Canada is quickly emerging as one of the most dynamic data centre markets in North America. With total IT capacity now surpassing 10.4 GW, the country has shifted from steady growth to exponential expansion. Strategic advantages in renewable power, available land, and government support are drawing hyperscalers and colocation providers to scale at unprecedented speed.
Over the past year, Canada has moved from a regional hub to a global contender. Toronto and Montreal continue to anchor the market, while Alberta is rapidly transforming into a third pillar of growth, propelled by landmark projects such as Wonder Valley.
As Colby Cox, Americas Managing Director at DC Byte, notes:
“Canada’s rise underscores how scale and sustainability are converging to create new global hubs. The forward pipeline is dominated by AI and GPU-focused projects, which won’t reshape the leaderboard until 2027, but they highlight the shifting priorities of both operators and investors. For stakeholders, the lesson is clear: the future belongs to markets that can balance megawatt scale with renewable credibility.“
A Market Defined by Pipeline Growth
Canada’s project pipeline has reached historic highs. More than 75% of tracked capacity is concentrated in early stage and committed phases, signalling that the majority of future supply is still to come. This positions the country for significant additions over the next decade.
Total capacity now stands at 10 GW, but only a fraction is live or under construction. The rest represents forward commitments that will redefine the market as hyperscalers seek AI-ready infrastructure.
The Big Three: Toronto, Montreal, and Alberta
Canada’s data centre activity is highly concentrated, with Toronto, Montreal, and Alberta together accounting for 93% of national IT load.
- Toronto is the country’s financial and business hub, where hyperscalers are increasingly moving into suburban availability zones to reduce latency.
- Montreal benefits from abundant hydropower, efficient cooling, and competitive costs, making it attractive for both colocation and cloud.
- Alberta is the rising star, supported by government incentives and the groundbreaking Wonder Valley project, which will bring at least 5.6 GW of IT load over the next decade.
This concentration brings efficiency but also raises questions of diversification, as secondary provinces remain relatively underdeveloped.
Market Leaders and New Entrants
When ranked by total capacity, the leaderboard features both established operators and ambitious new entrants. Vantage Data Centers, Cologix, Compass, Urbacon, and eStruxture remain important players. But O’Leary Ventures and Beacon have generated strong market buzz with large-scale early stage commitments tied to AI and GPU-focused demand.
These projects are unlikely to alter the competitive balance before 2027, but they highlight how quickly operator positioning could shift once construction and approvals move forward.
The Sustainability Advantage
Canada’s clean energy mix is one of its greatest strengths. Around 60% of national electricity comes from hydropower, giving the country both a cost and sustainability advantage. For operators facing pressure to align with net-zero commitments, Canada provides a lower-carbon alternative to many North American peers where fossil fuels still dominate.
This sustainability profile is a key differentiator for hyperscalers building AI-ready campuses, which are expected to drive higher power densities and longer-term commitments.
Access the Full Market Spotlight
This blog provides a snapshot of Canada’s remarkable rise. The full Market Spotlight offers detailed breakdowns of IT loads, pipeline activity, and project timelines, helping operators, investors, and planners understand where each hub stands and how to act on emerging opportunities.
Download the market spotlight report today.
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