DATA CENTRE WORLD PARIS - NOVEMBER 2024
In October 2024, First Point Group attended Data Centre World Asia in Singapore, where a significant challenge was highlighted: the data centre industry is grappling with a talent shortage, both in the short and long term. This issue is not confined to Asia alone; it is a global concern. Recently, Europe hosted its own Data Centre World event in Paris, France. Our team who attended spoke with hiring managers who brought this pressing issue to the forefront once again.
The Talent Shortage
At Data Centre World Paris, industry professionals discussed the acute shortage of skilled talent needed to support the rapidly growing data centre sector. This shortage spans across various roles, from design and construction to operations and maintenance. The competition for experienced candidates is high, and the demand for data centre professionals is outstripping supply. This challenge is compounded by the lack of investment in training programs tailored specifically to data centre careers.
France: A Hub for AI Data Centres
France, with its strategic, central location, access to cheaper energy and ecosystem of AI companies, is poised to become a European regional hub for AI data centres. France is home to an expanding number of AI startups, with numerous companies leveraging data centres to power their innovations. Companies like Mistral AI and Dataiku are leading the charge, utilising France’s robust data centre infrastructure to support their AIdriven solutions. In Paris the time to obtain approvals and power is very lengthy, so some data centre players are looking at other cities in France to build and operate AI data centres.
Hyperscalers and AI Companies: A Strategic Focus
While hyperscalers like Amazon Web Services, Google Cloud, and Microsoft Azure dominate the global data centre landscape, there is a growing opportunity for AI companies to establish a strong presence in France. These companies require specialised data centre capabilities to handle the complex demands of AI and machine learning applications. By targeting AI companies and data centre operators who can handle their needs, France can attract a new wave of investment and innovation in the data centre industry.
Recruitment Challenges and Opportunities
One of the critical issues discussed at Data Centre World Paris was the difficulty in recruiting skilled professionals, particularly English speakers. This challenge is more pronounced in Europe compared to regions like Africa. To address this, companies are exploring various strategies, including upskilling existing employees and expanding recruitment efforts to other territories. Upscaling internally is seen as a viable remedy, but the talent shortage is expected to persist until more comprehensive training and development programs are implemented
The Future
Data Centre World Paris highlighted the urgent need for the data centre industry to address its talent shortage. By focusing on AI companies and leveraging France’s advantages as a regional hub, the country can play a pivotal role in driving innovation and growth in the data centre sector. However, overcoming the recruitment challenges will require a concerted effort from industry leaders, educational institutions, and policymakers to develop a sustainable talent pipeline for the future.
DATA CENTRE WORLD AISA - OCTOBER 2024
The 2024 Data Centre World Asia event in Singapore highlighted an emerging and pressing challenge: the data centre industry is grappling with a severe talent shortage both in the short and long-term. Conversations I had with industry professionals at the event revealed a common struggle faced by data centre operators; finding experienced candidates. This talent struggle has prompted operators to rethink their data centre hiring strategies, broadening their recruitment efforts to include talent from other industries, such as power and infrastructure, and train them for data centre-specific roles. In our summary from the event we explore this further.
Talent shortage across the board
A key takeaway from the event was the consensus that many organisations appear to be competing for the same pool of experienced talent. Whether it’s for design, build, or operational roles, the growing demand for data centres is outstripping the supply of skilled professionals. Construction and project managers, mechanical and electrical engineers, and strategic planners are in particularly high demand. This competition is so intense that data centre organisations are focusing heavily on retention programs as a key measure to hold onto their existing employees. With the inability to hire quickly and effectively, retaining skilled staff has become a critical priority.
The lack of experienced candidates is not just a short-term issue. Industry experts at the event noted that there is a lack of investment in training tailored specifically to data centre careers. This gap is further compounding the problem, as fewer people are entering the industry with the necessary skills. Without a concerted eff ort to build a talent pipeline through training, the industry could face long-term recruitment difficulties.
AI’s impact on data centre growth and complexity
Another hot topic at the event was the influence of artificial intelligence (AI) on the data centre market. With AI, machine learning (ML), and cloud technologies becoming more integral to various industries, data centre operations are set to become even more complex. As companies integrate these advanced technologies, the technical demands on data centres are increasing, requiring more specialised knowledge and skills. AI and ML, in particular, will create new roles and responsibilities, with professionals needing to understand not only traditional IT infrastructure but also cutting-edge algorithms and data processing requirements.
Experts at Data Centre World Asia predicted that the industry will see aggressive growth in the coming year, driven in large part by AI and digital transformation across industries. This expansion will necessitate a new wave of recruitment, with a focus on skills that intersect with both traditional engineering and emerging technologies.
Malaysia and India: Key markets for expansion
In terms of geographic expansion, many data centre operators are looking to expand their footprints in Southeast Asia, with Malaysia and India emerging as top destinations for new builds in 2025. These regions are attractive due to their growing digital economies, favourable regulatory environments, and the availability of land and resources for building large-scale data centre infrastructure. Operators are keen to capitalise on these opportunities, but they are also aware that staffing these new facilities will present a significant recruitment challenge, especially without a larger talent pool to draw from.
Sustainability: A key priority
Sustainability was another theme that resonated throughout the event. As data centres continue to expand, their environmental impact is under increasing scrutiny. Many companies are now prioritising green energy solutions and sustainable operations, incorporating renewable energy sources, energy-efficient cooling technologies, and carbon reduction strategies into their facilities. This shift toward sustainability is not only crucial for the planet but also for meeting the expectations of environmentally conscious clients and investors.
A call for action on training and development
One of the most concerning revelations from the event was the industry-wide agreement on the lack of investment in data centre training and qualification programs. While there is an undeniable demand for skilled workers, there appears to be insufficient focus on developing the necessary educational and training pathways to meet this growing need. The complexity of modern data centres, combined with the rapid technological advancements like AI and cloud computing, makes it imperative to invest in comprehensive training for future talent.
The growing complexity of data centres also means that professionals need a broader skill set than ever before. In addition to traditional roles in construction, engineering, and operations, companies now need employees who understand AI, ML and cloud technologies to ensure they can meet the increasing demands of their clients.
Data centres: The road ahead
The conversations at Data Centre World Asia reflected an industry at a pivotal moment. The data centre market is poised for explosive growth, driven by the rise of AI, cloud computing, and digital transformation. However, the talent shortage threatens to hinder this progress. Data centre operators will need to be proactive in addressing these challenges by broadening their recruitment efforts, investing in retention strategies, and, perhaps most importantly, committing to the development of robust training and qualification programs to build the workforce of tomorrow.