Yes A checkmark with a circle around it close
Long row of data servers

Generative AI transforming data center landscape

The world is generating data at breakneck speed, fueled in part by the adoption of generative artificial intelligence (AI) at both the consumer and enterprise level. Data centers come into play as the foundation for storing, managing, and analyzing this growing inventory of information, and Wells Fargo Investment Institute expects substantial market growth with material impacts in a range of sectors.

Key takeaways

  • There has been a great deal of investor attention around the development of generative AI, but it has been primarily focused on the most visible beneficiaries.
  • In our view, the scale of investment taking place and its impact on the broader environment for a range of companies remains somewhat underappreciated.
  • In this report, we discuss one such area of potential opportunity for investors — data centers.

Article written by:

Equity Sector Analyst, Information Technology
Equity Sector Analyst, Communication Services

Equity Sector Analyst, Energy and Materials
Equity Sector Analyst, Industrials
Equity Sector Analyst, Consumer Discretionary