Data Centre Magazine February 2026 | Page 29

their business process efficiency. They start to automate their business processes with agentic AI and eventually start Artificial General Intelligence( AGI), each progression will require significantly more computing horsepower enabled by data centres,” he explains.
“ These applications will benefit from being located in data centres that are located closest to the application and data generation and processing, which will be in smaller, retrofitted data centres.”
This progression from pilot projects to production systems, from simple automation to agentic
AI and potentially towards AGI, creates a cascading demand for computing power.
Each step requires not just more capacity, but capacity positioned where it delivers maximum value – close to the businesses and applications consuming AI services.
For smaller and medium-sized operators, this represents an unprecedented opportunity.
While hyperscalers focus on massive greenfield projects designed for training workloads, the inference market favours distributed, strategically located facilities – precisely the kind that retrofitting can deliver.
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