Dell’Oro Group projects data center capex will reach $1.7 trillion by 2030
Dell’Oro Group projects worldwide data center Capital Expenditure (CAPEX) will total $1.7 trillion by 2030 and approach $1 trillion in 2026, requiring IT and enterprise leaders to prepare for higher demand for compute, networking, storage, and power.
Market Overview
The report attributes the multi-year Artificial Intelligence (AI) expansion cycle to increased infrastructure spending by hyperscalers, neo cloud providers, AI model builders, and sovereign cloud initiatives.
Key Findings
“The Top 4 US hyperscale cloud service providers—Amazon, Google, Meta, and Microsoft—entered 2026 with strong momentum, raising combined data center capital expenditures to nearly $600 Billion,” said Baron Fung, Senior Research Director at Dell’Oro Group.
“Beyond the Top 4 US hyperscale cloud service providers, AI model builders, neo cloud providers, and sovereign cloud initiatives are accelerating their own data center deployments. As a result, global data center capex is expected to approach $1 Trillion in 2026, reaching a major industry milestone sooner than anticipated,” said Baron Fung.
Segment or Supplier Performance
The Top 4 US hyperscalers are projected to represent about half of global data center CAPEX by 2030, while Dell’Oro forecasts emerging AI model builders and neo cloud providers will increase their share of spending.
Technology or Trend Analysis
Dell’Oro expects accelerated servers for AI training and domain-specific workloads could account for approximately two-thirds of total data center infrastructure spending by 2030, and that deployments are raising demand for networking, storage, inference capacity, and advanced power and cooling.
Forecast or Analyst Outlook
The report projects global data center CAPEX at $1.7 trillion by 2030 and notes global data center CAPEX is expected to approach $1 trillion in 2026 as hyperscalers and other providers expand deployments.
This Analyst Signals brief reflects a neutral, fact-based summary of the original research note.