A recent report by Allianz Commercial highlights a massive surge in global data centre construction, driven by the rapid expansion of artificial intelligence (AI) and cloud computing technologies. Investments in data centres are projected to reach trillions of dollars by 2030, as the demand for digital infrastructure continues to soar.
The United States and China lead this global boom, with Europe following closely behind, recording a 43% annual increase in development activity. Once costing between USD 200–300 million, many modern data centre projects now range from USD 500 million to USD 2 billion, with some mega-projects surpassing USD 20 billion.
In the U.S. alone, data centres are expected to consume around 81 GW of power by 2028, nearly two-thirds of the global total. China’s rapid expansion continues, with the Greater Beijing region alone accounting for about 10% of global hyperscale capacity.
However, the exponential growth brings major challenges — including high power demand, environmental concerns, lithium-ion battery fire risks, and excessive water usage for cooling. The Asia-Pacific region, which already represents 30% of global capacity, is expected to grow at 21% CAGR through 2028, with emerging hubs in India, Malaysia, and Indonesia.
Experts emphasize the need for robust risk management and sustainable practices to support this unprecedented infrastructure expansion.
