On an annual basis, capital expenditure for data centers is forecasted to expand from approximately $800 billion in 2026 to $1.8 trillion per year by 2050.
Total global investment in artificial intelligence infrastructure is projected to reach a record $31.6 trillion through 2050, according to baseline estimates in PwC’s Global Data Centre Outlook. On an annual basis, capital expenditure for data centers is forecasted to expand from approximately $800 billion in 2026 to $1.8 trillion per year by 2050.
The United States, holding a central position in the advanced semiconductor ecosystem, is forecast to secure nearly half (48%) of this total investment, amounting to $15.1 trillion. The Asia-Pacific region is expected to generate $8.2 trillion in cumulative capital expenditure, driven primarily by China and India, while sovereign AI initiatives are stimulating investment across Europe and the Middle East.
Unlike conventional infrastructure cycles that typically diminish after an initial build-out phase, AI infrastructure spending is anticipated to accelerate as semiconductors and other ICT hardware necessitate upgrades every few years. ICT equipment is projected to represent an increasing proportion of this investment—rising from 70% at present to 93% by 2050.
The Outlook identifies five critical factors that will dictate global investment flows. Foremost among these is energy, as providing affordable, reliable, and low-carbon electricity at a sufficient scale remains the most significant challenge for many markets. Connectivity, security, regulatory certainty, and community approval, alongside GPU availability, will further influence the geographic distribution of capital.
“Artificial intelligence infrastructure is emerging as one of the fundamental capital allocation challenges for the upcoming generation. It encompasses technology, energy, real estate, logistics, regulation, and finance. This shift necessitates a new approach from infrastructure investors regarding capital requirements, risk profiles, and projected returns,” stated Clara Cutajar, Global Infrastructure Leader at PwC Australia.
The report also evaluated two distinct scenarios to determine how changes in trade regulations and digital sovereignty might impact global investment. In the first scenario, intensified export controls disrupt semiconductor supply chains. Annual spending subsequently declines to roughly half of the central forecast by 2030 before recovering as supply chains reorganize. Despite this recovery, total global investment through 2050 is estimated at $25.5 trillion—approximately $6 trillion below the primary projection.
The second scenario offers an alternative perspective. Rather than significantly diminishing total investment, a greater focus on digital sovereignty and domestic infrastructure alters the destination of capital. Global expenditure decreases only marginally, but investment migrates toward nations with robust domestic demand and developing data center capacity as governments prioritize localized infrastructure. “The AI expansion is not a global trend that will benefit every market equally. Securing this capital requires proactive positioning. Investors must view data centers as hybrid assets with sophisticated risk characteristics,” Cutajar concluded.
Total global investment in artificial intelligence infrastructure is projected to reach a record $31.6 trillion through 2050, according to baseline estimates in PwC’s Global Data Centre Outlook.
CIOs and information technology leaders indicate that risks associated with artificial intelligence are currently outpacing the derived value within their organizations, according to a recent Gartner survey.
A recent analysis by Juniper Research indicates that global expenditure on private LTE and 5G networks is forecast to reach $84.7 billion by 2031, rising from $17.3 billion in 2026.
