South America Artificial Intelligence (AI) Data Center Market Size and Share
South America Artificial Intelligence (AI) Data Center Market Analysis by Mordor Intelligence
The South America Artificial Intelligence Data Center Market size is estimated at USD 1.06 billion in 2025, and is expected to reach USD 2.37 billion by 2030, at a CAGR of 17.33% during the forecast period (2025-2030).
South America is witnessing the development of AI data centers to support the region's growing demand for computational resources. These facilities are being established to enhance AI capabilities and provide infrastructure for various applications. The focus is on deploying advanced technologies to meet the increasing requirements of AI-driven processes across industries.
The Brazilian government is preparing to launch a new data center framework to attract more investment to Brazil and expand the country’s digital infrastructure. The National Data Center Policy, scheduled to be launched in May 2025, should provide tax incentives, legal security, and specific rules for the sector. As a result of these initiatives, Brazil now serves as an entry point for major clouds and digital technologies coming into Latin America.
Brazilian investment firm Patria Investimentos (PAX.O) recently announced the launch of Omnia, a hyperscale data center platform. The platform plans to invest approximately USD1 billion in its first project over the next 18 to 24 months, driven by the accelerating adoption of cloud computing and artificial intelligence in Latin America. The region, particularly Brazil, is becoming a hub for data center investors due to its abundant renewable energy resources and relatively unconstrained growth opportunities, contrasting with the more saturated markets in the U.S. and Europe.
Overall, the rapid advancements in AI data center infrastructure across South America, coupled with supportive government policies and significant investments, are positioning the region as a critical player in the global digital economy. These developments are expected to drive innovation, enhance regional AI capabilities, and attract further investments in the coming years.
South America Artificial Intelligence (AI) Data Center Market Trends and Insights
Rapid Build-out of High-Density, Liquid-Ready Capacity
Hyperscale cloud providers and regional colocation operators are racing to retrofit or green-field sites with power densities of 30–50 kW per rack and liquid-cooling manifolds to accommodate graphics processors used for large-scale AI training. Equinix, Ascenty, and Scala Data Centers all commissioned new halls in São Paulo and Santiago this year that feature rear-door heat exchangers and immersion tanks sized specifically for Nvidia H100-class clusters. The acceleration shortens provisioning lead times for enterprises that previously had to export demanding workloads to North America, tightening regional latency loops for AI inference and analytics.
For instance, in August 2024, Scala Data Centers broke ground on a 300 MW hyperscale campus in Porto Alegre that will feature closed-loop immersion tanks capable of supporting rack densities above 50 kW. The company’s release notes that phase-one capacity, due in 2025, is fully reserved by two global cloud providers seeking to localise AI-training nodes within Brazil. Scala states that the immersion design should cut cooling energy by up to one-third compared with traditional chilled-water CRAC systems, aligning the build with its long-term renewable-power PPAs
In June 2024, Equinix brought the third phase of its SP5 site online, adding 9.9 MW of power and racks engineered for 30–50 kW densities. The new hall is the company’s first in Latin America to ship with direct-to-chip liquid-cooling loops pre-installed, a design choice aimed at tenants deploying H100-class GPU clusters for generative-AI training. According to the company announcement, early financial-services customers migrated risk-scoring engines into the hall and reported latency cuts of 15 milliseconds versus routing the same workloads to Miami
Convergence of Renewable Procurement and AI Workload Placement
Facing tightening carbon-reporting rules in Brazil, Chile, and Colombia, operators now pair power-purchase agreements for wind and solar farms with AI workload orchestration platforms that shift non-urgent training jobs to hours of peak renewable output. ODATA and Cirion Technologies integrated these schedulers into their energy-management stacks in early 2024, claiming double-digit improvements in effective renewable utilization. The practice aligns sustainability targets with cost optimization, and it signals that South American data centers are adopting grid-interactive strategies earlier in their AI growth cycle than peers in more mature markets.
In July 2024, ODATA signed a 60 MW wind-energy power-purchase agreement with Casa dos Ventos to cover the incremental load of its São Paulo and Minas Gerais campuses that are being retrofitted for high-density AI training clusters. The contract gives the operator a predictable renewable supply curve, and its energy-management platform now schedules non-urgent model-training jobs to periods when the contracted wind farms generate at or near peak output, maximising the share of green electrons consumed by GPU racks. The mechanism cuts grid-purchased non-renewable power during daylight lulls and allows AI tenants to claim carbon-adjusted utilisation metrics in compliance reports.
