Data Center Investment in Latin America is Growing in Excess of Global Average

Data centers are rising in number across Latin America, with investment in server space increasing by a record 12.6% in Colombia alone last year. According to U.S. communications …

Data centers are rising in number across Latin America, with investment in server space increasing by a record 12.6% in Colombia alone last year. According to U.S. communications firm Anixter, investment in data centers rose in excess of 12% in Latin America in 2014, while the global average stood at 8%.

The increase in data centers indicates increased demand for online services in the region. Anixter says it expects data center investment in the region to grow at 20-25% in 2015.

Colombia has the fifth largest density in data centers, according to Colombian paper Portafolio, which published the report from Anixter. But, during the same period, other LATAM countries, including Peru, Chile and Argentina received more investment in data centers than Colombia.

In Latin America, analysts say, many data center operators are yet to embrace advanced technology to provide uninterrupted and financially feasible service for clients.

Despite global economic uncertainty, the outlook is robust for data centers market in the region, said Anixter, adding that there is huge demand for data centers in regional business centers such as Sao Paulo, Rio de Janeiro, Mexico City, Santiago, Buenos Aires and Bogota.

As economies in the region grew, companies are increasingly deploying information technology to streamline their operation and improve their processing and storage power, said Anixter, whose HealthCheck service offers to optimize and improve the quality of data centers.

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Another interesting trend is that demand for data centers is coming predominantly from small and medium sized enterprises. Latin Americans’ love affair with social media and their growing interest in accessing the Internet via mobile devices are the key drivers of demand for server space, analysts say.

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