Dell'Oro Group Reports $10.9B DCPI Revenue in 4Q 2025

Dell'Oro Group reported that the worldwide Data Center Physical Infrastructure market reached $10.9 billion in manufacturer revenue in 4Q 2025. The firm said the year-over-year rise, along with vendor backlog growth across multiple infrastructure areas, offers a measure of demand strength entering 2026.

Dell'Oro Group’s Data Center Physical Infrastructure quarterly report showed growth of approximately 20 percent year-over-year in 4Q 2025. The report described demand continuing to outpace supply across most infrastructure categories, and it referenced a modest upward revision to its outlook.

The firm’s 4Q 2025 findings covered uninterruptible power supplies (UPS), thermal management, cabinet power distribution and busway, rack power distribution, IT racks and containment, and software and services. It also stated that manufacturing revenues were allocated by cloud service providers, telco, colocation, and enterprise customer segments.

In the report’s additional highlights, Dell'Oro Group said Direct Liquid Cooling (DLC) continued multi-year expansion tied to liquid-cooled architectures for Artificial Intelligence (AI) cluster deployments. The firm also said Uninterruptible Power Supply (UPS) system revenue remained steady, with demand concentrated in high-capacity three-phase systems, and it reported North America leading global growth while EMEA and Asia Pacific were expected to accelerate through 2026.

“What stands out in 4Q 2025 is not just the headline growth number—it's the breadth of vendor backlogs building across power, cooling, and distribution segments simultaneously,” said Alex Cordovil, Research Director at Dell'Oro Group. “This synchronized backlog surge is a strong leading indicator for 2026, and our forecast reflects a modest upward revision to our outlook.”