Data Center Services Market Outlook:
Data Center Services Market size was over USD 83.1 billion in 2025 and is poised to exceed USD 294.82 billion by 2035, growing at over 13.5% CAGR during the forecast period i.e., between 2026-2035. In the year 2026, the industry size of data center services is evaluated at USD 93.2 billion.
The market has been in keen expansion due to the combination of advancing technologies and shifting business demands. The rapid expansion of 5G networks increases edge computing demand, necessitating a decentralized nature of data centers to support low-latency processing at the network edge. For instance, in September 2024, the expansion of T-Mobile to its flagship data center in Prague began. The operator is currently setting up a photovoltaic power plant on the grounds of the new facility and plans to install a Private 5G network within the data center.
The market is growing as a result of the growing trend of moving from physical infrastructure to the cloud, the introduction of new technologies such as artificial intelligence (AI), instant service, and startup-friendly prices, as well as improved security and updates with new technologies. For instance, in September 2024, Nokia introduced the most advanced data center automation platform in the industry, designed with AI capabilities. This approach seeks to eliminate human error in network operations to minimize service outages and network disruptions. It is anticipated that cloud computing will become more and more popular. All these factors are changing the shape of the future global data center services market into a pathway to new opportunities for innovation and growth.
