The global hyperscale data center market size was estimated at USD 24.54 billion in 2024 and is projected to reach USD 52.54 billion by 2030, growing at a CAGR of 13.6% from 2025 to 2030. The rapid expansion of technologies such as cloud computing, artificial intelligence (AI), and big data analytics is a major driving force behind this significant market growth. As businesses and organizations increasingly move away from conventional data centers and embrace cloud-based infrastructures, there has been a corresponding surge in the need for large-scale, high-performance computing environments capable of handling vast amounts of data efficiently.
Hyperscale data centers are particularly valued for their ability to scale operations seamlessly and manage enormous volumes of data alongside intensive computing workloads. These data centers form the critical infrastructure supporting major cloud service providers like Amazon Web Services (AWS), Microsoft Azure, and Google Cloud. These companies are making substantial investments in expanding their global network of data centers to accommodate growing user bases and to deliver services with minimal latency and high availability, which are essential for maintaining a smooth user experience.
Additionally, the growing consumption of digital services and content plays a pivotal role in propelling the hyperscale data center market forward. The surge in popularity of video streaming platforms, online gaming, e-commerce, and social media has created a demand for infrastructure capable of storing and processing massive volumes of data in real time. Hyperscale data centers meet these requirements by offering exceptional scalability, system redundancy to ensure reliability, and enhanced energy efficiency that helps lower the operational costs per computing unit.
Furthermore, the deployment of 5G wireless networks, along with the rapid growth of Internet of Things (IoT) applications, is generating increasing amounts of data at the network edge. This trend has encouraged hyperscale data center operators to invest in edge data centers and hybrid infrastructure architectures that enable data processing closer to the source. Such strategies help reduce latency and improve performance for applications requiring real-time data handling, while also supporting the growing demands of modern digital ecosystems.
Key Market Trends & Insights:
• In 2024, the North American hyperscale data center market held a dominant position on the global stage, accounting for nearly 38.0% of the total market share. This significant share underscores the region’s leadership and substantial investment in hyperscale data center infrastructure. Within North America, the United States is anticipated to experience considerable growth in this sector, with the hyperscale data center market projected to expand at a compound annual growth rate (CAGR) of 13.6% from 2025 through 2030, reflecting strong demand for advanced data center capabilities.
• When examining the market based on components, the hardware segment emerged as the leading contributor, commanding a revenue share exceeding 50.0% in 2024. This highlights the critical importance of physical infrastructure—such as servers, storage devices, networking equipment, and other essential hardware—in supporting the operations of hyperscale data centers.
• Regarding power capacity, the segment with data centers ranging between 50 megawatts (MW) and 100 MW led the market with a revenue share of more than 33.0% in 2024. This suggests that data centers within this power range are particularly prominent, likely due to their balance between scalability and operational efficiency.
• In terms of enterprise size, large enterprises dominated the hyperscale data center market, holding the largest revenue share of over 73.0% in 2024. This reflects that major corporations and organizations with extensive IT infrastructure needs are the primary adopters and users of hyperscale data center services, driving significant market demand.
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Market Size & Forecast:
• 2024 Market Size: USD 24.54 Billion
• 2030 Projected Market Size: USD 52.54 Billion
• CAGR (2025-2030): 13.6%
• North America: Largest market in 2024
• Asia Pacific: Fastest growing market
Key Companies & Market Share Insights:
Key players actively shaping the hyperscale data center industry include major global technology giants such as Amazon Web Services, Inc., Google, Inc., Microsoft, Alibaba, NTT Ltd., NVIDIA Corporation, Tencent, and Vertiv Group Corp. These leading companies are continuously pursuing a variety of strategic initiatives aimed at strengthening their market positions and gaining a competitive edge over their rivals. Their strategies typically involve launching new products, forming partnerships and collaborations, and entering into agreements that enhance their technological capabilities and expand their global reach. Below are some notable examples of such strategic moves undertaken by these industry leaders.
In January 2025, Oracle introduced the Exadata X11M, the latest version of its Exadata platform. This new iteration brings significant performance improvements specifically tailored to meet the demanding requirements of artificial intelligence (AI), advanced analytics, and online transaction processing (OLTP) workloads. The Exadata X11M is engineered to support mission-critical operations more efficiently than its predecessors. It incorporates intelligent power management features and optimized performance enhancements, allowing organizations to process data at a faster rate while utilizing fewer systems, thereby improving overall operational efficiency.
In December 2024, Amazon Web Services, Inc. announced a series of cutting-edge innovations in data center technology aimed at addressing the escalating demands of AI workloads, while simultaneously improving energy efficiency and sustainability. These advancements include the introduction of simplified power and cooling architectures, the deployment of liquid and multimodal cooling solutions designed for high-density AI hardware, and software-driven rack optimization techniques that minimize energy wastage. Additionally, AWS unveiled a new power shelf alongside enhanced control systems, which improve the monitoring and diagnostic capabilities of its data centers. Collectively, these upgrades boost computing power per site and reduce the necessity for building additional data centers, thereby supporting both enhanced performance and environmental sustainability objectives.
Key Players
• Alibaba
• Amazon Web Services, Inc.
• Arista Networks, Inc.
• Digital Realty Trust
• Equinix, Inc.
• Ericsson, Inc.
• Google, Inc.
• IBM Cloud
• Intel Corporation
• Microsoft
• NTT Ltd.
• NVIDIA Corporation
• Oracle
• Rittal LLC
• Tencent Cloud
• Vertiv Group Corp
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Conclusion:
The hyperscale data center market is experiencing rapid growth driven by the increasing adoption of cloud computing, AI, and big data analytics. Demand for scalable, energy-efficient, and high-performance infrastructure continues to rise as digital services and data consumption expand globally. Key industry players are focusing on technological innovations and geographic expansion to meet evolving customer needs and maintain competitive advantages. Additionally, trends like edge computing and hybrid architectures are shaping the future landscape of hyperscale data centers.