# North America Data Center Colocation Market > North America colocation: USD 30.07 billion in 2026, USD 69.85 billion by 2035, CAGR 10.11% from 2025, as tenants lease energised halls amid grid queues. Publisher: DC Market Insights Author: Amit Jain, DC Market Insights Published: 2025-10-16 Last updated: 2026-10-20 Next review: Apr 2027 Page: https://www.dcmarketinsights.com/report/north-america-data-center-colocation-market ## Key takeaways - Renewals Re-Price Old Contracts - Secondary US Metros With Spare Grid Capacity **Frequently Asked Questions** **What is the size of the North America Data Center Colocation Market in 2026?** USD 30.07 billion in 2026, up 12.74% from USD 26.67 billion in 2025, DC Market Insights estimates. The market is projected to reach USD 69.85 billion by 2035, a CAGR of 10.11% from 2025, as tenants lease energised halls instead of waiting for grid connections. **How fast is the North America Data Center Colocation Market growing?** 10.11% a year from 2025 to 2035 in the base case, slower than the 15.42% of 2020-2025. Billed load rises from 11,800 MW to 31,500 MW, while the blended rent eases to USD 168 per kW-month as wholesale takes 60.0% of the mix. **How big is the colocation data centre market in the USA?** USD 23.87 billion in 2025, or 89.5% of North America colocation revenue, DC Market Insights estimates. Northern Virginia is the largest US metro with USD 7.33 billion, followed by Dallas-Fort Worth with USD 2.53 billion and Phoenix with USD 1.87 billion. **Which colocation type is largest in North America?** Wholesale colocation, with USD 13.87 billion or 52.0% of 2025 revenue, growing 11.69% a year to USD 41.91 billion by 2035. Cloud and AI tenants sign 20 MW to 100 MW blocks, while retail colocation grows 7.40% a year. **How much does colocation cost per kW in North America?** About USD 172 per kW-month blended in 2025, DC Market Insights estimates. Retail cabinets price at about USD 250-350 per kW-month and new wholesale blocks above 10 MW at about USD 140-190, so one billed MW earns about USD 2.26 million a year. **Which region grows fastest in the North America Data Center Colocation Market?** Mexico, at 13.50% a year from USD 826.74 million in 2025 to USD 2.93 billion in 2035, led by Querétaro. The US East leads in size with USD 11.47 billion, 43.0% of 2025 revenue. **How do grid rules affect North America colocation?** Five large-load rules from June 2025 to March 2026 touch metros worth USD 12.53 billion of 2025 revenue. Texas Senate Bill 6 sets a 75 MW threshold and Virginia's GS-5 class a 25 MW threshold with 14-year contracts, which lifts rents on energised space. **Who are the leading North America data center colocation companies?** The top five, Equinix, Digital Realty, QTS Data Centers, CyrusOne and Vantage Data Centers, hold about 41% of 2025 revenue, USD 10.93 billion, DC Market Insights estimates. Iron Mountain's data center revenue rose 30% to USD 803 million in 2025. **What is the outlook for North America colocation in 2035?** USD 69.85 billion in the base case, within a range of USD 58.68 billion to USD 80.33 billion. The low case assumes 18-month grid delays in PJM and ERCOT; the high case assumes faster on-site generation under FERC's co-location services. ## Dataset | Series | Value | Unit | | --- | --- | --- | | Market size 2025 | 26,670 | USD million | | Revenue CAGR | 10.11 | % | | Market size 2035 | 69,850 | USD million | ## Frequently asked questions ### What is the size of the North America Data Center Colocation Market in 2026? USD 30.07 billion in 2026, up 12.74% from USD 26.67 billion in 2025, DC Market Insights estimates. The market is projected to reach USD 69.85 billion by 2035, a CAGR of 10.11% from 2025, as tenants lease energised halls instead of waiting for grid connections. ### How fast is the North America Data Center Colocation Market growing? 10.11% a year from 2025 to 2035 in the base case, slower than the 15.42% of 2020-2025. Billed load rises from 11,800 MW to 31,500 MW, while the blended rent eases to USD 168 per kW-month as wholesale takes 60.0% of the mix. ### How big is the colocation data centre market in the USA? USD 23.87 billion in 2025, or 89.5% of North America colocation revenue, DC Market Insights estimates. Northern Virginia is the largest US metro with USD 7.33 billion, followed by Dallas-Fort Worth with USD 2.53 billion and Phoenix with USD 1.87 billion. ### Which colocation type is largest in North America? Wholesale colocation, with USD 13.87 billion or 52.0% of 2025 revenue, growing 11.69% a year to USD 41.91 billion by 2035. Cloud and AI tenants sign 20 MW to 100 MW blocks, while retail colocation grows 7.40% a year. ### How much does colocation cost per kW in North America? About USD 172 per kW-month blended in 2025, DC Market Insights estimates. Retail cabinets price at about USD 250-350 per kW-month and new wholesale blocks above 10 MW at about USD 140-190, so one billed MW earns about USD 2.26 million a year. ### Which region grows fastest in the North America Data Center Colocation Market? Mexico, at 13.50% a year from USD 826.74 million in 2025 to USD 2.93 billion in 2035, led by Querétaro. The US East leads in size with USD 11.47 billion, 43.0% of 2025 revenue. ### How do grid rules affect North America colocation? Five large-load rules from June 2025 to March 2026 touch metros worth USD 12.53 billion of 2025 revenue. Texas Senate Bill 6 sets a 75 MW threshold and Virginia's GS-5 class a 25 MW threshold with 14-year contracts, which lifts rents on energised space. ### Who are the leading North America data center colocation companies? The top five, Equinix, Digital Realty, QTS Data Centers, CyrusOne and Vantage Data Centers, hold about 41% of 2025 revenue, USD 10.93 billion, DC Market Insights estimates. Iron Mountain's data center revenue rose 30% to USD 803 million in 2025. ### What is the outlook for North America colocation in 2035? USD 69.85 billion in the base case, within a range of USD 58.68 billion to USD 80.33 billion. The low case assumes 18-month grid delays in PJM and ERCOT; the high case assumes faster on-site generation under FERC's co-location services. ## How to cite Data Center Market Research & Consulting | DC Market Insights, "North America Data Center Colocation Market", updated 2026-10-20, https://www.dcmarketinsights.com/report/north-america-data-center-colocation-market