishing cloud regions in response to the country's rising adoption of cloud-based services.
- Moreover, in November 2023, Microsoft announced plans to invest USD 500 million in expanding its cloud computing and AI infrastructure in Quebec City. This investment aims to establish several new data centers by the end of 2025.
- The telecommunication industry is advancing, adopting a hybrid cloud model that merges public and private clouds. This hybrid approach equips telecom firms to navigate unexpected traffic spikes efficiently. By leveraging hybrid cloud services, the telecom industry in Canada can swiftly roll out cloud services, minimizing downtimes. Bandwidth speeds are on the rise, with mobile data consumption per user climbing from 4.8 GB in 2022 to a projected 8.6 GB by 2029.
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Canada Data Center Construction Industry Overview
The Canadian data center construction market is moderately fragmented, with key players such as DPR Construction and Bird Construction. Notably, major data center corporations are intensifying their investments in Canada, primarily focusing on acquisitions, expansion, and building new facilities. This uptick in investments directly correlates with the growing demand for advanced data processing and storage capabilities.
June 2024: December 2023: Cologix finalized the purchase of two Canadian data centers in Vancouver and Montreal from Cyxtera. Additionally, it bolstered its Toronto and Montreal facilities through expansion.
Canada Data Center Construction Market Leaders
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DPR Construction
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First Gulf Group
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Karbon Engineering
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Bird Construction
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PCL Construction
- *Disclaimer: Major Players sorted in no particular order
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Canada Data Center Construction Market News
- March 2025: Related Companies, a prominent US real estate firm, has unveiled a new unit dedicated to data center development. The firm aims to establish gigawatts of capacity throughout the US and Canada. This week, the company officially introduced and capitalized Related Digital, marking it as a comprehensive platform for data center development and investment.
- June 2024: Fengate Asset Management acquired Canadian operator eStruxture Data Centers, finalizing a USD 1.8 billion (CAD 1.3 billion) transaction.
Canada 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 Canadian data center construction market is segmented by infrastructure (electrical infrastructure [power distribution solution (PDU, transfer switches, switchgear, power panels and components, and others), power back-up solution (UPS and generators), and service (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 infrastructure], 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).
| By Infrastructure | By Electrical Infrastructure | Power Distribution Solution | PDU - Basic and Smart - Metered and Switched Solutions | |
| Transfer Switches | Static | |||
| Automatic (ATS) | ||||
| Switchgear | Low-voltage | |||
| Medium-voltage | ||||
| Power Panels and Components | ||||
| Others | ||||
| Power Back-up Solutions | UPS | |||
| Generators | ||||
| Service - Design and Consulting, Integration, Support and Maintenance | ||||
| By Mechanical Infrastructure | Cooling Systems | Immersion Cooling | ||
| Direct-to-Chip Cooling | ||||
| Rear Door Heat Exchanger | ||||
| In-row and In-rack Cooling | ||||
| Racks | ||||
| Other Mechanical Infrastructure | ||||
| General Construction | ||||
| By Tier Type | Tier 1 and 2 | |||
| Tier 3 | ||||
| Tier 4 | ||||
| By End User | Banking, Financial Services, and Insurance | |||
| IT and Telecommunications | ||||
| Government and Defense | ||||
| Healthcare | ||||
| Other End Users | ||||
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Canada Data Center Construction Market Research Faqs
How big is the Canada Data Center Construction Market?
The Canada Data Center Construction Market size is expected to reach USD 3.34 billion in 2025 and grow at a CAGR of 10.60% to reach USD 6.11 billion by 2031.
What is the current Canada Data Center Construction Market size?
In 2025, the Canada Data Center Construction Market size is expected to reach USD 3.34 billion.
Who are the key players in Canada Data Center Construction Market?
DPR Construction, First Gulf Group, Karbon Engineering, Bird Construction and PCL Construction are the major companies operating in the Canada Data Center Construction Market.
What years does this Canada Data Center Construction Market cover, and what was the market size in 2024?
In 2024, the Canada Data Center Construction Market size was estimated at USD 2.99 billion. The report covers the Canada Data Center Construction Market historical market size for years: 2024. The report also forecasts the Canada Data Center Construction Market size for years: 2025, 2026, 2027, 2028, 2029, 2030 and 2031.
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Canada Data Center Construction Industry Report
Statistics for the 2025 Canada Data Center Construction market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Canada Data Center Construction analysis includes a market forecast outlook for 2025 to 2031 and historical overview. Get a sample of this industry analysis as a free report PDF download.
