Brazil Artificial Intelligence (AI) Data Center Market Size and Share
Brazil Artificial Intelligence (AI) Data Center Market Analysis by Mordor Intelligence
The Brazil Artificial Intelligence Data Center Market size is estimated at USD 0.56 billion in 2025, and is expected to reach USD 1.24 billion by 2030, at a CAGR of 17.51% during the forecast period (2025-2030).
Brazil is focusing on strengthening its position in the AI data center sector by advancing its digital infrastructure and supporting technological growth. The country is prioritizing digital transformation and sustainability to enhance its role in Latin America.
The Brazilian government has launched the Plano Brasileiro de Inteligência Artificial (PBIA) 2024–2028, allocating approximately USD 4 billion to boost AI capabilities in key sectors such as public health, agriculture, and education. This plan aims to reduce reliance on imported AI technologies while fostering local innovation. Additionally, the Banco Nacional de Desenvolvimento Econômico e Social (BNDES) has introduced a credit line under the “Nova Indústria Brasil” program to facilitate investments in data center infrastructure, emphasizing its importance in the nation’s digital transformation efforts.
Private sector initiatives are also playing a critical role in this development. Scala Data Centers, in partnership with the government of Rio Grande do Sul, is developing the “Scala AI City” in Eldorado do Sul, which is expected to be one of the largest digital infrastructure projects in South America. This project underscores the growing focus on AI infrastructure within the region.
Furthermore, international companies are showing interest in Brazil’s AI and data infrastructure landscape. U.S.-based CloudHQ has announced plans to establish its first data center in Paulínia, São Paulo, further contributing to the expansion of the country’s digital capabilities.
Brazil Artificial Intelligence (AI) Data Center Market Trends and Insights
Government Incentives Driving AI Data Center Growth in Brazil
The Brazilian government is driving the growth of AI data centers through various incentives and strategic initiatives. In April 2025, Finance Minister Fernando Haddad proposed exempting key federal taxes, such as PIS, Cofins, IPI, and import duties, on IT-related capital expenditures for data centers. This policy is part of a broader strategy to enhance Brazil’s technological infrastructure and attract investments. By removing these tax barriers, the government aims to facilitate investments, with projections estimating up to 2 trillion reais (approximately USD 352 billion) over the next decade. To qualify for these benefits, projects must meet specific criteria, including the use of 100% renewable energy sources and contributions to Brazil’s AI ecosystem. These requirements are aligned with the government’s objectives of promoting sustainable energy use and advancing the country’s AI capabilities.
In addition to these fiscal measures, the government is focusing on improving the country’s digital infrastructure to meet the increasing demand for AI and cloud services. In May 2025, it announced plans for a National Data Center Policy, which is designed to provide a structured framework for the sector. This policy includes tax incentives, legal security, and specific regulations to address challenges such as regulatory uncertainty and high operational costs. The government’s approach aims to create a stable and predictable environment for investments in the data center sector. This initiative is part of a broader effort to strengthen Brazil’s position in the AI and digital technology domains within Latin America.
These government-led initiatives are already showing measurable outcomes. For example, Microsoft has committed USD 2.7 billion to expand its cloud and AI infrastructure across multiple data center campuses in São Paulo. This investment also includes plans to train 5 million individuals in AI-related skills over the next three years. The focus on workforce development is intended to address the growing need for skilled professionals in the AI sector. By equipping individuals with advanced AI skills, the initiative aims to support the development of a comprehensive ecosystem that integrates infrastructure and human capital. This approach is expected to contribute to the country’s digital transformation and support the growth of the AI and data center markets.
Increasing Emphasis on Renewable Energy in Data Center Operations
Brazil’s extensive renewable energy resources are playing a crucial role in attracting investments in sustainable data center operations. The country generates more than 80% of its electricity from renewable sources such as hydropower, solar, and wind energy. This makes Brazil an appealing location for companies seeking to reduce their environmental impact and align with global sustainability goals.
One significant development in this space is the Scala AI City project, located in Eldorado do Sul, Rio Grande do Sul, and led by Scala Data Centers. This project is set to become the largest and most advanced data center complex in Latin America. The initial phase involves a USD 500 million investment to establish a 54MW capacity, with plans to expand the facility to a massive 4.75GW in the future. The project strategically utilizes the region’s underused energy capacity and is expected to drive the construction of wind farms to meet its substantial energy needs.
Similarly, Elea Data Centers is making a USD 300 million investment to develop AI-ready data centers in São Paulo. These facilities are designed to incorporate Vertiv’s liquid cooling technology, which enhances energy efficiency by optimizing cooling processes. Furthermore, these data centers are fully powered by renewable energy, demonstrating a strong commitment to sustainability and setting a new standard for energy-efficient data center operations in Brazil.
