North America Data Center Colocation Market (2026-2032) | Share, Trends, Outlook ,Analysis, Value, Growth, Revenue, Industry, Size, Companies & Forecast
Market Forecast by Countries (United States, Canada), By Type (Retail colocation, Wholesale colocation), By End-User (Small and Medium-Sized Enterprises (SMEs), Large Enterprises), By Industry (Banking, Financial Services, and Insurance (BFSI), IT and telecom, Government and defense, Healthcare, Research and academics, Retail, Energy, Manufacturing) And Competitive Landscape
| Product Code: ETC4621263 | Publication Date: Jul 2023 | Updated Date: Dec 2025 | Product Type: Report | |
| Publisher: 6Wresearch | Author: Ravi Bhandari | No. of Pages: 200 | No. of Figures: 90 | No. of Tables: 300 |
North America Data Center Colocation Market Size & Growth Rate
According to 6Wresearch internal database and industry insights, the North America Data Center Colocation Market was valued at USD 14.8 billion in 2025 and is projected to reach nearly USD 27.6 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 9.2% during the forecast period (2026-2032).
Five-Years Growth Trajectory of the North America Data Center Colocation Market with Core Drivers
Below mentioned are the evaluation of year-wise growth rate along with key drivers:
| Years | Est. Annual Growth (%) | Growth Drivers |
| 2021 | 4.2 | Rising cloud adoption and demand for scalable IT infrastructure. |
| 2022 | 4.8 | Increased enterprise investments in data security and redundancy. |
| 2023 | 5.3 | Expansion of hyperscale facilities and edge computing infrastructure. |
| 2024 | 5.8 | Growing demand for high availability, low-latency connectivity, and compliance. |
| 2025 | 6.4 | Adoption of hybrid IT, multi-cloud strategies, and colocation outsourcing. |
Topics Covered in the North America Data Center Colocation Market Report
North America Data Center Colocation Market report thoroughly covers the market by countries, types, end-users, industries, and related services. The market report provides a detailed analysis of ongoing market trends, high-growth opportunities, and market drivers, helping stakeholders plan strategies aligned with current and future dynamics.
North America Data Center Colocation Market Highlights
| Report Name | North America Data Center Colocation Market |
| Forecast Period | 2026-2032 |
| Market Size | USD 27.6 billion by 2032 |
| CAGR | 9.2% |
| Growing Sector | BFSI |
North America Data Center Colocation Market Synopsis
The North America Data Center Colocation Market is expected to have strong growth due to increasing enterprise IT demand, cloud adoption, and digital transformation. High-speed, secure, and compliant colocation facilities are driving adoption among large enterprises and SMEs. Edge data centers are gaining traction to support latency-sensitive applications. Government initiatives promoting cybersecurity standards, data sovereignty, and critical infrastructure resilience further propel market expansion. The adoption of renewable energy and energy-efficient designs is increasing sustainability in colocation operations.
Evaluation of Growth Drivers in the North America Data Center Colocation Market
Below mentioned are some growth drivers and their impact on market dynamics:
| Drivers | Primary Segments Affected | Why It Matters |
| Rising Cloud & IT Adoption | All Types & End-Users | Drives demand for scalable colocation space |
| Data Security & Compliance | Government & BFSI | Ensures secure operations |
| Edge Computing Growth | Large Enterprises | Reduces latency for critical apps |
| Hybrid IT Strategies | SMEs & Large Enterprises | Optimizes cost and infrastructure |
| Sustainable Energy & Cooling Solutions | All Types | Reduces operational costs |
The North America Data Center Colocation Market is expected to witness significant growth at a growing CAGR of 9.2% during the forecast period of 2026-2032. The market is driven by increasing demand for scalable and secure IT infrastructure across north America. Furthermore, hybrid cloud adoption, and energy-efficient data centers are catering to the industry demand for efficient data centre colocation. We can see, enterprises are investing in high-performance colocation facilities to ensure uptime, data protection, and regulatory compliance. Evidently, growth of BFSI, IT, and telecom sectors, melded with increasing digital transformation initiatives, fuels the market adoption. Also, innovations in cooling, power optimization, and advanced connectivity enhance operational efficiency, making colocation an attractive solution for businesses seeking reliable, cost-effective, and flexible data center services.
