The Green Data Center Market is driven by energy efficiency, AI advancements, and rising demand for sustainable infrastructure worldwide.

AUSTIN, TX, UNITED STATES, February 26, 2025 /EINPresswire.com/ -- The Green Data Center Market size was valued at USD 62.9 billion in 2023 and is expected to reach USD 272.2 billion by 2032, growing at a CAGR of 17.7% from 2024 to 2032. This report includes adoption rates of emerging technologies, network infrastructure expansion by region, cybersecurity incidents, and cloud services usage by region. The market is driven by increasing energy efficiency demands, regulatory policies, and the shift toward renewable energy. Advancements in AI and sustainable cooling solutions further accelerate market growth.

Keyplayers:
?Schneider Electric (EcoStruxure IT, Galaxy VM)
?Vertiv Group Corp. (Liebert EXL S1, Trellis)
?Eaton Corporation (Power Xpert, 93PM UPS)
?Huawei Technologies Co., Ltd. (FusionModule2000, SmartLi UPS)
?IBM Corporation (IBM Cloud Paks, Energy Efficiency Solutions)
?Rittal GmbH & Co. KG (LCP DX Cooling, RiMatrix S)
?Siemens AG (BlueVault Energy Storage, Desigo CC)
?Delta Electronics, Inc. (InfraSuite Datacenter Solution, Modulon DPH UPS)
?Cisco Systems, Inc. (Cisco Nexus Switches, UCS Power Manager)
?Hewlett Packard Enterprise (HPE Synergy, HPE Aruba GreenLake)

By Component, Solution Segment Dominates the Green Data Center Market with 65% Revenue Share in 2023
The solution segment dominated the Green Data Center Market in 2023, with a share of 65% of the total revenue. The increased demand for energy-efficient technologies such as improved cooling systems, power management, and eco-friendly hardware is driving this growth. Cooling systems alone consume almost 40% of the energy in a data center, states the U.S. Department of Energy. In order to increase efficiency, organizations are progressively embracing innovative solutions such as liquid cooling and artificial intelligence-based energy management systems, drastically enhancing energy consumption and sustainability in data center operations.

By Enterprise Size, Large Enterprises Dominate the Green Data Center Market in 2023, Holding 71% Revenue Share
In 2023, the large enterprise segment commanded the Green Data Center Market with 71% revenue share. IT, telecom, and financial corporations create huge volumes of data that need to be processed and stored in an efficient manner. Large businesses, as per the U.S. Federal Energy Regulatory Commission, make significant investments in infrastructure to increase sustainability and adhere to environmental policies. Their emphasis on energy-efficient technologies, sophisticated cooling technologies, and integration of renewable energy is pushing the use of green data centers to maximize efficiency and minimize carbon footprints.

By End-use, BFSI Sector Captures 23% Revenue Share in Green Data Center Market in 2023, IT & Telecom Sector Poised for Strong Growth
In 2023, the BFSI industry accounted for 23% of the revenue of the Green Data Center Market, driven by the demand for secure, energy-efficient data storage solutions. Financial institutions are increasingly using green data centers to lower operational expenses while meeting stringent energy regulations, as reported by the U.S. Federal Reserve. This transition reflects the industry's focus on sustainability and regulatory compliance.
The IT & Telecom sector is anticipated to expand at the fastest CAGR over the forecast period, stimulated by rising data needs. In a 2023 report, the U.S. Federal Communications Commission estimates 10% year-over-year growth in telecom data needs. Growth in 5G technology, digitalization, and increasing cloud service dependency is fueling demand for energy-efficient, scalable green data center facilities globally.

North America Leads the Green Data Center Market with 39% Share in 2023, Asia-Pacific Set for fastest Growth
In 2023, North America dominated the Green Data Center Market, holding a 39% share, led by the U.S. The region benefits from advanced technology infrastructure and stringent government policies promoting energy efficiency. The Data Center Optimization Initiative encourages reduced energy consumption and sustainable operations. Additionally, the presence of major players like Google, Amazon, and Microsoft further accelerates market growth by driving innovation and expanding eco-friendly data center solutions.

The Asia-Pacific region is expected to witness significant growth from 2024 to 2032. China’s Ministry of Industry and Information Technology plans to establish over 100 green data centers by 2025 to support carbon neutrality goals. Meanwhile, India introduced its National Green Data Center Policy in 2023, offering incentives for operators to adopt renewable energy and energy-efficient technologies. These government-led initiatives are fueling rapid adoption and expansion of sustainable data centers across the region.

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