Georgia and Pennsylvania: Rising stars in the US data centre market

Georgia and Pennsylvania are emerging as key players in the US data center landscape, driven by strategic growth in IT capacity and energy policies.

  • Friday, 5th September 2025 Posted 7 months ago in by Aaron Sandhu

Georgia and Pennsylvania have rapidly emerged as two critical players in the US data centre market. Together, they boast an IT capacity exceeding 27.5 GW, marking them as two of the fastest-growing regions nationally. Their strategic assets in power supply, land resource, and supportive policies have attracted hyperscalers and colocation providers, prompting unprecedented growth.

In recent years, these markets have transformed from secondary to major contenders. Georgia's extensive capacity expansion highlights aggressive growth strategies, while Pennsylvania has leveraged its unique energy mix and strategic positioning to attract significant hyperscale investments.

Alexandra Desseyn, Americas Research Manager at DC Byte, notes, “Georgia’s rapid build-out highlights how quickly markets can overheat when power and land converge without long-term planning. At the same time, Pennsylvania is showing how energy diversity and supportive policies can reposition a state from secondary to strategic. For operators, the lesson is clear: sustainable growth will be defined less by speed and more by alignment between infrastructure, regulation, and energy security.“

In Georgia, the IT load increased from 1.7 GW in 2021 to a projected 19.7 GW in 2025, with early-stage colocation capacity at 6.7 GW and hyperscale developments adding another 5.3 GW. This expansion is driven by large-scale projects and an increasing demand for digital infrastructure.

Pennsylvania, on the other hand, has surged from 0.2 GW in 2021 to 7.8 GW today. This growth is primarily due to commitments from major cloud operators in the wholesale colocation space.

In Georgia, the core market of Atlanta is expanding outward. South Atlanta leads with a projected 9.1 GW, followed by West Atlanta with 2.7 GW, Northwest Atlanta with 2.6 GW, and East Atlanta with 1.9 GW. This suburban spread is attributed to rising land costs and transmission constraints near the city.

Pennsylvania's data centre activities are focused in two clusters: Pittsburgh, which boasts an IT load of 2.6 GW, and Philadelphia with 0.5 GW. Pittsburgh benefits from its access to natural gas and proximity to major markets in the Midwest and Northeast, while Philadelphia leverages its dense fiber networks and industry connections.

Georgia’s rapid growth is fueled by nuclear power, anchored by the Vogtle plant's 4.5 GW, supplemented by Georgia Power's plan to add a further 10 GW. However, this expansion comes with challenges of tighter zoning laws, regulatory approvals, and local moratoriums.

Conversely, Pennsylvania has adopted different strategies, introducing policies like the Computer Data Center Equipment Incentive Program and the Artificial Intelligence and Data Center Act. These, along with streamlined permitting and the reuse of industrial sites, have thanks to long-term nuclear power purchase agreements, ensured a steady, zero-emissions supply near key plants.

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