Real Assets Investments Blog - Versus Capital

Hyperscalers are Driving Data Center Demand

Written by Versus Capital Investment Team | Apr 15, 2025 1:45:00 PM

The digital economy is booming, and with it, data creation is skyrocketing. Hyperscalers – industry leaders like Amazon, Microsoft, and Google – are the primary growth engine behind this surge. These companies are setting new standards in scalability and innovation, and most prefer to lease data centers rather than own them which is creating private investment opportunities.

Data creation is growing at 23% annually, projected to reach 181 zettabytes by 2025, up from 64.2 zettabytes in 2020

New data center capacity is struggling to keep up – power demand (the most common measure of data center capacity) is set to grow at a 16% compound annual rate, reaching 130 gigawatts by 2028

Infrastructure debt is playing a key role in financing expansion, helping to fund the next generation of hyperscale and colocation data centers

As digital infrastructure expands, so does the investment opportunity in private debt financing. If you're an RIA interested in adding infrastructure debt to client portfolios, please contact us.