As the demand for digital services grows exponentially, so does the need for colocation data center space. However, colocation providers are unable to keep up with this rapidly growing need resulting in limited space available for rent and skyrocketing prices. According to CBRE, colocation rates have jumped from 14.5% in 2022 to 18.6% in 2023 to a record $163.44 per kW/month due to the restricted supply of colo space.