Insight
23 February 2026
Latin America Data Center Report Year-end 2025
Exceptional performance places LATAM on the global market map.
Categories:
Hyperscale and colocation markets maintained excellent performance in 2025
Despite all the challenges presented by the data center industry, both markets, colocation and hyperscale, have experienced sustainable growth, especially in primary submarkets.
Colocation inventory grew by 20% in one year, setting a record for new inventory delivery in the region
LATAM's average vacancy rate of 9% has remained controlled, even with the addition of a record volume of new inventory. The colocation and hyperscale construction pipeline is already 42% precommitted.
Demand for data centers is concentrated in four main countries: Brazil, Mexico, Chile, and Colombia
While demand remains concentrated in core markets, secondary and tertiary markets have significant growth potential as operators aims to improve their coverage and service quality.
New colocation providers are emerging in the LATAM market, with large projects under development
The colocation market is intensifying in competitiveness as established players expand their current capacity while new operators simultaneously enter with large facilities under development.