Global Colocation Data Center Market Size, Share & Trends Analysis Report By Type (Retail Colocation, Wholesale Colocation), By Enterprise Size (Small-Medium Enterprises, Large Enterprises), By Industry Vertical (Bfsi, Healthcare, Energy & Utility, It & Telecom, Retail & E-Commerce, Manufacturing, Government & Public Sector, Media & Entertainment, Other), Global Economy Insights, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 - 2030
The Data Center Colocation Market includes the practice of providing data center space and infrastructure, including power, network bandwidth, physical security, and cooling component on lease to the end-users. Basically, it is the provision of turn-key data center space to multiple customers, within the same data halls, for the purposes of hosting IT infrastructure, including servers. It helps the company in data center management, planning, operational strategies, risk management and more has increased the demand for data center colocation. They are equipped with a power backup facility, an IP system, and a cooling unit. When an enterprise or business cannot have its own data center colocation, they buy the space in terms of rack or cabinets from other colocation data centers. Colocation data centers proves more cost-effective, tremendously reliable, easily scalable, may be positioned close to the users, and require minimum technical staff.
The Global Data Center Colocation Market size was valued at $46.08 billion in 2020, and is projected to reach at $202.71 billion by 2030, growing at a CAGR of 15.7% from 2021 to 2030. The worldwide adoption of cloud-based services, digitalization initiatives across the economies, and remote working, which gained traction during the COVID-19 pandemic, are some of the significant enablers which will boost the market. The operators are witnessing demand from several industries, such as healthcare, telecom, government, entertainment & media, which has led to several new investments in the data center colocation market.
Rapid digitization throughout industries, together with the growing usage of hybrid cloud computing and virtualization systems, is one of the key elements driving the growth of the Data Center Colocation Market place. Datacenter colocation facilities are located away from the consumer premises and may be managed remotely in case of failures to secure the records. In addition, the huge adoption of reliable, scalable, and secure infrastructure for efficient data recovery and enterprise continuity requirements, is providing a thrust to the marketplace growth. In addition, the increasing amount of information from social media and over-the-top platforms has increased the demand for data centers and colocation services.
The quantity of lively customers on social media is growing exponentially and, thus, contributing to the growing data from those platforms. Furthermore, the Covid-19 pandemic has resulted in the increasing utilization of OTT and streaming services leading to accelerated data volumes, that are predicted to fuel the marketplace growth. Moreover, with the growing number of small- and medium-sized enterprises (SMEs), specifically in the growing economies, there’s a tremendous rise in the deployment of modular data centers to keep up with the growing network complexities. Additionally, colocation data center implementation helps small businesses save operating fees and overheads.
However, excessive initial & setup cost and network bandwidth problem is important restraint factor for the marketplace globally. In addition to the setup, an in-house data center requires everyday working expenditure and an excessive degree of taking care of data safety and integrity. The setup and protection of an in-house data center represent a big liability for monetary and physical safety for companies. This challenge is correctly addressed through colocation service vendors who deliver rack space, power, cooling, networking, bandwidth availability, firewalls, and different such facilities in trade for month-to-month rent, which thereby removes the capital value for companies.
Over the projected period, it is predicted that the fast expansion of structured and unstructured data and the rising demand for cloud computing will drive the growth of the global data center colocation market. Another factor anticipated to accelerate the development of colocation data centers is the rising capital expense associated with owning and maintaining sizable computing facilities.
A trend that is anticipated to continue during the projected period is that predictable prices, high dependability, simple scalability, and overall reduced costs are some of the primary reasons impacting colocation demand. High-capacity networks are becoming increasingly crucial as edge computing applications take off. Multi-locational hybrid data architectures have developed due to network latency challenges and the need for instantaneous real-time insights.
Data transmission between data centers or private exchange points has therefore become crucial. Additionally, as more companies move their operations to the cloud, more bandwidth is needed to support quicker data processing and smoother data transfer. The growth of immersive technologies like augmented reality, virtual reality, and artificial intelligence (AI), as well as 5G technology, has further contributed to the requirement for providing larger bandwidths for data transfer across organizations.
The Global Data Center Colocation Market is segmented based on Type, End-User, Industry, and Geography.
A recent market research report added to repository of Intellectual Market Insights Research is an in-depth analysis of Global Colocation Data Center Market. On the basis of historic growth analysis and current scenario of Colocation Data Center market place, the report intends to offer actionable insights on global market growth projections. Authenticated data presented in report is based on findings of extensive primary and secondary research. Insights drawn from data serve as excellent tools that facilitate deeper understanding of multiple aspects of global Colocation Data Center market. This further helps users with their developmental strategy.
This report examines all the key factors influencing growth of global Colocation Data Center market, including demand-supply scenario, pricing structure, profit margins, production and value chain analysis. Regional assessment of global Colocation Data Center market unlocks a plethora of untapped opportunities in regional and domestic market places. Detailed company profiling enables users to evaluate company shares analysis, emerging product lines, pricing strategies, innovation possibilities and much more.
The report covers the all the aspects of industry with dedicated study of key players that includes market leaders, followers and new entrants by region. PORTER, SVOR, PESTEL analysis with the potential impact of micro-economic factors by region on the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give clear futuristic view of the industry to the decision makers.
Colocation Data Center Market Players & Competitor Analysis: The report covers the key players of the industry including Company Profile, Product Specifications, Production Capacity/Sales, Revenue, Price and Gross Margin 2022-2031 & Sales with a thorough analysis of the market’s competitive landscape and detailed information on vendors and comprehensive details of factors that will challenge the growth of major market vendors.
These services are usually availed of through agencies that don’t address large amounts of data, require limited storage for a limited period, and don’t have any data enlargement plans. In addition, retail colocation services are to be had at low costs, that’s useful for the ones who have a limited budget. Furthermore, this model allows organizations to store their data at more than one center in several regions, states/provinces, or countries.
This generally refers to the leasing of a fully built data center space. Wholesale colocation is geared towards large enterprises, service providers and government agencies. This is a dedicated data center within the larger colocation data center facility. This is a great option when there is a need of lot of space at a low cost per square foot, room for future expansion within the same facility and require a great deal of customization
The small and medium-sized enterprises (SME) category in the data center colocation market is predicted to exhibit the faster growth in the organization segment in the forthcoming years. This is attributed to the fact that these companies cannot maintain their own data centers & work with considerably lesser data in comparison to large enterprises and, thus, need a smaller storage space.
Large enterprises are predicted to have the largest market share during the forecast period. Large Enterprises are inclined toward adopting colocation services, as they’re capable of hiring huge areas on lease and meeting their strength and computational requirements. Moreover, colocation services assist large companies to have entire control over the data center infrastructure. Heavy investment by big-size organizations in data centers is credited with this increase. