Key Insights
The Latin American data center construction market is experiencing robust growth, projected to reach a market size of $5.14 billion in 2025 and maintain a Compound Annual Growth Rate (CAGR) exceeding 8.71% from 2025 to 2033. This expansion is driven by several key factors. Firstly, the burgeoning digital economy across Latin America is fueling an increasing demand for robust and scalable data center infrastructure to support cloud computing, e-commerce, and big data analytics. Secondly, significant investments in digital transformation initiatives by governments and enterprises across sectors like banking, finance, IT & telecommunications, and healthcare are creating a robust pipeline of data center construction projects. Furthermore, the region's improving digital connectivity, coupled with strategic initiatives to improve energy efficiency and sustainability within data centers, are further stimulating market growth. Brazil, Argentina, and Mexico are currently leading the market, benefiting from robust economies and significant foreign direct investment. However, challenges remain, including the need for consistent regulatory frameworks, skilled labor shortages, and addressing infrastructure limitations in certain regions.
The market segmentation reveals a diverse landscape. Electrical infrastructure dominates the infrastructure type segment, reflecting the critical role of power and cooling systems. Large-scale enterprises are the primary drivers of market demand, though small and medium-scale enterprises are also contributing to market growth as they increasingly adopt cloud-based solutions and digital technologies. Tier I and II data centers currently hold a larger market share, but growth in Tier III and IV facilities is expected as companies seek higher levels of redundancy and resilience. The competitive landscape is characterized by a mix of international and local players, ranging from large construction companies like AECOM and DPR Construction to specialized data center developers such as Ascenty and Equinix. This competition fosters innovation and drives price optimization, making data center construction increasingly accessible to a broader range of businesses across Latin America.
Latin America Data Center Construction Market: A Comprehensive Report (2019-2033)
This comprehensive report provides an in-depth analysis of the Latin America data center construction market, encompassing market dynamics, growth trends, regional dominance, product landscape, key challenges, emerging opportunities, and key players. The study period covers 2019-2033, with 2025 as the base and estimated year. The report offers invaluable insights for industry professionals, investors, and strategic decision-makers seeking to navigate this rapidly evolving market. The market is segmented by infrastructure type (electrical, mechanical, general construction), tier type (Tier I-IV), enterprise size (small/medium, large-scale), end-user (BFSI, IT & Telecom, Government & Defense, Healthcare, others), and country (Mexico, Brazil, Argentina, Rest of Latin America). Key players analyzed include Ascenty Data Centers E Telecomunicacoes, Constructora Sudamericana S A, Fortis Construction, Equnix Inc, Aceco TI, Delta Group, Turner Construction Co, ZFB Group, DPR Construction Inc, HostDime Brasil, AECOM Limited, Legrand, CyrusOne Inc, and RITTAL Sistemas Eletromecânicos Ltda (Rittal GmbH & Co KG).
Latin America Data Center Construction Market Dynamics & Structure
The Latin American data center construction market exhibits a moderately concentrated landscape, with a few large players alongside numerous regional contractors. Technological innovation, driven by increasing demand for high-capacity, energy-efficient facilities, is a key driver. Regulatory frameworks vary across countries, impacting investment and development. Competitive product substitutes are limited, although cloud computing presents an indirect challenge. End-user demographics are shifting towards large-scale enterprises and hyperscalers, particularly in the BFSI and IT & Telecom sectors. M&A activity is substantial, reflecting consolidation and expansion strategies.
- Market Concentration: xx% controlled by top 5 players in 2024.
- Technological Innovation: Focus on modular designs, AI-powered management, and sustainable infrastructure.
- Regulatory Landscape: Varies significantly across countries, creating both opportunities and barriers.
- M&A Activity: xx deals closed in the past 5 years, with an average deal value of $xx million.
- End-User Demographics: Large-scale enterprises account for xx% of the market in 2024.
Latin America Data Center Construction Market Growth Trends & Insights
The Latin American data center construction market is experiencing robust growth, driven by increasing digitalization, expanding cloud adoption, and government initiatives promoting digital infrastructure. Market size is projected to reach $xx million in 2025, with a Compound Annual Growth Rate (CAGR) of xx% from 2025 to 2033. This growth is fueled by technological advancements, such as the adoption of prefabricated modular data centers, and shifts in consumer behavior favoring digital services. Market penetration is increasing, particularly in countries with improving digital infrastructure and supportive government policies. Disruptions stemming from geopolitical factors and supply chain challenges are moderating growth.
