New data center development has hit some speed bumps in recent months, as protests from local citizens and government restrictions have imposed constraints.

On the other hand, investment trends in new data center development reflect an industry that shows no signs of slowing down.

According to data shared by the online industry analyst, ConstructConnect, starts of new data center projects so far this year reached $84.1 billion. The figure represents the dollar value of all projects that have broken ground as of July. It is almost triple the spending level of a year ago. 

Other data also contribute to the profile of an industry expanding at a rapid pace. Spending on data centers in July alone totaled $2.7 billion. This represents 23 projects for a year-to-date total of 136.

It also represents about one quarter of the total value of all nonresidential building (NRB) starts so far this year. NRB includes a range of building types, such as offices, schools, hospitals and manufacturing plants. Although the share is down a few percentage points from a few months ago, it is about two and a half times greater than the figure, 10%, from July 2025.

Geographically, data center development is changing course. Indiana, Illinois, Michigan and North Carolina each report more than $10 billion in data center starts so far this year, leading a trend of investment into the Midwest and South, and away from the coasts. Going forward, that pattern is shifting decidedly south. Of the total value of starts for planned data center development for the remainder of the year, August through December, 71% is sited in the South, ranging from Maryland to Texas.

Finally, ConstructConnect notes this trend has contributed to a concurrent increase in spending on power infrastructure construction. Transmission lines, substations and generating facilities are needed to support the tremendous power needs of the new data centers. Spending on power infrastructure construction grew from $9 billion in 2021 to $37 billion in 2025, and year-to-date spending is 3% ahead of the same period last year.