Cirion Technologies announced in January 2025 that its Santiago facility had integrated an AI workload-orchestration layer with the site’s renewable-energy dashboards. The system automatically shifts large-batch training jobs onto Nvidia DGX SuperPOD nodes during hours when a long-term solar PPA in Chile’s Atacama region is producing surplus power, while deferring less critical inference tasks to standard servers outside that window. Early metrics shared by the company indicate a double-digit rise in effective renewable-energy utilisation and a corresponding drop in scope-2 emissions for anchor financial-services tenants.
Competitive Landscape
The South America Artificial Intelligence industry remains fragmented, yet consolidation signals began appearing in 2024 as leading cloud service providers acquired niche model-ops startups. Local champions differentiate by embedding domain expertise in algorithms rather than competing purely on generic tooling. Vendors that focus on compliance modules, especially for the financial sector, win longer-term annuity contracts because banks face non-negotiable audit requirements. Consequently, product roadmaps increasingly prioritize automated model documentation and bias detection features.
Strategic alliances between multinational cloud providers and telcos accelerate reach into underserved mid-market accounts. Telcos contribute distribution muscle through existing connectivity contracts, while cloud partners supply technology stacks. The combination reduces customer acquisition costs and standardizes support, indirectly promoting subscription renewals. Over the medium term, joint go-to-market programs may act as a soft barrier to entry for smaller standalone startups without channel partners.
South America Artificial Intelligence (AI) Data Center Industry Leaders
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NVIDIA Corporation
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Advanced Micro Devices Inc.
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ABB Ltd.
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Schneider Electric SE
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Cisco Systems Inc.
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- May 2025: A new artificial intelligence (AI) data center campus has been announced in the Brazilian city of Rio de Janeiro. The “Rio AI City” project, revealed at the Web Summit Rio on April 27, will be located in the city’s Olympic Park. It has an initial planned capacity of 1.8GW, expected to come online by 2027, with a view to expanding to 3GW by 2032. When completed, the project will reportedly be the largest data center campus in Latin America and one of the largest worldwide.
- May 2025: Argentina is planning to establish AI data centers powered by nuclear energy, aiming to position itself as a global hub for artificial intelligence. At the core of this initiative is the development of small modular reactors (SMRs), which are transportable nuclear reactors capable of meeting the high energy demands of AI data centers. If successful, Argentina could become the first country to commercially deploy SMRs, following China and Russia. This ambitious project, led by President Javier Milei, seeks to attract investments from major tech firms and leverage the country’s nuclear expertise to support the growing AI industry.
South America 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) | |||
By Country | Brazil | ||
Argentina | |||
Chile | |||
Colombia | |||
Peru | |||
Rest of South America |
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) |
Brazil |
Argentina |
Chile |
Colombia |
Peru |
Rest of South America |
Key Questions Answered in the Report
How big is the South America Artificial Intelligence Data Center Market?
The South America Artificial Intelligence Data Center Market size is expected to reach USD 1.06 billion in 2025 and grow at a CAGR of 17.33% to reach USD 2.37 billion by 2030.
What is the current South America Artificial Intelligence Data Center Market size?
In 2025, the South America Artificial Intelligence Data Center Market size is expected to reach USD 1.06 billion.
Who are the key players in South America Artificial Intelligence Data Center Market?
NVIDIA Corporation, Advanced Micro Devices Inc., ABB Ltd., Schneider Electric SE and Cisco Systems Inc. are the major companies operating in the South America Artificial Intelligence Data Center Market.
Which is the fastest growing region in South America Artificial Intelligence Data Center Market?
South America is estimated to grow at the highest CAGR over the forecast period (2025-2024).
Which region has the biggest share in South America Artificial Intelligence Data Center Market?
In 2025, the South America accounts for the largest market share in South America Artificial Intelligence Data Center Market.
What years does this South America Artificial Intelligence Data Center Market cover, and what was the market size in 2024?
In 2024, the South America Artificial Intelligence Data Center Market size was estimated at USD 0.88 billion. The report covers the South America Artificial Intelligence Data Center Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the South America Artificial Intelligence Data Center Market size for years: .
South America Artificial Intelligence (AI) Data Center Industry Report
Statistics for the 2025 South America Artificial Intelligence (AI) Data Center market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. South America Artificial Intelligence (AI) Data Center analysis includes a market forecast outlook for 2025 to 2024 and historical overview. Get a sample of this industry analysis as a free report PDF download.