National CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Moody’s: Global Data Center Spending to Reach $3T Over Next Five Years
Moody’s Ratings said Monday it projects at least $3 trillion in spending globally over the next five years to keep pace with rapid data center and artificial intelligence-driven capacity growth fueled by hyperscaler investments. Spending by the six U.S. hyperscalers (Microsoft, Amazon, Alphabet, Oracle, Meta Platforms Inc. and CoreWeave, Inc.) approached $400 billion in 2025 and is on track to reach $500 billion in 2026 and $600 billion in 2027.
“The race to energize new data center capacity remains in its early stages, with robust capacity growth poised to continue globally for at least the next 12 to 18 months,” Moody’s Ratings reported. The International Energy Agency projects that global data center capacity as measured by electricity
consumption will reach about 600 terawatt hours (TWh) in 2026, up 14% from an estimated 525 TWh in 2025, itself a 20% increase from the actual 436 TWh consumed in 2024.
However, Moody’s Ratings cautioned that regulatory risk and power limitations remain key constraints on development. “Local opposition to new data centers has increased in some markets amid mounting public concerns about their power and water consumption,” the report stated. “By contrast, regions with supportive laws are likely to continue to experience new development, while some are making changes to their regulatory frameworks to encourage new data center development for AI.”
Digital transformation and the explosive growth of AI are driving unprecedented energy demands in data centers across North America. That’s why every energy investor, vendor, and provider needs to attend Connect North American Investment in Digital Infrastructure & AI in Montreal on February 11. With speakers from BluWave-ai, Hydrogen Energy Research Center, Vantage Data Centers, AVAIO Capital, and more, this is the premier gathering for those shaping the future of energy and technology. This event is your gateway to connect directly with industry leaders, discover the latest opportunities, and gain valuable insights into powering next-generation digital infrastructure. Register today at www.connectdigitalai2026.com
- ◦Development
- ◦Financing
- ◦Policy/Gov't
