Data Center Construction Surpasses Offices in US

According to a report from Bloomberg, spending on data center construction projects in the U.S. has surpassed spending on office projects for the first time. This shift is driven by the growing demand for AI processing facilities from tech companies like Meta, Amazon, Google, and Microsoft, who are building large data center campuses. Meanwhile, office development has slowed as cities contend with high vacancy rates since the COVID-19 pandemic. Construction firms like Turner Construction are seeing a significant increase in data center projects, with the company completing $9.4 billion worth in 2025, more than five times its 2020 total. The rise of data center construction over office projects reflects the changing priorities of the tech industry and the broader economy. As artificial intelligence and cloud computing become increasingly important, the demand for energy-efficient data centers to power these technologies is growing rapidly. This shift could have long-term implications for real estate, urban planning, and the future of work.