Investment potential of the data centre economy continues to rise
As demand for data centres accelerates, diverse investor groups are taking notice
Globally, total investment in data centres reached $70.6bn in 2024 and this is projected to grow by 5% to $74.3bn this year, according to GlobalData. As digital transformation continues to reshape economies, data centres are no longer just a support function but are becoming critical infrastructure.
In the GCC, this shift is particularly significant.
Data centres are increasingly being recognised as a fifth utility, alongside water, electricity, gas and telecommunications. As governments, businesses and individuals migrate to the cloud to improve efficiency and unlock new revenue streams, the demand for robust digital infrastructure is surging.
According to regional project tracker MEED Projects, $7bn-worth of data centre projects are currently under construction in the region, covering civil and mechanical, electrical and plumbing (MEP) works alone, excluding the high-value equipment and systems within the facilities. An additional $13bn in projects are in pre-execution phases, with activity expected to ramp up quickly as hyperscalers commit to multibillion-dollar investments across the region, particularly in Saudi Arabia and the UAE.
On the global stage, the momentum is just as strong. Earlier this year, founder of UAE-based Damac Properties, Hussain Sajwani, announced a $20bn data centre investment in the US alongside US President Donald Trump. Just days later, the $500bn Stargate Project was launched, aimed at building a nationwide artificial intelligence (AI) infrastructure in the US, with support from MGX, Abu Dhabi’s $100bn AI and technology fund.
