SW Policy & Research Institute Publishes Report on
"AI Data Center Trends and Implications"
The global artificial intelligence (AI) data center market is projected to reach approximately $60.5 billion (about 85 trillion won) in five years. During this period, the average annual growth rate is expected to be 28.3%.
According to the IT industry on August 3, the Software Policy & Research Institute published a report titled "AI Data Center Trends and Implications" on July 30, which included these findings.
An AI data center (AIDC) must be equipped with high-performance graphics processing units (GPUs) as well as dedicated cooling and power systems. This is necessary because it must handle large-scale computations and high-density workloads. In particular, to process high-performance AI tasks such as generative AI and large language models (LLMs), higher computational power and power density are required compared to general data centers.
Major countries are already competing to secure AI data centers. Early this year, under the Biden administration, the United States issued an executive order to build large-scale AI data centers and eco-friendly energy facilities by leasing federal land, and this policy is being maintained under the Trump administration as well.
The institute predicted that the AI data center market will experience rapid growth in the future. According to the global market research firm Fortune Business Insights, the AI data center market is estimated to be about $17.7 billion (about 24.5 trillion won) this year. It is expected to grow at an average annual rate of 26.8% and reach $93.6 billion (about 130 trillion won) by 2032.
Grand View Research also reported that the AI data center market, which was about $13.6 billion (about 19 trillion won) last year, is expected to grow by 28.3% annually over the next five years to reach approximately $60.5 billion (about 84 trillion won) by 2030.
Global big tech companies are also focusing on building AI data centers. Microsoft (MS) plans to establish new data centers worldwide to facilitate AI model training and the smooth delivery of AI services. In particular, in January, the company announced plans to invest about $80 billion (about 111 trillion won) in building AI data centers for the 2025 fiscal year.
Google has developed tensor processing units (TPUs) to support AI and machine learning workloads and announced plans to build new data centers globally. In March, Google announced an additional investment of $7 billion (about 10 trillion won) in Iowa, USA, to expand its cloud and AI infrastructure.
Amazon Web Services (AWS) also announced this year that it plans to invest $100 billion (about 139 trillion won) in AI infrastructure innovation.
Among domestic companies, SK Telecom and Naver have each announced plans to build AI data centers in Ulsan and in Morocco, North Africa, respectively.
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