Chile Information Technology Data Centers

Latin America is experiencing a high demand for data centers, which has culminated with Chile’s National Data center plan, launched in December 2024.  Chile already leads the region in terms of data center investment and research, with a high concentration in the cities of Santiago and Valparaíso. Chile aims to make the country a pole of attraction for data centers and triple the industry’s size by 2030.  The square meters of data cloud operation in the Metropolitan region alone are expected to grow by 91.4 percent.  

Data center demand in Chile is primarily driven by the expansion of cloud-based services and the increased storage and processing demands associated with artificial intelligence (AI).  Public cloud data represents represented 6.3 percent of the GDP in Chile, while contributing 695,000 jobs in 2023.  Currently, Chile hosts 22 medium and large-scale data centers, however an additional 30 data centers will start operations by 2028, eliciting potential investments of $1.22 billion for projects in early stages, while another 16 projects in the execution phase could garner another $2.91 billion by 2028.

Santiago’s world leading fiber optic infrastructure along with its information technology (IT) and data science development and research, make it a growing destination for foreign investment in the data sector.  Currently, a range of large-scale private companies have data centers in Chile and are planning to expand operations, including three Tier IV data centers, centers with the highest level of infrastructure redundancy and fault tolerance, including independent power sources and fully redundant systems designed for maximum uptime.

Overall, Chile’s national data center plan reflects a joint effort between a range of Chile’s Ministries, principally the Ministries of Science, Technology, and Economy, seeking to accelerate investment while ensuring sustainable development.  Furthermore, this project aims to decentralize the data center market and advance sustainability given challenges of increased electricity consumption and water usage.  Key measures of the plan include the creation of digital tools that monitor energy availability, creating a shared multi-cloud service, specialized infrastructure for AI training, and the establishment of a committee responsible for centralizing and planning the data center industry.  

Chile’s National Data Center Plan presents an opportunity for both large and medium sized U.S. companies involved in the manufacture of data center hardware and cloud infrastructure, as well as construction companies and data companies looking to expand into the Latin American market.

For further information, please contact the U.S. Commercial Service in Santiago Chile, at office.santiago@trade.gov.