"Big Tech's AI arms race is fueling a massive investment surge in data centers with construction worker labor valued at a premium. Despite some concerns of an AI bubble, data center hyperscalers like Google, Amazon, and Meta continue to invest heavily into AI infrastructure. In effect, construction workers' salaries are being inflated to satisfy a seemingly insatiable AI demand, experts tell Fortune."
"Construction projects generally operate on tight margins, with clients being very cost-conscious, Fraser Patterson, CEO of Skillit, an AI-powered hiring platform for construction workers, told Fortune. But some of the top 50 contractors by size in the country have seen their revenue double in a 12-month period based on data center construction, which is allowing them to pay their workers more, according to Patterson."
Massive investment in data center construction is driven by AI demand from hyperscalers such as Google, Amazon, and Meta. Upwards of $100 billion could be invested into U.S. data center buildouts in 2026, and global hyperscale spending may total roughly $611 billion across 2025 and 2026. The surge is creating higher demand for construction labor and inflating wages for workers on data center projects. Some of the largest contractors have seen revenue double within 12 months because of data center work, loosening typical tight construction budgets and enabling premium pay for skilled trades. On a hiring platform, average non-data-center construction salaries are about $62,000, while data center projects pay around $81,800 on average.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]