Despite some instability in the broader tech jobs market, the AI arms race is creating unprecedented demand for certain segments of tech talent. According to CBRE, US data center space grew 26% last year–a frenzy on par with the construction pace of the first dot-com boom. The talent demand that comes in the form of IT resources needed for the global buildout of infrastructure is profound, as well as the need for those who can develop and train future iterations of this new tech.
It’s no surprise that with this huge demand comes higher pay expectations. The trends uncovered by Lorien’s 2024 Technology and Digital Salary Survey show us which roles are heating up, and the role location plays in driving spikes in compensation.
What are today’s most in-demand tech jobs?
The data center construction boom has led to ample career opportunities for mechanical and electrical technicians and engineers. The construction of data centers itself requires a large number of contingent talent–from project managers and architects to networking specialists and security personnel (physical and cyber). In particular, energy experts, especially those with a background in renewable resources, and networking specialists with copper and fiber optic expertise are in high demand.
Once operational, a wide range of permanent employees are then responsible for managing and maintaining the hardware infrastructure, including setting up and configuring servers, troubleshooting, conducting inspections, and overseeing regular software and hardware upgrades. Typical job titles include Data Center Technicians, Systems Engineers, Network Administrators, and Electrical/Mechanical Maintenance Technicians.
Where demand for talent is strongest
Companies like Amazon, Google, Meta, Microsoft, Oracle, and Tesla are investing enormous sums to develop data centers around the world. Again, according to CBRE data, North American data center inventory grew by 24.4% year-over-year in Q1 2024, with vacancies reaching new lows. Other parts of the world aren’t far behind, with inventory growing by 22% in Asia Pacific and 20% in Europe.
The market with the highest inventory—an indicator of demand for data center-specific talent—is in Northern Virginia, which boasts 2,500 megawatts of capacity. This is nearly 2.5 times more than London, the next largest market. Tokyo, Frankfurt, and Sydney round out the top five.
Dallas-Fort Worth is the second largest market in the US with a record 372.2 megawatts of inventory under construction. Hyperscale and AI companies are driving the growth here, hiring aggressively to support their buildout. Chicago, the Silicon Valley, and Boise are also attracting investments, although Idaho faces greater challenges in attracting talent than other metro areas.
Creating an effective talent strategy
As AI and cloud companies grow their data warehouse footprint, they’ll need to prioritize talent recruitment and retention. One important consideration here is talent supply, given the strict location requirements for data centers. Access to talent in large metro areas like Northern Virginia or Dallas-Fort Worth will be easier than in areas with smaller populations such as Nebraska.
Compensation is another piece of the puzzle. Our 2024 report shows that compensation for many key roles has risen between 4% to 5% year over year, well above the national average for all jobs. However, it can vary significantly based on location. For example, data architects make around $140,000 on average in the US, and close to $153,000 in high-demand areas. Database administrator salaries are approximately the same.
As always, developing a powerful employer value proposition will be key to winning talent. Competitive pay, a healthy work-life balance, career advancement opportunities, and learning and development resources are always powerful motivators for attracting candidates. Additionally, a strong culture backed by compelling values and a clear mission will help employers stand out.
Connect with our team of experts today to power your data center growth with the right tech talent
With data center infrastructure scaling at unprecedented rates in North America and around the world, the companies transforming the global economy can only succeed with the right talent fueling their AI innovation. Reach out here to discuss how we can help you attract, hire, and retain the skilled professionals driving the AI and data center boom.
