The Latin America, Middle East and Africa Modular Data Center Market is expected to witness market growth of 19.6% CAGR during the forecast period (2024-2031).
The Brazil market dominated the LAMEA Modular Data Center Market by country in 2023, and is expected to continue to be a dominant market till 2031; thereby, achieving a market value of $1.69 billion by 2031. The Argentina market is showcasing a CAGR of 20.3% during 2024-2031. Additionally, the UAE market would register a CAGR of 18.5% during 2024-2031.
These data centers become even more critical as industries adopt 5G-enabled applications that demand instantaneous data processing. Autonomous vehicles, for example, depend on edge infrastructure to process enormous quantities of sensor data in real-time, thereby guaranteeing safety and seamless navigation. Similarly, augmented reality (AR) applications in gaming, retail, and education require low-latency processing to deliver immersive experiences.
In addition to technological advancements, economic factors drive the adoption of these data centers. Traditional data center construction involves significant upfront costs, long timelines, and ongoing maintenance expenses. In contrast, these data centers offer cost-effective alternatives with shorter deployment cycles and predictable expenses. This affordability makes them an attractive option for small and medium-sized enterprises (SMEs), which may lack the resources to invest in large-scale facilities but still require robust data processing capabilities.
In South Africa, the increasing adoption of cloud computing has spurred significant investment in these data centers. Around 77% of large South African companies have already implemented cloud computing in some form, creating a strong demand for localized data infrastructure. Key players such as BCX, Huawei, AWS, Microsoft, and Oracle are establishing and expanding data centers in the region, aiming to transform South Africa into a regional data hub. These data centers are critical in addressing this demand, offering scalable and energy-efficient solutions to support the growing digital economy. This shift positions South Africa as a leader in the African data center industry while attracting further investments to enhance its technological capabilities. Therefore, modular data centers are essential in satisfying the increasing demands of economies in LAMEA that are adopting technologies such as cloud computing, IoT, and AI.
The Brazil market dominated the LAMEA Modular Data Center Market by country in 2023, and is expected to continue to be a dominant market till 2031; thereby, achieving a market value of $1.69 billion by 2031. The Argentina market is showcasing a CAGR of 20.3% during 2024-2031. Additionally, the UAE market would register a CAGR of 18.5% during 2024-2031.
These data centers become even more critical as industries adopt 5G-enabled applications that demand instantaneous data processing. Autonomous vehicles, for example, depend on edge infrastructure to process enormous quantities of sensor data in real-time, thereby guaranteeing safety and seamless navigation. Similarly, augmented reality (AR) applications in gaming, retail, and education require low-latency processing to deliver immersive experiences.
In addition to technological advancements, economic factors drive the adoption of these data centers. Traditional data center construction involves significant upfront costs, long timelines, and ongoing maintenance expenses. In contrast, these data centers offer cost-effective alternatives with shorter deployment cycles and predictable expenses. This affordability makes them an attractive option for small and medium-sized enterprises (SMEs), which may lack the resources to invest in large-scale facilities but still require robust data processing capabilities.
In South Africa, the increasing adoption of cloud computing has spurred significant investment in these data centers. Around 77% of large South African companies have already implemented cloud computing in some form, creating a strong demand for localized data infrastructure. Key players such as BCX, Huawei, AWS, Microsoft, and Oracle are establishing and expanding data centers in the region, aiming to transform South Africa into a regional data hub. These data centers are critical in addressing this demand, offering scalable and energy-efficient solutions to support the growing digital economy. This shift positions South Africa as a leader in the African data center industry while attracting further investments to enhance its technological capabilities. Therefore, modular data centers are essential in satisfying the increasing demands of economies in LAMEA that are adopting technologies such as cloud computing, IoT, and AI.
List of Key Companies Profiled
- ABB Group
- Schneider Electric SE
- Eaton Corporation plc
- Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
- Johnson Controls International PLC
- Delta Electronics, Inc.
- Altron a.s.
- Vertiv Group Corp.
- Hubbell Incorporated
- Hewlett Packard Enterprise Company
Market Report Segmentation
By Component
- Solutions
- All-in-one Modules
- Individual Modules
- IT Modules
- Power
- Cooling
- Services
- Integration & Deployment
- Design & Consulting
- Maintenance & support
By Organization Size
- Large Enterprises
- Small & Medium Enterprises
By Industry Vertical
- IT & Telecom
- BFSI
- Healthcare
- Government & Defense
- Media & Entertainment
- Retail
- Other Industry Vertical
By Country
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 4. Competition Analysis - Global
Chapter 5. LAMEA Modular Data Center Market by Component
Chapter 6. LAMEA Modular Data Center Market by Organization Size
Chapter 7. LAMEA Modular Data Center Market by Industry Vertical
Chapter 8. LAMEA Modular Data Center Market by Country
Chapter 9. Company Profiles
Companies Mentioned
- ABB Group
- Schneider Electric SE
- Eaton Corporation plc
- Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
- Johnson Controls International PLC
- Delta Electronics, Inc.
- Altron a.s.
- Vertiv Group Corp.
- Hubbell Incorporated
- Hewlett Packard Enterprise Company
Methodology
LOADING...
