Key Insights:
- Morgan Stanley predicts a significant impact on U.S. GDP growth from data center investments.
- $2.9 trillion is projected for global data center spending by 2028, focusing on hardware and infrastructure.
- A $1.5 trillion financing gap could be addressed by credit markets and private capital.
Data Center Investment: A Catalyst for U.S. GDP Growth
Morgan Stanley has released a forecast indicating that the construction of data centers and advancements in power generation are poised to significantly influence U.S. GDP growth, potentially enhancing it by 40 basis points between 2025 and 2026. This projection underscores the critical role of the tech infrastructure sector in shaping economic outcomes.
Global Spending Projections
The global scale of investment is also noteworthy. By 2028, it is anticipated that a staggering $2.9 trillion will be invested worldwide in the development of data centers. This expenditure is expected to be split, with approximately $1.6 trillion earmarked for hardware acquisitions and $1.3 trillion reserved for infrastructure enhancements. Such investments highlight the ongoing digital transformation and the increasing demand for robust technological frameworks.
Bridging the Financing Gap
Despite these substantial investments, Morgan Stanley points out a potential $1.5 trillion financing gap that could arise. This shortfall presents a significant opportunity for credit markets and private capital entities to play a pivotal role in funding and supporting the expansion of data center infrastructure. Strategic financial involvement from these sectors could be vital in bridging this gap and ensuring the successful realization of investment goals.
