Data center growth driving new logistics opportunities

Data centers are at the heart of the AI revolution, and the U.S. is leaning heavily into their development. With investments expected to total more than $1 trillion over the next five years, the facilities are driving a new era in U.S. technological achievements. That centers, though, require a lot of infrastructure, including logistics support, to happen.

DP World sees its expertise and global footprint as positioning it to support this next wave of infrastructure development. Supply Chain Management Review sat down with DP World executives at the recent Gartner conference to talk about the business and, specifically, the supply chain opportunity as data centers are built. 

“The whole industry, the investments going into data centers today is over $300 billion and growing at 15%,” said Rob Choy, global SVP, vertical lead-technology, for DP World. “We’re just looking for a small slice of that around logistics.”

That “small slice” is anything but simple. The logistics behind building and maintaining hyperscale data centers is complex and constant—from white-glove assembly of server racks to shipping, installation, upgrades, and decommissioning. Glen Clark, CEO of the U.S. and Mexico, and head of contract logistics for the Americas at DP World, described it as a full-lifecycle engagement: “We actually assemble the server racks that are going to go into some of these data centers… We do the logistics of actually shipping the infrastructure… and then we actually work in the data [center] with some customers and on the backend on the reverse side.”

This continuous loop of deployment and renewal is driven by the rapid evolution of semiconductor technologies. As Simon noted, “Between what, three to five years you have to change the technology in the data center. So those chips get more and more powerful… the amount of renewal, upgrades has to take place.”

Location, power, and connectivity

While data center operators prioritize proximity to a number of resources such as water,  sustainable energy sources, DP World is ready to address the logistical portion of the equation. “What we say is, put it where you think is going to be the right place, and then let us help solve the logistical challenges that come to that,” Clark said.

Power, however, is the primary constraint—and a driver of site selection. “One of the greenest data centers is in Norway,” said Choy. “There’s geothermal… and with the heating that comes out of all the servers and equipment … it can heat the homes and the community. So, it becomes one of the most green types of setups.”

DP World, once known as a major global port operator, has evolved into a logistics powerhouse, offering integrated, end-to-end supply chain services across more than 75 countries. With over 115,000 employees and $20 billion in revenue, the company has built a logistics portfolio that includes port terminals, freight forwarding, contract logistics, rail, and even product distribution. As Beat Simon, group chief commercial officer, logistics,  explained, “We are building capabilities to offer our clientele end-to-end solutions.”

Those solutions are increasingly positioning the company to take advantage of global data center growth. The company continues to actively invest in port infrastructure across Latin America and Africa in anticipation of the geopolitical and economic shifts driving demand for localized data storage and sovereignty. “Every country’s going to want to control their own data… and now they’re talking about AI sovereignty,” Choy added.

Data-driven future, logistics-driven growth

The rise of generative AI and edge computing is already transforming logistics operations. DP World is deploying technologies like digital twins, virtual reality, and robotics to optimize warehouse productivity and safety.

But as businesses and individuals increasingly rely on AI for productivity and decision-making, the demands on data infrastructure—and the logistics behind it—are only accelerating. “Now imagine the data requirements and what we do… I think it’s like a new industrial revolution, which we just starting,” Simon said.

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