Mid-Year 2019 Data Center Outlook

With a positive start for data center REITs, budding regions for development and increased construction costs are among top trends impacting industry according to new JLL report.

The data center industry saw a slowdown in demand through the first half of 2019, according to JLL’s Global Data Center Mid-Year Report. Though demand for space largely remained robust internationally in 2018, operators have recorded only 256.0 MW across major markets of absorption to start the year, down 23.8% from this point last year.

Cloud adoption continues to accelerate globally, building off momentum from 2018. Northern Virginia, Norther California and Austin-San Antonio tracked the largest increases, with larger increases predicted in EMEA and APAC.

From autonomous videos to video streaming, increased data consumption is prompting data center operators to deploy new strategies to increase service quality while bolstering investor interest.

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