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Vietnam

Data Center Construction Market

Data Center Construction: A Global and Vietnam-Focused Research Report

Researcher: Dr. Duong Van Thinh

Chairman, Vietnam AI & Data Center Institute

 

1. Executive Summary

The data center construction industry is at the heart of the digital economy’s infrastructure, driven by rapid growth in cloud computing, artificial intelligence (AI), edge computing, and enterprise digital transformation. As enterprises and governments demand resilient, scalable, and energy-efficient facilities, global construction activity has surged. This report examines the value of the data center construction market in 2025 — both globally and in Vietnam — segmented by key infrastructure types. It also projects leading countries in 2026 and compares Vietnam’s prospects with other ASEAN nations.

 

2. Global Data Center Construction Market in 2025

In 2025, the global data center construction market is estimated at approximately USD 36.38 billion, with projections to grow to around USD 40.3 billion in 2026 and further to over USD 101 billion by 2035, representing a compound annual growth rate (CAGR) of ~10.8%. 

 

2.1 By Infrastructure Segment (Global)

The market is typically segmented into four major infrastructure types: electrical infrastructure, mechanical infrastructure, networking/IT infrastructure, and others (general construction and associated services).

  • Electrical Infrastructure:
    Electrical systems — including power distribution units (PDUs), UPS systems, backup generators, and power redundancy systems — accounted for the largest share globally at approximately USD 13.82 billion in 2025 (~38%) of the total data center construction value. 

  • Mechanical Infrastructure:
    Mechanical infrastructure — chiefly cooling, ventilation, and thermal management — represented about USD 11.27 billion (~31%) of the 2025 market. 

  • Networking & IT Infrastructure:
    While not always reported explicitly in every construction market report (most global studies focus on electrical, mechanical, and general construction), the data center infrastructure market (a broader measure) places networking and IT systems as a significant portion of investment in servers, storage, and connectivity, often forming a substantial share following electrical and mechanical components. 

  • Others (General Construction & Civil Works):
    General construction — including site preparation, structural works, fire safety, and physical infrastructure — comprises the rest of market value, overlapping with structural and architectural costs that support scalable and resilient facilities. In some global footprint analyses, this segment contributes similarly to electrical and mechanical slices. 

 

Total Global Value 2025: ~USD 36.38 billion by construction services alone. 

 

Additionally, broader industry estimates that include all construction, IT systems, and equipment can put 2025 global data center construction and related market value between ~USD 239 billion and more than USD 276 billion in larger integrated market definitions. 

 

3. Vietnam Data Center Construction Market in 2025

Vietnam’s data center construction market, while much smaller than global figures, is rapidly emerging as a regional hub.

 

3.1 Total Value (2025)

According to market research, Vietnam’s data center construction market is estimated at approximately USD 0.79 billion in 2025. 

 

3.2 By Infrastructure Segment (Vietnam)

Detailed data for Vietnam’s segmentation in 2025 shows strong component contributions from:

 

  • Electrical Infrastructure: Power backup systems and distribution hold the majority share in 2024, with 56.3% market share (power backup segment) among infrastructure construction expenditures in the last measured period, indicating significant emphasis on electrical reliability. 

  • Mechanical Infrastructure: Cooling systems accounted for 45.2% of mechanical infrastructure demand in 2024, reflecting the importance of thermal management in Vietnam’s data center builds. 

  • Networking/IT Infrastructure: This segment is increasingly important, especially with hyperscale and colocation facilities gearing up for higher connectivity demands — although precise 2025 figures by share are limited. 

  • General Construction & Others: Land, civil works, security, and structural elements remain essential but smaller individual contributors relative to electrical and mechanical systems in Vietnam’s market data. 

 

There is also an industry report that places the Vietnam Data Center Infrastructure Market (including IT, electrical, mechanical, and civil/structural) at USD 880.80 million in 2025, projected to grow to USD 3.0+ billion by 2035. 

 

4. Leading Countries in Data Center Construction in 2026

4.1 Global Leaders in 2026

 

In 2026, several countries are projected to dominate the data center construction market due to robust digital economies, extensive cloud and hyperscale activity, supportive policies, and capital flows:

  • United States & Canada: North America historically accounts for the largest share of construction value, driven by hyperscale expansion and advanced cloud infrastructure. 

  • China: Rapid cloud growth, regional digital services, and major hyperscale builds place China among top leaders.

  • India: Emerging as a significant hub for data center construction, with cities like Mumbai ranking high in under-construction capacity. 

  • Europe (UK, Germany, France): Steady investments with a focus on data sovereignty and sustainable builds.

  • Asia-Pacific: Rapid growth across Singapore, Malaysia, Japan, and South Korea supported by enterprise and telco demand. 

 

Why These Countries Lead:

  • Large domestic markets with significant cloud and AI adoption.

  • Strong investment incentives, including tax and regulatory support.

  • Existing connectivity ecosystems and access to renewable energy.

  • Presence of global hyperscale operators (e.g., AWS, Microsoft, Google).

 

5. Vietnam Compared to ASEAN Countries

Vietnam’s data center construction market remains smaller in absolute terms compared to some ASEAN peers:

  • Singapore: Historically a major regional hub (though growth was temporarily curtailed due to sustainability concerns). 

  • Malaysia: Rapidly expanding with significant foreign investments and large planned capacity. 

  • Indonesia & Thailand: Growing markets with increasing digital transformation activities.

 

However, Vietnam’s strengths include:

  • Competitive construction costs (among the lowest in Asia-Pacific). 

  • Strong policy push toward digital infrastructure and foreign investment.

  • Strategic location and growing enterprise/cloud adoption.

  • Rising colocation and hyperscale development interest.

 

6. Conclusion

The data center construction market in 2025 is a multi-billion-dollar global industry, with electrical infrastructure leading the investment share, followed by mechanical and networking components. Vietnam’s market, though smaller, shows strong growth potential and strategic importance within ASEAN. As digital demand and AI workloads expand, economies with strong cloud ecosystems, policy support, and renewable energy integration are poised to lead the next phase of data center construction growth.

 

Report compiled by:

Dr. Duong Van Thinh

Chairman, Vietnam AI & Data Center Institute

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