Evaluation of Restraints in the North America Data Center Colocation Market
Below mentioned are some major restraints and their influence on market dynamics:
| Restraints | Primary Segments Affected | What This Means |
| High Infrastructure Costs | Retail & Wholesale | It basically increases the entry barriers. |
| Power Supply & Utility Limitations | All Types | It can easily delay deployment. |
| Regulatory Compliance Complexity | Government & BFSI | Gives rise to operational burden within the market. |
| Land & Space Scarcity | Urban Locations | Stops further growth of the market. |
| Vendor Lock-in & Contract Rigidities | SMEs & Enterprises | Makes rigidity high in the industry. |
North America Data Center Colocation Market Challenges
The North America Data Center Colocation Market faces numerous hurdles in its path of growth. These hurdles include power consumption and energy costs challenges effecting operational efficiency. Compliance with regional and federal regulations for data storage, cybersecurity, and redundancy requires continuous investment. Limited availability of prime real estate in urban areas constrains expansion. Growing demand for edge and hyperscale facilities adds infrastructure pressure.
North America Data Center Colocation Market Trends
Some major trends contributing to the development of North America Data Center Colocation Market Growth are:
- Edge Colocation Demand: it supports low-latency applications and IoT workloads near end-users.
- Green Data Centers: Makes increasing adoption of renewable energy and advanced cooling systems.
- Hybrid & Multi-Cloud Integration: Providers offer direct cloud connectivity for seamless enterprise IT operations.
- AI-Driven Monitoring & Automation: Enhancing efficiency, predictive maintenance, and operational uptime.
Investment Opportunities in the North America Data Center Colocation Market
Here are some investment opportunities in the North America Data Center Colocation Industry:
- Expand Hyperscale & Edge Facilities: To cater to latency-sensitive applications.
- Invest in Energy-Efficient Designs: Reduce operational costs and meet ESG goals.
- Direct Cloud Interconnection Services: Provide hybrid IT solutions for enterprises.
- Cross-Border Connectivity Networks: provides with the data transfer speed and resilience across regions.
Top 5 Leading Players in the North America Data Center Colocation Market
Here are some top companies contributing to the North America Data Center Colocation Market Share:
1. Equinix
| Company Name | Equinix |
|---|---|
| Established Year | 1998 |
| Headquarters | Redwood City, California, United States |
| Official Website | Click Here |
Equinix is a global leader in colocation services, offering hyperscale and retail facilities with strong cloud interconnection and managed services across North America.
2. Digital Realty
| Company Name | Digital Realty |
|---|---|
| Established Year | 2004 |
| Headquarters | Austin, Texas, United States |
| Official Website | Click Here |
Digital Realty provides scalable colocation, data center, and interconnection solutions, supporting hybrid cloud and enterprise IT infrastructures.
3. CyrusOne
| Company Name | CyrusOne |
|---|---|
| Established Year | 2000 |
| Headquarters | Dallas, Texas, United States |
| Official Website | Click Here |
CyrusOne specializes in large-scale colocation and enterprise-class data centers, emphasizing high reliability and security.
4. CoreSite Realty Corporation
| Company Name | CoreSite Realty Corporation |
|---|---|
| Established Year | 2001 |
| Headquarters | Denver, Colorado, United States |
| Official Website | Click Here |
CoreSite offers colocation and interconnection solutions with multi-cloud access and low-latency network connectivity.
5. QTS Realty Trust
| Company Name | QTS Realty Trust |
|---|---|
| Established Year | 2003 |
| Headquarters | Overland Park, Kansas, United States |
| Official Website | Click Here |
QTS Realty Trust delivers colocation, hyperscale, and managed data center solutions with strong focus on compliance, security, and sustainability.
Government Regulations Introduced in the North America Data Center Colocation Market
Data security and operational compliance are enforced by government programs including the Federal Risk and Authorization Management Program (FedRAMP), the Critical Infrastructure Protection (CIP) standards, and the U.S. National Institute of Standards and Technology (NIST) guidelines. Secure data processing is governed by Canada's Digital Government Strategy and the Personal Information Protection and Electronic Documents Act (PIPEDA). Green data centers are encouraged by state-level incentives and local energy-efficiency standards. Adoption of high-reliability colocation systems is promoted by defense contracts and public sector initiatives.
Future Insights of the North America Data Center Colocation Market
The market is expected to grow steadily with rising enterprise IT workloads, cloud integration, and demand for resilient and scalable infrastructure. Hyperscale and edge facilities will dominate growth. Sustainability initiatives, AI-based monitoring, and hybrid IT adoption will shape the market. Data center colocation providers are likely to focus on managed services, direct cloud interconnection, and advanced cooling technologies. Continuous infrastructure innovation, regulatory compliance, and investment in connectivity will enhance market expansion and long-term growth.
Market Segmentation Analysis
The report offers a comprehensive study of the subsequent market segments and their leading categories.
