Data Centers Contribute $2.1 Trillion to US Economy, New PwC Study Finds

Thursday, October 12th, 2023

A new PwC report commissioned by the Data Center Coalition(DCC) reveals the substantial impact of  the U.S. data center industry on the national economy between 2017-2021, adding $2.1 trillion to the U.S. Gross Domestic Product (GDP) from direct, indirect, and induced effects over those five years. The industry has emerged as a catalyst for economic growth positively influencing several other aspects of the U.S. economy, including employment, labor income, and tax contributions to federal, state, and local governments.

"There is unprecedented demand for digital services from individuals and organizations of all sizes and industries, including telehealth, video conferencing, e-commerce, government services, education, and entertainment. As a result of this demand, the data center industry is rapidly growing," said Allison Gilmore, Vice President of DCC, who leads the organization's research initiatives. "This report shows that the benefits provided by the data center industry go far beyond serving the increasing digital data demands of our daily lives. Data centers are now essential infrastructure, enabling advancements throughout our modern digital economy."

As our lives become increasingly digital, the data century industry is rising to fulfill the surge in demand while driving innovations in energy efficiency and sustainability. Leading data center companies have made commitments to purchase clean energy and invested heavily to bring new clean energy solutions onto the electrical grid, accelerating the clean energy transition and making the industry one of the largest purchasers of sustainable power in the United States. In addition, data center companies nationwide are actively investing in their local communities by supporting programs for science, technology, engineering, arts, and mathematics (STEAM) education and workforce development, volunteering with neighborhood organizations, enhancing connectivity in rural areas, and undertaking various other beneficial initiatives.

PwC conducted a thorough analysis that gauges the economic, environmental, and social impact of the U.S. data center industry from 2017-2021.  This evaluation spans both the national level and three specific states – Arizona, Ohio, and Virginia – selected for their significance to the data center industry and diverse market sizes. The report further investigates the industry's environmental and social contributions through surveys among DCC members.