Or: How Small Fab Shops Are Landing $500K Contracts They Couldn't Touch a Year Ago

If you've been turning down work because you can't find welders, stop reading job boards for a minute and pay attention to this.

While you're struggling to staff a second shift, data center contractors are scrambling to find fab shops that can deliver precision weldments at volume. And they're not calling the usual suspects—because the big players are already booked solid through 2026.

They're looking for capable shops that can hold tight tolerances on high-volume runs and actually hit their deadlines. If that's you (or could be you), there's serious money on the table.

The Numbers That Actually Matter

Here's what's happening: global data center construction was valued at approximately $241 billion in 2024 and is projected to reach $456.5 billion by 2030. But forget the global market for a second—let's talk about what's happening in your backyard.

Atlanta added 969 MW of data center capacity in just the first half of 2025. Phoenix, Dallas-Fort Worth, Chicago – these facilities are going up in secondary markets where capable fab shops are scarce. Every single one of them needs structural steel, server racks, cooling enclosures, cable management systems, and custom skids.

And here's the kicker: vacancy rates in top U.S. markets have dropped to record lows, with Northern Virginia hitting just 0.76%. When there's essentially zero available space, companies have two choices: wait, or build. They're choosing build. Fast.

"Yeah, But That's Not Work for Shops Like Ours... Right?"

Wrong. And that's exactly the mindset that's keeping you out of this market.

Here's what most fabricators don't realize: major data center projects need shops that can produce high-volume weldments—sometimes 1,300 identical units for a single facility build. The hyperscalers and modular builders can't find enough qualified suppliers. Traditional big shops are maxed out.

You don't need to fabricate an entire data center. You need to own 2-3 product lines and execute them flawlessly.

You don't need to fabricate an entire data center. You need to own 2-3 product lines and execute them flawlessly.

Let's get specific about what they're actually buying:

Server Rack Assemblies

We're talking about welded frames that hold $80K worth of server equipment. These racks must withstand heavy loads and vibration while maximizing cooling efficiency. Miss your tolerances and the rack won't mount properly. Hit them consistently, and you've got a customer who needs 200 more next quarter.

Structural Steel Frames and Walkways

Load-bearing mezzanines and catwalks that support equipment platforms and provide maintenance access—we're talking 50,000+ pounds of gear. These aren't cosmetic. They're structural, code-compliant, and if your welds fail inspection, you're covering the rework.

Cooling System Skids

Mechanical skids with tubular frames supporting heavy cooling equipment, requiring precision tube laser cutting, close-tolerance fitting, and certified welding. With data center energy demand expected to double in the next five years, thermal management is mission-critical. They need these skids shipped fully fabricated and ready to drop in.

Cable Management Systems

Custom-welded cable trays prevent overheating, reduce fire risk, and simplify maintenance. Miss the routing specs and you've created hotspots that damage their equipment. Get it right and you're the go-to supplier for the next 12 builds.

What This Actually Looks Like for Your Shop

Let's talk real economics. A single modular data center build might require:

• 1,300 identical 12-foot weldments (this is from an actual project)
• 400 server rack assemblies with specified tolerances
• 850 cable tray sections with precise mounting points

That's 2,550 units, many requiring AWS-certified welds, delivered over 6-12 weeks.

For a shop running two welding stations with a labor shortage? Impossible.

For a shop that figured out how to run consistent, repeatable production while your best welder focuses on complex assemblies and QC? That's $400K-600K in billings from a single contract.

And here's the part nobody's talking about: modular data center construction time is reduced by 40% compared to traditional builds, with cost savings of 25-30%. That speed advantage only works if their suppliers can keep up. Miss a delivery window and they'll find someone who won't.

The Real Bottleneck (And Why It's Actually Good News)

Here's what's keeping most shops out of this market: data center work requires AWS-certified welds, repeatable quality across hundreds of identical parts, and the ability to ramp up when orders hit.

That used to mean hiring three experienced welders—which you can't find, can't afford, or can't keep.

But what changed? Shops are applying techniques like high-strength welding and precision fabrication to ensure components install cleanly and stand up to the demands of live commissioning. More importantly, smart shops figured out that your existing welder can supervise collaborative welding systems handling the repetitive, high-volume runs while they focus their expertise where it actually matters.

Think about it: if you could run one station lights-out on those 1,300 identical weldments while your senior guy handles the complex assemblies and quality control, you're not just keeping up with demand—you're winning bids shops twice your size can't touch.

That's not theoretical. Shops running collaborative welding robots are landing data center contracts they couldn't even bid on six months ago.

That's not theoretical. Shops running collaborative welding robots are landing data center contracts they couldn't even bid on six months ago.