Dominant Regions, Countries, or Segments in Latin America Data Center Construction Market
Brazil and Mexico dominate the Latin American data center construction market, driven by their larger economies, advanced digital infrastructure, and significant investment in IT and telecom sectors. The Tier III and Tier IV segments are experiencing rapid growth due to demand from large-scale enterprises and hyperscalers. The large-scale enterprise segment is the most significant end-user group. Electrical infrastructure constitutes the largest share of the market, reflecting the energy-intensive nature of data centers.
- Leading Countries: Brazil and Mexico (combined market share: xx% in 2024).
- Fastest-Growing Segment: Tier III data centers (CAGR: xx% from 2025 to 2033).
- Dominant Infrastructure Type: Electrical Infrastructure (market share: xx% in 2024).
- Key Growth Drivers: Strong economic growth, expanding digital economy, and supportive government policies in Brazil and Mexico.
Latin America Data Center Construction Market Product Landscape
The market features a diverse range of products, including prefabricated modular data centers, high-density power solutions, advanced cooling systems, and robust security infrastructure. These products are tailored to different tiers and end-user needs, focusing on energy efficiency, scalability, and security. Technological advancements are driving innovation in areas like liquid cooling, AI-driven predictive maintenance, and enhanced security features. Unique selling propositions often include rapid deployment capabilities, reduced operational costs, and environmentally friendly designs.
Key Drivers, Barriers & Challenges in Latin America Data Center Construction Market
Key Drivers:
- Increasing digital transformation across various sectors.
- Growing cloud adoption and hyperscale data center deployments.
- Government initiatives to promote digital infrastructure development.
Key Challenges:
- Supply chain disruptions affecting material availability and cost.
- Regulatory complexities and inconsistent standards across countries.
- High energy costs and limited access to renewable energy sources.
- Skilled labor shortages in specialized areas.
Emerging Opportunities in Latin America Data Center Construction Market
- Expansion into underserved markets in the Rest of Latin America.
- Adoption of sustainable and green data center technologies.
- Development of edge computing infrastructure to support IoT applications.
- Growing demand for colocation services.
Growth Accelerators in the Latin America Data Center Construction Market Industry
Long-term growth will be driven by continued digital transformation, technological innovations, and strategic partnerships between data center operators and construction companies. Investment in renewable energy infrastructure to reduce operational costs and environmental impact will be a major growth catalyst. Expansion into new markets and the development of specialized data center solutions for specific industry verticals will also drive market expansion.
Key Players Shaping the Latin America Data Center Construction Market Market
- Ascenty Data Centers E Telecomunicacoes
- Constructora Sudamericana S A
- Fortis Construction
- Equnix Inc
- Aceco TI
- Delta Group
- Turner Construction Co
- ZFB Group
- DPR Construction Inc
- HostDime Brasil
- AECOM Limited
- Legrand
- CyrusOne Inc
- RITTAL Sistemas Eletromecânicos Ltda (Rittal GmbH & Co KG)
Notable Milestones in Latin America Data Center Construction Market Sector
- January 2023: The Santos Port Authority (SPA) in Brazil plans a new data center built by Zeittec, featuring NBR 10.636 certified fire-resistant walls (CF 120), OM4 optical fibers, and CAT 6A cabling.
- December 2022: Aligned (Macquarie Group-backed) plans to acquire Odata for approximately $1.8 billion, signaling further investment in Mexican and Peruvian data center markets. Aligned also announced a second 30MW data center in Querétaro, Mexico.
In-Depth Latin America Data Center Construction Market Outlook
The future of the Latin American data center construction market is bright, driven by the region’s growing digital economy and substantial investment in digital infrastructure. Strategic partnerships and technological innovations will create significant opportunities for market expansion, particularly in areas like edge computing and sustainable data center development. The market's long-term potential is significant, offering lucrative returns for investors and growth opportunities for key players.
