U.S. Data Center Boom Faces Reality Check: 60%+ Capacity Not Started
Over 60% of U.S. data center capacity planned for completion by 2027 has yet to begin construction, while an additional 7% of projects face delays, exposing a widening gap between AI infrastructure hype and actual buildout.
A new analysis reveals that more than 60% of U.S. data center capacity targeted for operation by 2027 has not yet broken ground. An additional 7% of planned projects are already experiencing delays, underscoring a significant disconnect between the pace of AI-related infrastructure announcements and real construction progress.
The finding challenges the narrative of an uninterrupted AI data center boom. While demand for compute power continues to surge, the lag in construction suggests potential bottlenecks in permitting, supply chains, or financing that could slow the rollout of new capacity.
The data highlights a growing reality check for investors and policymakers betting on a rapid expansion of digital infrastructure. Without acceleration in construction starts, the anticipated wave of new data center supply may take longer to materialize than market forecasts currently assume.
Source: First Squawk