Retail Colocation to Dominate the Market - By Type
According to Guneet Kaur, Senior Research Analyst, 6Wresearch, retail colocation is the fastest-growing type due to its flexible leasing options, multi-tenant access, and direct interconnection with cloud providers. SMEs and growing enterprises prefer retail colocation to scale operations without large capital expenditure.
Large Enterprises to Dominate the Market - By End-User
Large enterprises are adopting colocation to manage high-volume data storage, enhance disaster recovery, and implement hybrid IT strategies. Their need for scalability, redundancy, and compliance drives higher demand for advanced colocation facilities.
BFSI Sector to Dominate the Market - By Industry
Banking, financial services, and insurance (BFSI) are rapidly adopting colocation to ensure data security, regulatory compliance, and high availability for critical financial operations. Advanced security and low-latency connectivity are major drivers in this sector.
United States to Dominate the Market - By Country
The United States dominates the North America colocation market due to high enterprise IT investment, strong cloud adoption, hyperscale data center presence, and favorable government initiatives promoting secure and efficient IT infrastructure.
Key attractiveness of the report
- 10 Years Market Numbers.
- Historical Data Starting from 2022 to 2025.
- Base Year: 2025
- Forecast Data until 2032.
- Key Performance Indicators Impacting the Market.
- Major Upcoming Developments and Projects.
Key Highlights of the Report:
- North America Data Center Colocation Market Outlook
- Market Size of North America Data Center Colocation Market, 2025
- Forecast of North America Data Center Colocation Market, 2032
- Historical Data and Forecast of North America Data Center Colocation Revenues & Volume for the Period 2022 - 2032
- North America Data Center Colocation Market Trend Evolution
- North America Data Center Colocation Market Drivers and Challenges
- North America Data Center Colocation Price Trends
- North America Data Center Colocation Porter's Five Forces
- North America Data Center Colocation Industry Life Cycle
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Type for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Retail colocation for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Wholesale colocation for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Type for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Retail colocation for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Wholesale colocation for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Type for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Retail colocation for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Wholesale colocation for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By End-User for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Small and Medium-Sized Enterprises (SMEs) for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Large Enterprises for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By End-User for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Small and Medium-Sized Enterprises (SMEs) for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Large Enterprises for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By End-User for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Small and Medium-Sized Enterprises (SMEs) for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Large Enterprises for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Industry for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Banking, Financial Services, and Insurance (BFSI) for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By IT and telecom for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Government and defense for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Healthcare for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Research and academics for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Retail for the Period 2022 - 2032
- Historical Data and Forecast of North America Data Center Colocation Market Revenues & Volume By Energy for the Period 2022 - 2032
- Historical Data and Forecast of North America Banking, Financial Services, and Insurance (BFSI) Data Center Colocation Market Revenues & Volume By Manufacturing for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Industry for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Banking, Financial Services, and Insurance (BFSI) for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By IT and telecom for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Government and defense for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Healthcare for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Research and academics for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Retail for the Period 2022 - 2032
- Historical Data and Forecast of United States Data Center Colocation Market Revenues & Volume By Energy for the Period 2022 - 2032
- Historical Data and Forecast of United States Banking, Financial Services, and Insurance (BFSI) Data Center Colocation Market Revenues & Volume By Manufacturing for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Industry for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Banking, Financial Services, and Insurance (BFSI) for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By IT and telecom for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Government and defense for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Healthcare for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Research and academics for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Retail for the Period 2022 - 2032
- Historical Data and Forecast of Canada Data Center Colocation Market Revenues & Volume By Energy for the Period 2022 - 2032
- Historical Data and Forecast of Canada Banking, Financial Services, and Insurance (BFSI) Data Center Colocation Market Revenues & Volume By Manufacturing for the Period 2022 - 2032
- North America Data Center Colocation Market - Key Performance Indicators
- North America Data Center Colocation Market - Import Export Trade Statistics
- North America Data Center Colocation Market - Opportunity Assessment By Countries
- North America Data Center Colocation Market - Opportunity Assessment By Type
- North America Data Center Colocation Market - Opportunity Assessment By End-User
- North America Data Center Colocation Market - Opportunity Assessment By Industry
- North America Data Center Colocation Market - Top Companies Market Share
- North America Data Center Colocation Market - Top Companies Profiles
- North America Data Center Colocation Market - Comparison of Players in Technical and Operating Parameters
- North America Data Center Colocation Market - Strategic Recommendations
Market Covered
The report subsequently covers the market by the following segments and subsegments:
By Country
- United States
- Canada
By Type
- Retail Colocation
- Wholesale Colocation
By End-User
- SMEs
- Large Enterprises
By Industry
- BFSI
- IT & Telecom
- Government & Defense
- Healthcare
- Research & Academics
- Retail
- Energy
- Manufacturing
North America Data Center Colocation Market (2026-2032) : FAQ's
The North America Data Center Colocation Market is projected to grow at a CAGR of 9.2% during the forecast period.