Latin America Data Center Construction Market Segmentation
-
1. Infrastructure Type
-
1.1. Electrical Infrastructure
- 1.1.1. UPS Systems
- 1.1.2. Others Electrical Infrastructure
-
1.2. Mechanical Infrastructure
- 1.2.1. Cooling Systems
- 1.2.2. Racks
- 1.2.3. Other Mechanical Infrastructure
- 1.3. General Construction
-
1.1. Electrical Infrastructure
-
2. Tier Type
- 2.1. Tier-I and II
- 2.2. Tier-III
- 2.3. Tier-IV
-
3. Size of Enterprise
- 3.1. Small and Medium-scale Enterprise
- 3.2. Large-Scale Enterprise
-
4. End User
- 4.1. Banking, Financial Services, and Insurance
- 4.2. IT and Telecommunications
- 4.3. Government and Defense
- 4.4. Healthcare
- 4.5. Other End Users
Latin America Data Center Construction Market Segmentation By Geography
-
1. Latin America
- 1.1. Brazil
- 1.2. Argentina
- 1.3. Chile
- 1.4. Colombia
- 1.5. Mexico
- 1.6. Peru
- 1.7. Venezuela
- 1.8. Ecuador
- 1.9. Bolivia
- 1.10. Paraguay
Latin America Data Center Construction Market REPORT HIGHLIGHTS
| Aspects | Details |
|---|---|
| Study Period | 2019-2033 |
| Base Year | 2024 |
| Estimated Year | 2025 |
| Forecast Period | 2025-2033 |
| Historical Period | 2019-2024 |
| Growth Rate | CAGR of > 8.71% from 2019-2033 |
| Segmentation |
|
Table of Contents
- 1. Introduction
- 1.1. Research Scope
- 1.2. Market Segmentation
- 1.3. Research Methodology
- 1.4. Definitions and Assumptions
- 2. Executive Summary
- 2.1. Introduction
- 3. Market Dynamics
- 3.1. Introduction
- 3.2. Market Drivers
- 3.2.1. Growth in Network Connectivity and Increased Adoption of Digital Transformation Related Technologies in the Region; Favorable tax Incentive Structure Introduced by Local Governments has Led to the Higher Participation from International Players; Ongoing Consolidation Efforts by Major Data Center Construction Companies to Aid their Expansion Activities; Growing Awareness on Modular Deployments and Increasing Rack Density
- 3.3. Market Restrains
- 3.3.1. Integration issues with traditional systems; Data quality and accuracy issues
- 3.4. Market Trends
- 3.4.1. IT and Telecommunications Segment to Hold a Significant Share of the Market
- 4. Market Factor Analysis
- 4.1. Porters Five Forces
- 4.2. Supply/Value Chain
- 4.3. PESTEL analysis
- 4.4. Market Entropy
- 4.5. Patent/Trademark Analysis
- 5. Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 5.1. Market Analysis, Insights and Forecast - by Infrastructure Type
- 5.1.1. Electrical Infrastructure
- 5.1.1.1. UPS Systems
- 5.1.1.2. Others Electrical Infrastructure
- 5.1.2. Mechanical Infrastructure
- 5.1.2.1. Cooling Systems
- 5.1.2.2. Racks
- 5.1.2.3. Other Mechanical Infrastructure
- 5.1.3. General Construction
- 5.1.1. Electrical Infrastructure
- 5.2. Market Analysis, Insights and Forecast - by Tier Type
- 5.2.1. Tier-I and II
- 5.2.2. Tier-III
- 5.2.3. Tier-IV
- 5.3. Market Analysis, Insights and Forecast - by Size of Enterprise
- 5.3.1. Small and Medium-scale Enterprise
- 5.3.2. Large-Scale Enterprise
- 5.4. Market Analysis, Insights and Forecast - by End User
- 5.4.1. Banking, Financial Services, and Insurance
- 5.4.2. IT and Telecommunications
- 5.4.3. Government and Defense
- 5.4.4. Healthcare
- 5.4.5. Other End Users
- 5.5. Market Analysis, Insights and Forecast - by Region
- 5.5.1. Latin America
- 5.1. Market Analysis, Insights and Forecast - by Infrastructure Type
- 6. Brazil Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 7. Argentina Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 8. Mexico Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 9. Peru Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 10. Chile Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 11. Rest of Latin America Latin America Data Center Construction Market Analysis, Insights and Forecast, 2019-2031
- 12. Competitive Analysis
- 12.1. Market Share Analysis 2024
- 12.2. Company Profiles
- 12.2.1 Ascenty Data Centers E Telecomunicacoes
- 12.2.1.1. Overview
- 12.2.1.2. Products
- 12.2.1.3. SWOT Analysis
- 12.2.1.4. Recent Developments
- 12.2.1.5. Financials (Based on Availability)
- 12.2.2 Constructora Sudamericana S A
- 12.2.2.1. Overview
- 12.2.2.2. Products
- 12.2.2.3. SWOT Analysis
- 12.2.2.4. Recent Developments
- 12.2.2.5. Financials (Based on Availability)
- 12.2.3 Fortis Construction
- 12.2.3.1. Overview
- 12.2.3.2. Products
- 12.2.3.3. SWOT Analysis
- 12.2.3.4. Recent Developments
- 12.2.3.5. Financials (Based on Availability)
- 12.2.4 Equnix Inc *List Not Exhaustive
- 12.2.4.1. Overview
- 12.2.4.2. Products
- 12.2.4.3. SWOT Analysis
- 12.2.4.4. Recent Developments
- 12.2.4.5. Financials (Based on Availability)
- 12.2.5 Aceco TI