Competitive Landscape
Brazil's AI data center market is growing rapidly, driven by increasing demand for advanced digital infrastructure to support artificial intelligence (AI), cloud computing, and other emerging technologies. Key players in this market include Microsoft Corporation, Amazon Web Services, Inc., Google Cloud Platform (Alphabet Inc.), Intel Corporation, Advanced Micro Devices, Inc., and NVIDIA Corporation. These companies are investing in expanding data center capacities and leveraging advanced technologies to meet the growing needs of AI-driven applications. The market's growth is further supported by the Brazilian government's initiatives to enhance AI capabilities and foster innovation. These factors position Brazil as a significant player in the global AI data center landscape with strong growth prospects.
AMD continues to expand its next-gen GPU lineup, as evidenced by a recent leak involving the Radeon RX 9060 XT. Online shop Terabyte briefly listed a Gigabyte version of the yet-to-be-announced graphics card, which was removed shortly after. The listing revealed that the GPU features 16 gigabytes of GDDR6 memory, a Navi 44 chip, and 2,048 stream processors. These specifications indicate AMD's focus on delivering a balance between performance and affordability. The RX 9060 XT offers the same memory capacity as the higher-end RX 9070 but with reduced processing power and approximately 60 percent of the shaders. Speculation also suggests a 128-bit memory bus, half the width of the RX 9070, aligning with AMD's strategy to target mid-range PC gamers.
Brazil Artificial Intelligence (AI) Data Center Industry Leaders
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Microsoft Corporation,
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Intel Corporation
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NVIDIA Corporation
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Advanced Micro Devices, Inc.
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Cisco Systems, Inc.
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- May 2025: Pátria, a Brazilian alternative asset manager, has announced a $1 billion investment through its new venture, Omnia, to develop hyperscale AI-ready data centers in Brazil. The first facility in Brazil is set to begin construction in the second half of 2025, with operations expected by late 2027. These data centers will focus on supporting AI, cloud computing, and high-performance workloads while prioritizing renewable energy solutions, including a dedicated wind power project to minimize environmental impact.
- May 2025: Atos Bull Sequana has secured a USD 138 million contract to provide Petrobras, Brazil's state-owned oil and gas company, with a new AI supercomputer. This system will support Nvidia's H100 and H200 GPUs, along with Blackwell's B100 and B200 GPUs, enabling advanced data processing and seismic simulations to identify new oil and gas reserves.
Brazil Artificial Intelligence (AI) Data Center Market Report Scope
The research encompasses the full spectrum of AI applications in data centers, covering hyperscale, colocation, enterprise, and edge facilities. The analysis is segmented by component, distinguishing between hardware and software. Hardware considerations include power, cooling, networking, IT equipment, and more. Software technologies under scrutiny encompass machine learning, deep learning, natural language processing, and computer vision. The study also evaluates the geographical distribution of these applications.
Additionally, it assesses AI's influence on sustainability and carbon neutrality objectives. A comprehensive competitive landscape is presented, detailing market players engaged in AI-supportive infrastructure, encompassing both hardware and software utilized across various AI data center types. Market size is calculated in terms of revenue generated by products and solutions providers in the market, and forecasts are presented in USD Billion for each segment.
By Data Center Type | CSP Data Centers | ||
Colocation Data Centers | |||
Others (Enterprise and Edge) | |||
By Component | Hardware | Power | |
Cooling | |||
IT Equipments | |||
Others | |||
Software Technology | Machine Learning | ||
Deep Learning | |||
Natural Language Processing | |||
Computer Vision | |||
Services - (Managed Services, Proffesional Services, etc) |
CSP Data Centers |
Colocation Data Centers |
Others (Enterprise and Edge) |
Hardware | Power |
Cooling | |
IT Equipments | |
Others | |
Software Technology | Machine Learning |
Deep Learning | |
Natural Language Processing | |
Computer Vision | |
Services - (Managed Services, Proffesional Services, etc) |
Key Questions Answered in the Report
How big is the Brazil Artificial Intelligence Data Center Market?
The Brazil Artificial Intelligence Data Center Market size is expected to reach USD 0.56 billion in 2025 and grow at a CAGR of 17.51% to reach USD 1.24 billion by 2030.
What is the current Brazil Artificial Intelligence Data Center Market size?
In 2025, the Brazil Artificial Intelligence Data Center Market size is expected to reach USD 0.56 billion.
Who are the key players in Brazil Artificial Intelligence Data Center Market?
Microsoft Corporation,, Intel Corporation, NVIDIA Corporation, Advanced Micro Devices, Inc. and Cisco Systems, Inc. are the major companies operating in the Brazil Artificial Intelligence Data Center Market.
What years does this Brazil Artificial Intelligence Data Center Market cover, and what was the market size in 2024?
In 2024, the Brazil Artificial Intelligence Data Center Market size was estimated at USD 0.46 billion. The report covers the Brazil Artificial Intelligence Data Center Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Brazil Artificial Intelligence Data Center Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Brazil Artificial Intelligence (AI) Data Center Industry Report
Statistics for the 2025 Brazil Artificial Intelligence (AI) Data Center market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Brazil Artificial Intelligence (AI) Data Center analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.