Frost Radar: Data Center Colocation in Latin America, 2025

A Benchmarking System to Spark Companies to Action - Innovation That Fuels New Deal Flow and Growth Pipelines

Brazil remains the most important data center colocation market in Latin America, but hyperscalers are making massive investments in the region as they expand their cloud regions into Chile, Colombia, and Mexico. Data center colocation service providers are aligning their data center designs and services to build value propositions centered on environmental sustainability and the use of renewable energy-a key differentiator for Latin America. They are developing energy-efficient, environmentally friendly facilities to reduce their carbon footprint and optimize operational costs. With the artificial intelligence boom, this will become even more important for Latin America to compete and attract investments. Frost & Sullivan expects Latin American data center colocation market revenue to increase from $1.47 billion in 2024 to $3.59 billion by 2029 at a 19.6% compound annual growth rate, driven by an impressive pipeline of planned and under-construction data centers. By 2029, 122 new colocation data centers are expected to be operational.

This Frost Radar™ analysis benchmarks the top 10 data center providers in the region. Frost & Sullivan analyzes numerous companies in an industry. Those selected for further analysis based on their leadership or other distinctions are benchmarked across 10 Growth and Innovation criteria to reveal their position on the Frost Radar™. The publication presents competitive profiles of each company on the Frost Radar™ considering their strengths and the opportunities that best fit those strengths.

Authored by: Renato Pasquini / Carina Goncalves