What the Winning Shops Are Doing Differently

The fabricators getting this work aren't the biggest. They're the ones who solved three specific problems:

1. Consistency at Volume
Projects require certified welders and dedicated certified welding inspectors to meet quality expectations that exceed industry standards. You need to deliver the same quality on unit #1,000 as you did on unit #1. Manual welding with inconsistent crew availability makes hitting those standards nearly impossible. Automated processes with proper oversight? You're in the game.

2. Aggressive Timelines
Sample units need to be ready in four weeks instead of 8-12 weeks, with final shipments delivered over six-week periods. These contractors need first articles fast, then they need volume. Can your shop turn around a sample in four weeks and still hit production schedules? If not, you're not getting the contract.

3. Zero Field Fixes
Here's the reality: deliver components that fail inspection on-site and you're looking at $15K+ in expedited freight to ship replacements—not to mention losing that contractor's trust. Components must install cleanly and perform long after installation, with no room for field rework. Data center construction happens fast, and there's no buffer for supplier mistakes.

The Certifications Question

"We don't have AWS certifications."

Yet. But here's the thing—getting your welders AWS-certified isn't the impossible barrier you think it is. And if you're serious about this market, it's the price of entry. Many shops get certified specifically to chase this work, because the contract values justify the investment.

More importantly: collaborative welding systems can help you achieve the consistency that makes certification easier to maintain. When you're running repeatable programs rather than relying on manual technique variation across a crew, your quality metrics improve dramatically.

Why This Opportunity Isn't Going Away

Maybe you're thinking this is a short-term construction boom that'll dry up. Let's put that to rest.

Global data generation is expected to hit 181 zettabytes in 2025, creating 2.5 million terabytes per day. That's not a typo. Every bit of that data needs physical infrastructure—servers, racks, cooling systems, structural support—to store and process it.

An estimated 2,267 new data centers will be constructed worldwide between 2025 and 2030. And companies are expected to invest almost $7 trillion in capital expenditures on data center infrastructure globally by 2030.

This isn't a bubble. It's a fundamental shift in how digital infrastructure gets built. And every single facility runs on precision metalwork.

This Work Is Coming to Your Region

Development activity is shifting to emerging markets with faster power access as established hubs face constraints. 

Why? Because Northern Virginia and Silicon Valley are tapped out on power capacity.

That means facilities are going up in Atlanta, Charlotte, Dallas, Austin, San Antonio, Phoenix, and Chicago—places where local fab shops can actually compete without shipping costs killing the bid.

The general contractors building these facilities are actively recruiting local suppliers right now because hauling structural steel and rack assemblies cross-country destroys their margins. If you're within 300 miles of a major metro, this work is probably closer than you think.

How to Position Your Shop (Starting Monday)

Step 1: Get Real About Your Capacity
Can you actually produce 200+ identical units to tight tolerances? If not, what would it take? This is where automation stops being a "nice to have" and starts being the difference between watching this market pass you by and actually capturing it.

Step 2: Identify Your Product Niche
You don't need to do everything. Pick 2-3 product categories where your current equipment and expertise give you an advantage. Server racks? Cable trays? Cooling enclosures? Own those.

Step 3: Get the Certifications
AWS-certified welders aren't optional for this work. If you don't have them, start the process. The contract values justify the investment.

Step 4: Solve the Throughput Problem
Here's the truth: you're not winning $500K contracts running manual welding with a skeleton crew. The math doesn't work. You need consistent, repeatable production capacity. For most shops, that means some level of automation—whether it's one collaborative welding station or a full cell.

The Bottom Line

Data center construction is creating the largest sustained demand for precision metalwork we've seen in a generation. An estimated 10 gigawatts of capacity is projected to break ground globally in 2025 alone, representing roughly $170 billion in asset value. 

That's real money, going to real suppliers, right now.

The shops winning these contracts aren't the biggest—they're the ones who figured out how to deliver certified, repeatable quality at volume while everyone else is still complaining about the labor shortage.

The question isn't whether this market will keep growing. It's whether your shop is going to be positioned to capture your share of it—or whether you'll still be turning down work because you can't find welders while your competitors are running lights-out production on data center contracts.

Is Your Shop Ready for Data Center Work?

The fabricators winning these contracts solved the capacity and consistency problem first. Most started by automating one welding station for high-volume runs, then scaled from there.

Hirebotics builds collaborative welding, cutting, and painting robots specifically designed for small and medium fab shops—systems that let your existing welders supervise high-volume production instead of being stuck on repetitive work.

Want to see how shops your size are using cobots to land data center contracts?
Visit hirebotics.com or call us to discuss what data center fabrication could look like for your operation.

The work is out there. The question is whether you're tooled up to win it.