What is Deloitte’s Verdict on Data Centre Impact in 2026?

Deloitte has released its 2026 Manufacturing Industry Outlook, a report that assesses how the sector is recovering from a difficult 2025 and identifies the forces shaping investment in the year ahead. 

While the analysis spans automation, workforce planning and supply chains, several findings directly link to data centre growth, particularly the availability of critical components and the rise of AI-driven industrial systems that rely on robust digital infrastructure.

Tim Gaus, Principal at Deloitte Consulting and Smart Manufacturing Business Leader, believes the coming year will prompt a renewed focus on digital transformation. 

“The uncertainties manufacturers anticipate in 2026 will lead to more investment in smart manufacturing initiatives, which will be critical to driving future competitiveness and resilience,” says Tim.

“Despite the challenges in the year ahead, real growth catalysts exist.”

Digital manufacturing strengthens demand for compute

One of the most prominent themes in Deloitte’s outlook is accelerating investment in smart manufacturing.

According to Deloitte’s 2025 Smart Manufacturing and Operations Survey, 80% of manufacturers plan to allocate at least 20% of their improvement budgets to automation hardware, advanced analytics and cloud computing platforms.

These technologies place greater reliance on data centre infrastructure, particularly as factories integrate AI models that require real-time processing, scalable storage and resilient networks. 

Tim describes how the shift is already well underway. 

“Manufacturers are focusing on automation, advanced analytics, cloud and agentic AI to compete and adapt faster, driving measurable productivity, quality and capacity gains,” he says.

Agentic AI, which automates tasks across supply chains, maintenance and customer support, is highlighted as a significant step change. 

These systems depend on high-performance compute and low-latency connectivity, pushing operators to invest more deeply in facilities able to host these workloads. 

Deloitte notes the rise of physical AI such as autonomous robots, which in turn increases demand for edge compute environments to support factory floor decision-making.

Supply chain volatility heightens pressure on infrastructure

Deloitte’s report details how manufacturers have been affected by shifting tariffs and trade policies, with 78% citing trade uncertainty as their top concern in 2025.

This volatility extends to the supply of hardware used in data centres, including transformers, switchgear, power distribution equipment and semiconductor components.

Tim says digital tools are now essential for managing this complexity. 

“Supply chain complexity isn't abating; it's evolving,” he says.

“Leading manufacturers are deploying AI-driven trade analytics and autonomous agents to continuously assess risk, scenario plan and rebalance networks, improving visibility end-to-end while optimising cost and service across volatile trade and logistics conditions.”

Advanced modelling can also provide early warning of disruption and recommend alternative sourcing options, helping prevent delays in the construction of new data centre capacity. 

As operators encounter longer lead times for critical electrical equipment, Deloitte notes the value of coordinated planning between manufacturers and infrastructure developers.

Data centre construction boosts industrial investment

One of the strongest data centre connections in the outlook comes through the manufacturing investment section. 

"The data centre boom and ongoing semiconductor investment are spurring multi-year agreements to produce key components and expand US production to meet growing demand," Tim observes.

Deloitte reports that the data centre boom has created sustained demand for components essential to large-scale builds. US startups working on small modular reactors attracted US$3.9bn in funding in 2024, reflecting the growing interest in alternative power sources for high-density campuses.

Manufacturers supplying components such as transformers and power management systems have seen multi-year orders as hyperscalers plan for large AI deployments. Some OEMs are described as sold out for years ahead, underscoring how data centre expansion now shapes production planning across the industrial sector.

Deloitte also highlights the continuing rise in semiconductor manufacturing, with more than US$500bn in private commitments announced by July 2025.

Increased domestic chip output supports operators seeking secure access to processors and accelerators required for AI workloads.

Workforce planning to meet infrastructure needs

Competition for digital skills remains intense.

Deloitte found that more than a third of manufacturing executives view equipping workers for smart manufacturing as a top priority. The same skillsets are relevant to data centre operations, particularly in areas such as automation, industrial controls and AI-driven maintenance.

The report outlines a “build, buy or borrow” approach to workforce planning, noting that agentic AI may help accelerate onboarding and training by capturing tacit knowledge from experienced employees and generating standard operating procedures.

Tim says the organisations that seize opportunities presented by smart manufacturing and adjacent sectors such as semiconductors and data centres will be “well positioned to navigate volatility, unlock new growth and widen the competitiveness gap."