For years, data centers were viewed primarily through a technology lens. The conversation centered on computing capacity, connectivity, uptime and speed to market. Power was important, but it was typically viewed as a supporting requirement rather than a strategic driver. Developers expected it to be available when and where they needed it.
As artificial intelligence (AI) continues to increase demand for computing capacity, that dynamic is changing. Energy is becoming one of the most important factors shaping data center development, influencing decisions that extend well beyond utility planning. Today, organizations are thinking more strategically about power availability, transmission infrastructure and long-term energy requirements because these factors can directly influence where facilities are built, how quickly projects move forward and how they operate over time.
In many respects, data centers are becoming something more than technology projects. They're increasingly large-scale infrastructure projects that sit at the intersection of energy, construction, operations and technology. As Ted Way, Area Executive Vice President, Gallagher Construction Services, notes, "The data centers of 2026 and beyond are going to be two construction projects in one: Power generation and data halls."
Energy is reshaping development priorities
The growing importance of energy reflects the scale of change taking place across the industry. AI workloads require significantly more power than many traditional computing environments, driving a level of energy demand that's reshaping how organizations think about growth and expansion.
What makes this shift notable is not simply the amount of electricity being consumed. It's the degree to which energy availability is influencing business and development decisions. For many years, developers could generally assume that power would follow demand. Increasingly, demand is following power.
Organizations are looking more closely at where energy is available, how quickly it can be secured and what infrastructure investments may be needed to support future expansion.
A more connected decision-making process
As energy becomes more important, organizations are also recognizing how interconnected data center development has become.
Historically, decisions related to energy procurement, site development, construction, operations, and insurance may have been made by separate teams and on separate timelines. Today, those conversations are becoming much more closely linked. Choices about power infrastructure can affect project schedules, operational flexibility, long-term costs and even financing discussions. In turn, decisions made during development can affect how facilities perform over their lifespan.
This is leading many organizations to bring stakeholders together earlier in the process. Rather than being treated as separate workstreams, power strategy, infrastructure planning and operational objectives are increasingly viewed as parts of the same conversation. The goal is not simply to deliver a project on time, but to make decisions that support long-term growth and performance.
Thinking beyond capacity
Much of the market discussion around data centers focuses on adding capacity to meet growing demand. While that remains a priority, another conversation is emerging around the infrastructure required to support that growth over time.
Questions about energy supply, transmission capacity, workforce availability, supply chains and long-term operational requirements are becoming increasingly important. These considerations may not be as visible as new data hall construction, but they play a larger role in determining how efficiently projects move from concept to operation.
This shift is encouraging organizations to adopt a broader infrastructure mindset. Rather than focusing only on the facility itself, leaders are paying closer attention to the systems and dependencies that support it. That perspective can help create stronger alignment between development goals, operational needs and future growth plans.
Planning for the next phase of growth
The future of the data center industry will undoubtedly be shaped by advances in technology. At the same time, it will also be shaped by access to energy, infrastructure investment and the ability to align multiple disciplines around a common strategy.
The conversation around data centers is still often framed as a technology story; however, it's also an infrastructure story. Understanding how those two realities come together may be one of the most important challenges — and opportunities — facing the industry over the coming decade.
Our report, Powering the Data Center Boom: Energy Risk and the New Infrastructure Reality, explores the energy trends reshaping data center development and offers practical insights for organizations navigating a rapidly changing market.