New technologies are driving demand for digital infrastructure, and the data center industry is poised to benefit, according to JLL’s Data Centers 2023 Global Outlook.
Data centers are a key part of the infrastructure underlying our interconnected digital world and will need to grow at a significant rate to keep up with demand. According to JLL, the size of the colocation data center market is forecast to increase at a compound annual growth rate (CAGR) of 11.3 percent between 2021 and 2026, while the hyperscale market is forecast to grow at a 20 percent CAGR.
Each revolutionary new technology — from the internet to mobile smartphones to autonomous vehicles to generative artificial intelligence — requires a substantial ramp-up in data center capacity.
JLL has identified a few key issues affecting the data center industry:
Supply-chain issues. Cons