International Data Center Day: Key Insights from Industry Experts

International Data Center Day serves as a reminder of the importance of this sector to the global economy. By raising awareness and fostering a greater understanding of the industry’s challenges and opportunities, we can help ensure that data centers remain at the heart of the digital revolution for years to come.

 

The People Behind the Power

The data center industry is known for its cutting-edge technology and pivotal role in supporting the digital infrastructure that powers everything from cloud services to artificial intelligence (AI). However, industry professionals emphasise that it’s the people behind the infrastructure that make the industry so unique.

Jason Moore, Head of UK & EUR, highlights the diversity of talent that the industry attracts: “It attracts talent from such a variety of backgrounds and gives us the opportunity to meet these people!” In an industry that thrives on innovation, the ability to bring together a wide range of expertise is one of its strongest assets.

Matt Thomas, Divisional Manager also shares his passion for engaging with people who are shaping the digital infrastructure of tomorrow: “I enjoy speaking with people that are at the forefront of developing digital infrastructure to help the digitisation of the world.”

 

Why Data Centers? A Sector of Growth and Opportunity

The data center sector continues to experience remarkable growth, with the increasing demand for digital services driving expansion across the globe. According to recent reports, including those from the International Energy Agency (IEA), data centers are projected to consume over 1,000 terawatt-hours (TWh) of electricity by 2026, more than double their 2022 consumption. This rapid growth is a reflection of the industry’s central role in the digital economy.

For Jason Moore, Head of UK & EUR, the data center industry is at the forefront of the digital revolution “and provides such a wide variety of opportunities that it’s the ideal growth market for us. We are proud of the fact we made the bold decision to specialise in this market years ago!” The market’s rapid expansion is creating a wealth of opportunities for businesses and professionals alike.

Matt Thomas, Divisional Manager points out the often unexpected career paths that many take into the data center sector and adds that “Most people say that they didn’t choose this industry; people tend to fall into it. But once you are in it, there is a genuine sense of community and people working toward a common goal.” The unique nature of the industry often leads to an enduring sense of camaraderie among professionals working toward shared objectives. This sense of community is also driven by the increasing demand for skilled professionals, as the industry faces rapid growth and the need to expand its workforce. Nathan Gordon, Principal Consultant adds, “It’s one of the most exciting hyper-growth markets to work in and is attractive for candidates.” As the demand for talent continues to rise, the industry must adapt to meet the challenges of its expansion.

 

What are the challenges facing the data center industry?

As the data center industry expands, it faces several significant challenges that need to be addressed to ensure its continued success.

The Power Problem: A Growing Concern

One of the most pressing challenges facing the data center sector is its growing energy consumption. As the digital world becomes more reliant on cloud computing, AI, and other data-intensive technologies, the demand for energy continues to rise. In the U.S. alone, data centers accounted for about 4.4% of total electricity consumption in 2023, with that figure projected to increase significantly in the coming years, according to the Department of Energy (DoE).

Jason Moore touches on “While AI drives growth and raises excitement levels, the challenge of solving the power problem remains unanswered, leaving industries, particularly data centers, searching for sustainable and scalable energy solutions.” The increasing use of AI, which requires vast amounts of computing power, is exacerbating the energy challenge, making it imperative for the industry to find innovative solutions to secure and optimise power consumption.

Talent Shortages: Competing for Expertise

Another challenge the industry faces is the competition for skilled professionals. Data centers require a highly specialised workforce, and the shortage of talent in key areas is becoming more pronounced. According to the Uptime Institute’s 2024 Global Data Center Survey, the talent shortage continues to be a barrier to meeting demand, particularly in mid-level and junior operations positions. The demand for skilled professionals in construction, engineering, and operations is outstripping supply, which is driving up wages and increasing competition among companies.

“Focus on good, talented people and you’ll improve your chances of winning the race to secure power,” says Matt Thomas. While the industry is struggling to secure power, it’s also facing the tough task of finding the right people to keep growing and running efficiently.

Nathan Gordon points out that the shortage of qualified construction professionals is driving up costs in the sector: “Demand for construction professionals is outstripping supply and pushing salaries higher.” With companies finding it harder to recruit and keep skilled workers, meeting the growing demand for data centers is becoming an even bigger challenge.

 

What does the future hold for the data center industry?

Despite these challenges, the future of the data center industry remains bright. As AI, IoT, and other technologies continue to evolve, the demand for data center services is expected to increase exponentially. To meet this demand, the industry will need to invest in energy-efficient solutions, workforce development, and long-term sustainability initiatives.

The data center industry is not only a growth sector, it is a vital infrastructure that powers the digital world. As expert consultants within the data center industry, like Jason Moore, Matt Thomas, and Nathan Gordon highlight, it’s an industry built on the expertise and dedication of people working together to overcome challenges and build the future of digital infrastructure. The future is undoubtedly exciting, and the opportunities within the sector are boundless.