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Data Centers
April 15, 2025

Why Data Center Construction Projects Fail — and How AI Can Prevent It

All articles
AI
Data Centers
April 15, 2025

Why Data Center Construction Projects Fail — and How AI Can Prevent It

The Data Center Boom’s Hidden Risk

The global data center market is booming. In just four years, we've gone from under 500 megawatts of new capacity under construction to over 5,000. Yet, beneath this growth lies a sobering truth:

9 out of 10 data center construction projects are delayed — often by up to 12 months.

Why? It’s not for lack of effort or investment. The real culprits are fragmented tools, outdated reporting practices and governance blind spots. Project teams are flying blind — and it’s costing millions.

Human Memory Meets Megaproject Complexity

At DCD Connect in New York, I described the cognitive bottleneck behind this crisis.

Drawing from foundational cognitive science — particularly George Miller’s 1956 chunking theory — we know that short-term memory can typically hold only 5 to 9 meaningful units of information at once. But a hyperscale data center project? That requires tracking millions of interdependent chunks — from suppliers and trades to materials and milestones.

It’s no wonder timelines stretch from 18 to 26 months. Traditional tools and quarterly updates can’t keep up.

A Case Study in Clarity: From Blind Driving to Breakthrough

One of the world’s leading data center developers — managing 15 global projects — found itself in a familiar position.

Despite quarterly business reviews (QBRs), experienced project managers and advanced scheduling systems, their leadership team lacked visibility:

  • QBRs were frequently delayed or canceled due to stale data
  • Report formats were inconsistent across sites
  • Portfolio Management Office (PMO) analysts spent 40% of their time responding to executive inquiries
  • One project, assumed to be on track, was actually 245 days behind

The tools were there — but the insights weren’t. Confidence masked risk.

Within three weeks of deploying Foresight’s AI-powered scheduling platform, everything changed:

📊 Results at a Glance:

  • QBR costs dropped 90% — from $2M annually to $200K
  • Delays were reduced by 20%, preventing more than $100 million in lost revenue.
  • Executive reviews became faster, clearer and actionable
“We were driving our portfolio blind — Foresight was a turning point, giving us the clarity and control we needed to see the road ahead with confidence.”- Chief Technology Officer
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📖 Read the full case study →

The Control Tower Model — And Why It Works

Foresight acts as a control tower, transforming fragmented and complex project data into timely, actionable insight.

It integrates seamlessly with Primavera P6, Microsoft Project and Excel, requiring no additional data entry. The platform provides:

  • Real-time milestone tracking
  • Debiased forecasting
  • Risk visibility at both portfolio and project levels
  • Streamlined communication between the boardroom and the jobsite

“Think slow, act fast,” as we say at Oxford. With AI, we can finally do both.

🎥 Watch my full interview at DCD New York →

Governance: The Competitive Edge

In my recent interview with Fierce Network, I shared a growing concern: optimism—not supply chain or power constraints—is now one of the greatest risks to data center delivery.

“A three-month delay can basically wipe out your net present value on a data center,” I explained. “Those who keep with smoke and mirrors will flirt with bankruptcy—and that will hurt the numbers people are expecting.”

Construction timelines often rely on assumptions rather than reality. Corporate teams delegate too much to the field. Reviews come too infrequently. Forecasts aren’t challenged. And risks surface too late to prevent damage.

What’s missing is governance—the discipline to stay engaged, align leadership with on-the-ground teams, and intervene early.

📚 Read: “Optimism Could Kill the Data Center Boom” →

Schedule a Complimentary Consultation

If you're managing a portfolio — or a single high-stakes build — and can't clearly see what's on track, what’s slipping or where to intervene, it's time to talk.

👉 Book a consultation with a Foresight expert → https://www.foresight.works/schedule

Let’s turn your confidence into control and your plans into projects that finish on time.

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