• 04 Jul, 2025

Abu Dhabi and Dubai Ranked Top Emerging Data Centre Markets for 2025

Abu Dhabi and Dubai Ranked Top Emerging Data Centre Markets for 2025

Abu Dhabi and Dubai have been ranked the world’s top emerging data centre markets in Cushman & Wakefield’s 2025 report. Backed by $55B+ in investments, major projects like Stargate UAE, and global tech partnerships, the UAE is becoming a leading digital infrastructure hub for AI, cloud, and hyperscale data services

Abu Dhabi and Dubai have been ranked as the top two emerging data centre markets in the world for 2025, according to Cushman & Wakefield’s latest Global Data Center Market Comparison report. The ranking places Abu Dhabi first and Dubai second out of 97 global markets, confirming the UAE’s rising status in the world of digital infrastructure and cloud services.


What the Rankings Are Based On

The report assessed each market using 20 key variables, including:

  • Power availability
  • Fiber connectivity
  • Land pricing
  • Development pipeline

Edward Macura, Country Head at Cushman & Wakefield Core, emphasized the UAE’s strategic planning:

“There’s a clear link between long-term infrastructure planning and current market performance. Abu Dhabi and Dubai have created the conditions for scale, and global operators are responding.”


UAE’s Growing Data Centre Capacity

The UAE currently supports over 250 megawatts (MW) of live data centre capacity, with another 500 MW already under active development. Key projects driving this growth include:

  • Stargate UAE Campus in Abu Dhabi, a massive facility backed by OpenAI, Oracle, and Nvidia, expected to reach 5 gigawatts (GW) at full capacity. The first 1GW is planned for 2026.
  • In Dubai, telecom operator du and Microsoft are developing a $540 million hyperscale data centre.

Global Tech Giants Expanding in UAE

Major cloud providers are also increasing their footprint in the UAE:

  • Amazon Web Services (AWS)
  • Alibaba Cloud
  • Equinix

Leading the domestic market is Khazna Data Centers, which holds over 59% market share. Khazna is also developing a 100 MW AI-focused facility in Ajman, scheduled for phased rollout within 24 months.

Enterprise-level clients, such as Emirates Group, are adopting green solutions and investing in solar-powered data centres, including facilities within the Mohammed bin Rashid Solar Park in Dubai.


Massive Investment Fuels Rapid Growth

The UAE data centre market was worth $1.26 billion in 2024 and is forecasted to grow to $3.33 billion by 2030, driven by increasing demand for AI and cloud infrastructure.

Key financial backers include:

  • Abu Dhabi’s ADQ and Energy Capital Partners, investing $25 billion into UAE power infrastructure.
  • MGX, Microsoft, and BlackRock, supporting a $30 billion AI-focused initiative.

Macura noted that global investment is flowing into the UAE due to strong market fundamentals:

“Developers are meeting deadlines, occupiers are pre-leasing, and infrastructure is being delivered in parallel.”


UAE: A Future-Ready Digital Hub

With these developments, the UAE is positioning itself as a scalable, resilient, and high-capacity digital hub for the region. Its advantages include:

  • A stable and business-friendly regulatory environment
  • Strong government support
  • Rapid infrastructure deployment
  • Energy-efficient technologies aligned with UAE’s Green Agenda 2030

Macura concluded,

“The level of interest we’re seeing isn’t temporary. The UAE now offers both operational reliability and future capacity—those are the markets that will outperform over time.”


A Regional Leader in Digital Transformation

With strategic planning, major global partnerships, and multi-billion-dollar investment, Abu Dhabi and Dubai are now global leaders in the fast-growing data centre market. As demand for AI, 5G, and cloud technologies continues to rise, the UAE is ready to deliver on both scale and sustainability, setting the pace for the region’s digital future.