The North America Data Center Colocation Market was valued at approx. USD 14.8 billion in 2025 and is projected to reach nearly USD 27.6 billion by 2032.
Growth is driven by increasing cloud adoption, enterprise IT expansion, demand for scalable, reliable infrastructure, and government regulations supporting secure data operations.
Investments in hyperscale, edge facilities, managed services, sustainable energy solutions, and cloud interconnections offer significant growth potential.
6Wresearch actively monitors the North America Data Center Colocation Market and publishes its comprehensive annual report, highlighting emerging trends, growth drivers, revenue analysis, and forecast outlook. Our insights help businesses to make data-backed strategic decisions with ongoing market dynamics. Our analysts track relevent industries related to the North America Data Center Colocation Market, allowing our clients with actionable intelligence and reliable forecasts tailored to emerging regional needs.
Yes, we provide customisation as per your requirements. To learn more, feel free to contact us on sales@6wresearch.com
| 1 Executive Summary |
| 2 Introduction |
| 2.1 Key Highlights of the Report |
| 2.2 Report Description |
| 2.3 Market Scope & Segmentation |
| 2.4 Research Methodology |
| 2.5 Assumptions |
| 3 North America Data Center Colocation Market Overview |
| 3.1 North America Regional Macro Economic Indicators |
| 3.2 North America Data Center Colocation Market Revenues & Volume, 2022 & 2032F |
| 3.3 North America Data Center Colocation Market - Industry Life Cycle |
| 3.4 North America Data Center Colocation Market - Porter's Five Forces |
| 3.5 North America Data Center Colocation Market Revenues & Volume Share, By Countries, 2022 & 2032F |
| 3.6 North America Data Center Colocation Market Revenues & Volume Share, By Type , 2022 & 2032F |
| 3.7 North America Data Center Colocation Market Revenues & Volume Share, By End-User, 2022 & 2032F |
| 3.8 North America Data Center Colocation Market Revenues & Volume Share, By Industry, 2022 & 2032F |
| 4 North America Data Center Colocation Market Dynamics |
| 4.1 Impact Analysis |
| 4.2 Market Drivers |
| 4.3 Market Restraints |
| 5 North America Data Center Colocation Market Trends |
| 6 North America Data Center Colocation Market, 2022 - 2032 |
| 6.1 North America Data Center Colocation Market, Revenues & Volume, By Type , 2022 - 2032 |
| 6.2 North America Data Center Colocation Market, Revenues & Volume, By End-User, 2022 - 2032 |
| 6.3 North America Data Center Colocation Market, Revenues & Volume, By Industry, 2022 - 2032 |
| 7 United States Data Center Colocation Market, 2022 - 2032 |
| 7.1 United States Data Center Colocation Market, Revenues & Volume, By Type , 2022 - 2032 |
| 7.2 United States Data Center Colocation Market, Revenues & Volume, By End-User, 2022 - 2032 |
| 7.3 United States Data Center Colocation Market, Revenues & Volume, By Industry, 2022 - 2032 |
| 8 Canada Data Center Colocation Market, 2022 - 2032 |
| 8.1 Canada Data Center Colocation Market, Revenues & Volume, By Type , 2022 - 2032 |
| 8.2 Canada Data Center Colocation Market, Revenues & Volume, By End-User, 2022 - 2032 |
| 8.3 Canada Data Center Colocation Market, Revenues & Volume, By Industry, 2022 - 2032 |
| 9 North America Data Center Colocation Market Key Performance Indicators |
| 10 North America Data Center Colocation Market - Opportunity Assessment |
| 10.1 North America Data Center Colocation Market Opportunity Assessment, By Countries, 2022 & 2032F |
| 10.2 North America Data Center Colocation Market Opportunity Assessment, By Type , 2022 & 2032F |
| 10.3 North America Data Center Colocation Market Opportunity Assessment, By End-User, 2022 & 2032F |
| 10.4 North America Data Center Colocation Market Opportunity Assessment, By Industry, 2022 & 2032F |
| 11 North America Data Center Colocation Market - Competitive Landscape |
| 11.1 North America Data Center Colocation Market Revenue Share, By Companies, 2022-2032F |
| 11.2 North America Data Center Colocation Market Competitive Benchmarking, By Operating and Technical Parameters |
| 12 Company Profiles |
| 13 Recommendations |
| 14 Disclaimer |
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