Parks S/A to Invest R$500 Million in 5MW Tier III Data Center in Southern Brazil

Brazilian telecoms equipment manufacturer Parks S/A is making a strategic entry into the data center market, committing 500 million reais (approximately $98.3 million) to build a new Tier III facility in Cachoeirinha, a city within the Porto Alegre metropolitan area in the state of Rio Grande do Sul. The investment underscores the growing demand for localized, high-availability digital infrastructure in South America, particularly as cloud computing and artificial intelligence workloads expand across the region.

The project, already under construction, will deliver 5MW of installed capacity across two dedicated equipment buildings. Parks plans to bring the data center online by the end of this year. The facility is designed to host data processing and storage, cloud computing, and AI applications, targeting enterprises and service providers seeking reliable, sovereign infrastructure in southern Brazil.

"We are pleased to announce the launch of Parks Data Centers, a project that represents our vision of the future and our commitment to offer critical, secure, and high-availability infrastructure to drive digital transformation in Brazil," said Parks CEO Fábio Cierro in a LinkedIn post. "Over 60 years, we have built our trajectory by developing national technology. Now, we have expanded this mission to the data center market, contributing to data sovereignty, innovation, and the growth of the digital economy."

In addition to the data center build, Parks has partnered with the Cachoeirinha City Government to deploy smart flood-monitoring sensors across the municipality, reflecting a broader focus on urban resilience and IoT applications. Founded in 1966, Parks has long manufactured telecoms equipment for fiber-optic and wireless data transmission—including switches, DWDM systems, and LTE routers—and now leverages that expertise to enter the critical infrastructure space. The move aligns with a wider trend of telecom and industrial firms diversifying into data center ownership, driven by the need for localized capacity and data sovereignty in Latin America.