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Cloud & Infrastructure Market Narratives The Power & Compute Crunch – Infrastructure Under Pressure​ Sep 16, 2025 Infrastructure leaders pivot from expansion to optimisation, prioritising cloud cost, automation, and AI amid funding and skills gaps. Request to Download

Infrastructure leaders are bracing for exponential growth in compute and energy needs, driven by AI, modernisation, and technical debt reduction. Compute demand is set to rise 23–26% annually, with power consumption up 24% over two years. Larger enterprises expect 27% growth, while SMEs may see even steeper increases. To cope, 62% plan to outsource or hybridise cloud operations and FinOps—highlighting a growing need for vendor collaboration and operational agility. 

 

Core Insights:

  • Compute and power demands are surging, with compute expected to grow 23–26% annually and power consumption rising 24% over two years; posing risks to sustainability and resilience.
  • Smaller organisations face steeper growth, with mid-market and SMEs projecting 25–35% increases in power demand, outpacing larger enterprises.
  • Operating models are shifting, as 62% of leaders plan to outsource or hybridise cloud operations and FinOps to manage rising costs and…

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