Beijing Data Center Market

Beijing Data Center Market Analysis

The Beijing Data Center Market size is estimated at 237.18 megawatt in 2025, and is expected to reach 365.77 megawatt by 2030, at a CAGR of 9.05% during the forecast period (2025-2030).

• A data center is a physical room, building, or facility that holds IT infrastructure used to construct, run, and provide applications and services and store and manage the data connected with them.
• Beijing, the financial capital of China, witnessed an increase in data consumption due to factors such as financial transactions, online gaming, streaming content, the adoption of smart home automation, and emerging artificial intelligence industries, which triggered the growth of data centers in the region.
• Owing to growing carbon footprint emissions, Beijing has been at the forefront of regulations in the country since 2014. It has already prohibited the building and expanding data centers in central urban areas while diverting activity to surrounding Tianjin and Hebei. The city's local government released a draft plan to mandate that data centers completed in 2021 and after must include renewable energy in their power sources and incrementally increase the share of renewables by 10% each year to 100% by 2030. Higher power tariffs will hit existing data centers that do not meet efficiency standards. The government is also planning to phase out older facilities with PUE levels of over 2.0.
• Mega data centers are the most preferred type in Beijing. Their capacity is expected to increase consistently in the region. Being industrial and highly populated, Beijing has a growing demand for massive and mega data centers. On the other hand, small, medium, and large data centers are expected to witness stagnant growth over the years.

Beijing Data Center Market Trends

Large data centers are anticipated to grow in the region during the forecast period.

• The country had 25 large data center facilities with a combined IT load capacity of 140.5 MW as of 2022. In addition, new large-scale data center facilities are under construction in the Tianjin and Hebei regions, with a projected capacity of 350 MW by 2029. However, the mega-data centers in the region still dominate the current market.
• Data centers are predominantly concentrated in the Beijing region, with a market share of 24%, following the dominance of the Shanghai region over the data center facilities.
• China Telecom Corporation held the largest market share of 40% in 2022 regarding large data centers in the country. Around 40% of the company's facilities are located, with Beijing coming in second. The company is expected to expand its large-scale data center facility portfolio with upcoming projects in the Hebei and Tianjin regions in the coming years.

BFSI segment to grow at a noteworthy pace.

• The digital revolution has most influenced the BFSI (banking and financial services) segment in industries allowing cost-effective earnings. The augmented penetration of cell phones and fast internet across the region has stimulated people to choose digital banking, which has also led toward incorporating powerful CRM and cloud tools to store and examine data, which is anticipated to augment market growth.
• The digital ecosystem surrounding a bank is blowing up at a quick pace. With the constant change in consumer demands, banks have been forced to customize their product offerings according to their demands. Secondly, as consumers embrace a mobile lifestyle and socialize on digital platforms, they expect banks to connect with them on the same platforms.
• Furthermore, Beijing fintech companies are trying to improve financial activities, such as paying, insuring, or lending to businesses and customers, using technology.
• Banks are seeking to transform their product offerings, channels, and customer services to reflect the changing demands of consumers. Banks must integrate business processes with advanced analytical capabilities, continuously refining processes, services, and products in real time. Thus, banks increasingly rely on the cloud's power to achieve their objectives and manage the current market challenges.
• The hybrid cloud is expected to command significant demand due to the sensitive nature of the data handled by BFSI enterprises.

Beijing Data Center Industry Overview

Chindata Group Holdings Ltd. led the segment in 2022 with nine massive-sized data centers concentrated in Hebei and Beijing. The company is expected to launch four new facilities: two in Beijing and one in Shanxi and Hebei.

Chindata Group Holdings Ltd. currently has fifteen operational data centers in Hebei, Shanxi, Beijing, and Zheijiang, with an installed capacity of 421 MW. In 2022, the company's capacity was 85612 racks with a raised floor capacity of 15,07,180 sq ft.

Beijing Data Center Market Leaders

Beijing Data Center Market News

• February 2023: CapitaLand Investment Limited (CLI) announced the establishment of a Chinese data center development fund called CapitaLand China Data Centre Partners (CDCP). The fund is anticipated to aid the growth of data centers in Beijing and other regions.
• July 2022: Kappel announced its data center development plans in Beijing. The data center development decision was made after the company acquired Huailai Data Centre, and it expects to develop the site in the Beijing region with Heying jointly.