Chile Data Center Market Investment Analysis (2025-2030): Projected Growth and Challenges

The Chile Data Center Market is projected to grow from USD 773 million in 2024 to USD 1.24 billion by 2030, marking a CAGR of 8.27%. Hyperscalers like Google and AWS are drawn to the country’s favorable conditions, despite environmental challenges like prolonged drought. A new association was formed to unify operators, and the report details existing and upcoming facilities, investment dynamics, and key players in the market.

The Chile Data Center Market is projected to experience significant growth, increasing from USD 773 million in 2024 to an estimated USD 1.24 billion by 2030, with a compound annual growth rate (CAGR) of 8.27%. This growth is driven by the presence of major hyperscalers such as Google, Amazon Web Services, and Microsoft, which are drawn to Chile due to its renewable energy commitment, excellent infrastructure, strategic location, and favorable regulatory environment.

Despite this positive outlook, the market faces challenges, particularly concerning environmental issues from a significant drought expected to persist until 2040, impacting water usage in data center operations.

In a collaborative effort to bolster the industry, several data center operators established a new association, Chile Data Centers, in November 2024. Founding members include Equinix, Scala Data Centers, Ascenty, and EdgeConneX, among others.

Report features include comprehensive market sizing across various factors such as investments, area, and power capacity, as well as future forecasts for the colocation market. The total number of facilities currently operational in Chile is 37, while nine additional facilities are planned.

With a detailed look at existing and upcoming data centers across six cities, the report provides insights into market dynamics, including revenue forecasts for retail and wholesale colocation, and pricing trends. Numerous global and local operators, like Equinix and Ascenty, are involved in colocation services, with Santiago emerging as the principal hub for data center development.

IT infrastructure providers such as Cisco, Dell Technologies, and IBM, alongside construction contractors like AECOM and Fluor Corporation, play significant roles in this thriving market. Additionally, key players like Amazon and Microsoft are entering the market, showcasing the competitive landscape.

The report also outlines vital aspects of the sector, including growth drivers and barriers, thereby offering a complete picture of the Chile Data Center Market and its investment outlook for the period from 2025 to 2030.

In conclusion, the Chile Data Center Market is poised for robust growth, driven by the expansion of hyperscaler facilities and strategic investments in infrastructure. However, the challenges posed by environmental issues necessitate careful planning and management. The establishment of associations and the involvement of leading technology providers further enhance the market’s potential. As such, stakeholders should remain informed about trends and forecasts to navigate this evolving landscape effectively.

Original Source: www.globenewswire.com