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Tech market forecast

Gartner Forecasts Data Center Electricity Surge

Analysis based on 8 articles · First reported Jun 10, 2026 · Last updated Jun 10, 2026

Sentiment
-20
Attention
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Articles
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Market Impact
General
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The market is impacted by the projected surge in data center electricity consumption, driven by AI workloads, which will strain grid supplies and necessitate investments in efficiency upgrades and cooling systems. This creates opportunities for companies in energy efficiency, cooling technology, and edge computing, while potentially increasing operational costs for data center operators.

Technology Utilities Data Center

Gartner forecasts a significant increase in global data center electricity consumption, projecting it to reach 565 terawatt hours (TWh) in 2026, a 26% rise from 2025. This surge is primarily attributed to the escalating demand for compute-intensive AI workloads, with AI-optimized servers expected to account for 31% of data center power consumption in 2026 and surpass conventional servers by 2027. The report also indicates that worldwide data center power demand will reach 132 gigawatts (GW) in 2026 and an estimated 290 GW by 2030. Linglan Wang, a Director Analyst at Gartner, emphasizes that power availability is now a critical constraint for AI capacity, making data center power security a key battleground. Gartner warns that by 2030, electricity consumption could exceed 1,200 TWh, rendering grid supply insufficient for future data center construction. Recommendations include prioritizing efficiency upgrades, securing grid access, and investing in high-efficiency cooling systems and edge computing.

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Gartner is the source of the forecast regarding data center electricity consumption, providing critical insights into future market trends.
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Linglan Wang, a Director Analyst at Gartner, provides expert commentary and analysis on the drivers and implications of the surging data center power demand.
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Saudi Arabia is mentioned as a benchmark for electricity consumption, highlighting the significant scale of data center power usage.
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