New data from Synergy shows that the development focus of ultra large scale data centers in the United States has significantly shifted from coastal areas to the central United States, with Texas and Midwestern states being the main beneficiaries. By the end of 2025, Texas and the Midwest region will account for 33% of the capacity of ultra large scale data centers in operation in the United States, while Synergy’s project reserves for future ultra large scale data centers show that these regions will account for 53% of the newly added capacity to be launched in the coming years.
Northern Virginia is currently and will continue to be the single region with the highest concentration of hyperscale data centers, but as artificial intelligence greatly drives infrastructure investment, the geographic focus has further shifted inland in search of areas with easier access to electricity. Texas has become the most prominent state in project reserves with significant advantages. In the Midwest region, the importance of Wisconsin, Indiana, Michigan, and Missouri will rapidly increase as these states have attracted visitors from Amazon, Google Meta, Multiple major projects from Microsoft, OpenAI, and CoreWeave.
This research is based on the analysis of the data center layout and future planning of 21 major cloud service and Internet service companies in the world (including the largest operators in SaaS, IaaS, PaaS, search, social networking, e-commerce and game fields). By the end of 2025, these companies will have a total of 1360 operating hyperscale data centers, of which 580 are located in the United States. Among Synergy’s known reserves of future hyperscale data center projects, there are still 803 data centers that will go online in the coming years, of which 437 are located in the United States. Although there are more data centers in operation than in project reserves, the total capacity of data centers in project reserves is actually larger, reflecting the continuous growth of IT capacity in ultra large scale data centers.
The companies with the widest data center layout are the leading cloud service providers – Amazon, Microsoft, and Google. In addition to having a large data center layout in the United States, these three companies also have multiple data centers in many other countries around the world. Overall, they currently account for 58% of all hyperscale data center capacity. It is followed by Meta, Alibaba, Tencent, Oracle, Apple, ByteDance, and then other relatively small large-scale operators.
John Dinsdale, Chief Analyst at Synergy Research Group, said, “As infrastructure restrictions intensify and market patterns continue to change, hyperscale providers are increasingly reallocating capital to the central United States, with Texas becoming a major focus. A wave of new gigawatt scale parks are forming in non-traditional locations such as Abilene, Mount Pleasant, South Bend, El Paso, Boone County, and Kansas City. While existing data center hubs will still be strategically important, the focus of new hyperscale investments is clearly shifting elsewhere.”
About Synergy Research Group
Synergy Research Group provides quarterly analysis of the global IT and cloud markets, with detailed breakdown of supplier revenue and shipments by segmented markets and regions. Market share and forecast through Synergy Interactive Analysis (SIA) ™) Provide – This is the only fully proprietary SaaS platform in the industry specifically built for market share and predictive analytics.