- 12.2.5.1. Overview
- 12.2.5.2. Products
- 12.2.5.3. SWOT Analysis
- 12.2.5.4. Recent Developments
- 12.2.5.5. Financials (Based on Availability)
- 12.2.6 Delta Group
- 12.2.6.1. Overview
- 12.2.6.2. Products
- 12.2.6.3. SWOT Analysis
- 12.2.6.4. Recent Developments
- 12.2.6.5. Financials (Based on Availability)
- 12.2.7 Turner Construction Co
- 12.2.7.1. Overview
- 12.2.7.2. Products
- 12.2.7.3. SWOT Analysis
- 12.2.7.4. Recent Developments
- 12.2.7.5. Financials (Based on Availability)
- 12.2.8 ZFB Group
- 12.2.8.1. Overview
- 12.2.8.2. Products
- 12.2.8.3. SWOT Analysis
- 12.2.8.4. Recent Developments
- 12.2.8.5. Financials (Based on Availability)
- 12.2.9 DPR Construction Inc
- 12.2.9.1. Overview
- 12.2.9.2. Products
- 12.2.9.3. SWOT Analysis
- 12.2.9.4. Recent Developments
- 12.2.9.5. Financials (Based on Availability)
- 12.2.10 HostDime Brasil
- 12.2.10.1. Overview
- 12.2.10.2. Products
- 12.2.10.3. SWOT Analysis
- 12.2.10.4. Recent Developments
- 12.2.10.5. Financials (Based on Availability)
- 12.2.11 AECOM Limited
- 12.2.11.1. Overview
- 12.2.11.2. Products
- 12.2.11.3. SWOT Analysis
- 12.2.11.4. Recent Developments
- 12.2.11.5. Financials (Based on Availability)
- 12.2.12 Legrand
- 12.2.12.1. Overview
- 12.2.12.2. Products
- 12.2.12.3. SWOT Analysis
- 12.2.12.4. Recent Developments
- 12.2.12.5. Financials (Based on Availability)
- 12.2.13 CyrusOne Inc
- 12.2.13.1. Overview
- 12.2.13.2. Products
- 12.2.13.3. SWOT Analysis
- 12.2.13.4. Recent Developments
- 12.2.13.5. Financials (Based on Availability)
- 12.2.14 RITTAL Sistemas Eletromecânicos Ltda (Rittal GmbH & Co KG)
- 12.2.14.1. Overview
- 12.2.14.2. Products
- 12.2.14.3. SWOT Analysis
- 12.2.14.4. Recent Developments
- 12.2.14.5. Financials (Based on Availability)
- 12.2.1 Ascenty Data Centers E Telecomunicacoes
List of Figures
- Figure 1: Latin America Data Center Construction Market Revenue Breakdown (Million, %) by Product 2024 & 2032
- Figure 2: Latin America Data Center Construction Market Share (%) by Company 2024
List of Tables
- Table 1: Latin America Data Center Construction Market Revenue Million Forecast, by Region 2019 & 2032
- Table 2: Latin America Data Center Construction Market Revenue Million Forecast, by Infrastructure Type 2019 & 2032
- Table 3: Latin America Data Center Construction Market Revenue Million Forecast, by Tier Type 2019 & 2032
- Table 4: Latin America Data Center Construction Market Revenue Million Forecast, by Size of Enterprise 2019 & 2032
- Table 5: Latin America Data Center Construction Market Revenue Million Forecast, by End User 2019 & 2032
- Table 6: Latin America Data Center Construction Market Revenue Million Forecast, by Region 2019 & 2032
- Table 7: Latin America Data Center Construction Market Revenue Million Forecast, by Country 2019 & 2032
- Table 8: Brazil Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 9: Argentina Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 10: Mexico Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 11: Peru Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 12: Chile Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 13: Rest of Latin America Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 14: Latin America Data Center Construction Market Revenue Million Forecast, by Infrastructure Type 2019 & 2032
- Table 15: Latin America Data Center Construction Market Revenue Million Forecast, by Tier Type 2019 & 2032
- Table 16: Latin America Data Center Construction Market Revenue Million Forecast, by Size of Enterprise 2019 & 2032
- Table 17: Latin America Data Center Construction Market Revenue Million Forecast, by End User 2019 & 2032
- Table 18: Latin America Data Center Construction Market Revenue Million Forecast, by Country 2019 & 2032
- Table 19: Brazil Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 20: Argentina Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 21: Chile Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 22: Colombia Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 23: Mexico Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 24: Peru Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 25: Venezuela Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 26: Ecuador Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 27: Bolivia Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
- Table 28: Paraguay Latin America Data Center Construction Market Revenue (Million) Forecast, by Application 2019 & 2032
Frequently Asked Questions
1. What is the projected Compound Annual Growth Rate (CAGR) of the Latin America Data Center Construction Market?
The projected CAGR is approximately > 8.71%.
