Dell’Oro Group forecasts DCPI market to surpass $80 billion by 2030

Dell’Oro Group projects the worldwide Data Center Physical Infrastructure market will grow at a mid‑teens Compound Annual Growth rate (CAGR) from 2025 to 2030 and surpass $80 billion, noting power scarcity and thermal constraints are reshaping facility design.

Market Overview

The report forecasts mid‑teens CAGR through 2030 with total market value exceeding $80 billion and identifies power availability as a binding constraint on near‑term expansion.

Grid interconnection delays and transmission bottlenecks are driving demand for on‑site generation to bring multi‑hundred‑megawatt and gigawatt‑scale campuses online.

Key Findings

“The DCPI market is undergoing a period of profound structural transformation,” said Alex Cordovil, Research Director at Dell’Oro Group. “Technology disruption is cascading across the stack as rising chip thermal design power and the approach of the one‑megawatt rack force fundamental changes in facility design. Despite power constraints, operators are deploying creative mitigation strategies to bring capacity online, supporting our decision to revise the DCPI growth outlook upward for the 2025‑29 period.”

Thermal management is projected to grow at a 20 percent CAGR and reach the value of the Uninterruptible Power Supply (UPS) market by decade end, while Direct Liquid Cooling (DLC) is forecast to exceed $8 billion by 2030 as fully liquid‑cooled configurations are adopted.

Technology or Trend Analysis

Cabinet power distribution units and overhead busway systems are expected to expand as slab‑based Artificial Intelligence (AI) facilities adopt those architectures, and emerging Dual Connectivity (DC) DC power distribution architectures may influence late‑decade deployments.

Segment or Supplier Performance

Service providers, including cloud, colocation, and neo cloud operators, are forecast to increase DCPI spending at roughly five times the rate of enterprise customers, reflecting higher capital intensity for AI‑ready infrastructure.

Forecast or Analyst Outlook

The analyst revised the growth outlook upward for 2025–29 and cites rising chip Thermal Design Power (TDP) and the approach of the one‑megawatt rack as drivers of facility design changes that support the mid‑teens CAGR projection through 2030.

This summary highlights the reports central findings for technical and executive readers. This Analyst Signals brief reflects a neutral, fact-based summary of the original research note.