The 5 S’s of Data Center Construction: Speed, Supply, Sustainability, Security and Steel

The rapid adoption of digital transformation, cloud computing and a massive rise in AI usage have significantly boosted the demand for data processing and storage. In 2024, the global data center market was valued at USD $347.60 billion and is expected to reach USD $652.01 billion by 2030 (Grand View Research, 2025).

ata centers remotely store, process or distribute large amounts of data through a network of computer servers. As the need for digital storage expands, so does the need for data center construction, and developers are racing to expand digital infrastructure.

During this surge of development, data center builders should focus on key strategic goals including speed, supply, sustainability and security — also known as the "Four S’s." The fifth S that holds everything together is steel, sustainably produced via electric arc furnace (EAF) steelmaking, which is uniquely positioned to meet all of these objectives.

Learn three reasons to build data centers with sustainable, American-made steel here.

1. Speed: Designing Efficiency for Data Center Innovation

Speed to market is crucial in data center construction. As AI innovation accelerates with ongoing breakthroughs, data center developers can no longer rely on two- to three-year construction timelines to meet current and future demand.

To meet the constant need for faster turnaround times, operators are implementing rapid deployment building solutions, such as pre-engineered metal buildings (PEMB) and modular white space infrastructure to allow for future upgrades.

Prefabricating and assembling parts off-site can boost project efficiency:

• Hot aisle containment systems (HACs)
• Server racks
• Support structures

This method cuts on-site installation time by over 50%, while also improving quality control and safety at the jobsite.

Nucor’s engineering and design teams can engage data center owners and construction teams early in the planning process to ensure structural compatibility, eliminate bottlenecks and significantly reduce deployment time. Because we operate hundreds of production facilities nationwide, we can minimize transportation lead times and ensure efficient delivery to each data center construction site.

2. Supply: Managing the Chain to Meet Timelines

In a market where minor delays can lead to millions in lost revenue, ensuring supply chain reliability is essential.

Amidst geopolitical tensions, port delays and ongoing global construction material shortages, American-made steel and steel products help keep data center construction on schedule and within budget. In the race for computing capacity, reliable supply and on-time delivery are clear competitive advantages — and sourcing domestically makes this possible.

Nucor’s process:

• We have established a fully integrated domestic steel supply chain from recycled scrap to finished products, ensuring complete traceability from raw materials to finished core and shell steel structures.
• We offer fabricated components for white space elements, including HACs, server racks and essential support infrastructure.
• With over 300 facilities across North America, Nucor’s integrated locations provide supply chain assurance and production commitments to deliver materials to your jobsite on schedule without the complications or additional costs of overseas shipping.

Data center developers can gain confidence in their construction timelines by working with Nucor, a single partner managing each stage while minimizing risks linked to offshore sourcing and reliance on third parties.

See Nucor’s comprehensive data center capabilities.

3. Sustainability: Lowering Carbon Impact for Responsible Growth

Data centers are a necessary aspect of digital growth and innovation, yet they are also among the largest consumers of energy. For this reason, the industry faces mounting pressure to reduce embodied carbon and operate more efficiently, making responsible material selection and construction essential to long-term sustainability.

Decarbonization begins with smarter material choices. EAF-produced steel offers a lower-carbon pathway by using electricity and recycled scrap, significantly reducing greenhouse gas emissions in comparison to traditional blast furnace-basic oxygen furnace (BF-BOF) steelmaking methods.

Nucor is committed to decarbonizing steel production at scale. On average, our EAF steel contains 67% less embodied carbon than traditionally produced steel.

The benefits of sustainable steel also extend beyond construction. When core and shell structures and white space data center components come to the end of their useful life, the steel can be fully recycled, ensuring every ton contributes to a more circular, sustainable supply chain.

This is only achievable with an American steel manufacturer that prioritizes sustainability and manages both steel production, fabrication and recycling. This is the future of infrastructure in a circular economy, and we are already making it happen today.

4. Security: Protecting America’s Data Infrastructure

Data is the backbone of national and economic security, so the infrastructure that houses it must be equally reliable and resilient.

Purchasing data center materials and equipment can be complicated, especially since components are often assembled using globally sourced parts. When equipment or materials are sourced overseas, challenges can arise, such as errors in documentation or interpretation that can lead to customs disputes, delayed shipments, denied trade preferences or allegations of misrepresentation.

Sourcing steel and fabricated components within the U.S. helps eliminate the vulnerabilities that accompany global supply chains.

Domestic data center sourcing and production ensures:

• Trade compliance and tariff protection to help mitigate cost volatility and uncertainty of imported materials.
• Regulatory confidence to meet strict U.S. standards for environmental, labor and material traceability.
• Procurement reliability to secure predictable lead times and stable quality assurance.

Long-term security depends on maintenance and adaptability, which can be costly and unpredictable. When manufacturers are abroad or unavailable, repairs and modifications face long lead times, import fees or custom parts. For example, a data center’s cooling or power system failure may delay operations and increase costs due to waiting for proprietary parts or specialists.

Overseas sourcing can also pose risks like substandard materials and cybersecurity vulnerabilities. Choosing a trustworthy U.S. supplier offers better quality control and traceability, along with faster, more secure communication and responsiveness throughout the product life cycle.

Partnering with a domestic end-to-end supplier helps mitigate security risks to ensure compliance, transparency and supply chain certainty from production through installation and future upgrades.

5. American Steel: The Future of Data Centers

Steel remains at the heart of modern data center development, providing essential strength, scalability and efficiency.

From the core and shell to the white space enclosures that protect critical infrastructure, American steel enables the rapid pace and flexibility needed to meet increasing digital demand. With materials produced, fabricated and delivered within the U.S., owners and developers can rely on consistent quality, shorter lead times and reduced exposure to tariffs or trade disruptions.

Equally important, EAF steel supports the sustainability goals shaping the future of the circular economy. Produced using recycled scrap, Nucor’s green steel products deliver lower embodied carbon and can be recycled infinitely without any loss in quality.

A trustworthy partner can unite all of this: speed to market, reliable supply, responsive support and a smooth transition from scrap to mill to finished structure. The result is a data center that can be built rapidly and can perform with the same reliability and security as the networks it powers.

Nucor, North America’s largest steel manufacturer and recycler, is positioned to help the industry build data centers faster and more sustainably. Reach out to our data center construction experts for rapid deployment building and design solutions.