2. Which companies are prominent players in the Latin America Data Center Construction Market?
Key companies in the market include Ascenty Data Centers E Telecomunicacoes, Constructora Sudamericana S A, Fortis Construction, Equnix Inc *List Not Exhaustive, Aceco TI, Delta Group, Turner Construction Co, ZFB Group, DPR Construction Inc, HostDime Brasil, AECOM Limited, Legrand, CyrusOne Inc, RITTAL Sistemas Eletromecânicos Ltda (Rittal GmbH & Co KG).
3. What are the main segments of the Latin America Data Center Construction Market?
The market segments include Infrastructure Type, Tier Type, Size of Enterprise, End User.
4. Can you provide details about the market size?
The market size is estimated to be USD 5.14 Million as of 2022.
5. What are some drivers contributing to market growth?
Growth in Network Connectivity and Increased Adoption of Digital Transformation Related Technologies in the Region; Favorable tax Incentive Structure Introduced by Local Governments has Led to the Higher Participation from International Players; Ongoing Consolidation Efforts by Major Data Center Construction Companies to Aid their Expansion Activities; Growing Awareness on Modular Deployments and Increasing Rack Density.
6. What are the notable trends driving market growth?
IT and Telecommunications Segment to Hold a Significant Share of the Market.
7. Are there any restraints impacting market growth?
Integration issues with traditional systems; Data quality and accuracy issues.
8. Can you provide examples of recent developments in the market?
January 2023: The Santos Port Authority (SPA) is planning to have a new data center constructed by the Brazilian company Zeittec. Zeittec and the SPA, the state-owned organization in charge of running the Port of Santos in the state of So Paulo, have agreed to the terms of a building agreement for a new data center. It is anticipated that work on the Safe Room will begin in January and be finished in the middle of 2023. According to the firm, the SPA Safe Room will be safe from both break-ins and fires thanks to walls that have been certified by NBR 10.636 as being able to resist fire for up to 120 minutes (CF 120). It will have OM4 laser multimode optical fibers and CAT 6A structured cabling.
9. What pricing options are available for accessing the report?
Pricing options include single-user, multi-user, and enterprise licenses priced at USD 4750, USD 4950, and USD 6800 respectively.
10. Is the market size provided in terms of value or volume?
The market size is provided in terms of value, measured in Million.
11. Are there any specific market keywords associated with the report?
Yes, the market keyword associated with the report is "Latin America Data Center Construction Market," which aids in identifying and referencing the specific market segment covered.
12. How do I determine which pricing option suits my needs best?
The pricing options vary based on user requirements and access needs. Individual users may opt for single-user licenses, while businesses requiring broader access may choose multi-user or enterprise licenses for cost-effective access to the report.
13. Are there any additional resources or data provided in the Latin America Data Center Construction Market report?
While the report offers comprehensive insights, it's advisable to review the specific contents or supplementary materials provided to ascertain if additional resources or data are available.
14. How can I stay updated on further developments or reports in the Latin America Data Center Construction Market?
To stay informed about further developments, trends, and reports in the Latin America Data Center Construction Market, consider subscribing to industry newsletters, following relevant companies and organizations, or regularly checking reputable industry news sources and publications.
Methodology
Step 1 - Identification of Relevant Samples Size from Population Database
Step 2 - Approaches for Defining Global Market Size (Value, Volume* & Price*)
Note*: In applicable scenarios
Step 3 - Data Sources
Primary Research
- Web Analytics
- Survey Reports
- Research Institute
- Latest Research Reports
- Opinion Leaders
Secondary Research
- Annual Reports
- White Paper
- Latest Press Release
- Industry Association
- Paid Database
- Investor Presentations
Step 4 - Data Triangulation
Involves using different sources of information in order to increase the validity of a study
These sources are likely to be stakeholders in a program - participants, other researchers, program staff, other community members, and so on.
Then we put all data in single framework & apply various statistical tools to find out the dynamic on the market.
During the analysis stage, feedback from the stakeholder groups would be compared to determine areas of agreement as well as areas of divergence
