Brazilian Data Centers Meet Growing Demand for GenAI Testing
Brazilian companies are increasingly engaging external data centers to develop GenAI applications, as highlighted in a recent ISG report. This trend reflects a broader need for data infrastructure driven by both GenAI and organic growth in the sector.
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The ISG Provider Lens™ Private/Hybrid Cloud -- Data Center Services 2024 report identifies a rising demand among Brazilian enterprises for data centers capable of hosting GenAI servers. Clean energy limitations from hydropower sources are prompting colocation providers and hyperscalers to plan solar and wind farm expansions.
The shift towards hybrid cloud solutions allows businesses to manage applications across various locations while maintaining data security. A notable expansion in the data center market is occurring, with increased international investment.
The report also evaluates 43 providers across four quadrants, naming Edge UOL, Equinix, SBA Edge, and T-Systems as leaders in three quadrants each. The adoption of software-defined networking (SDN) is highlighted, enabling virtual data centers across multiple sites. This evolving landscape presents risks and opportunities for businesses as they navigate energy supply and data management.
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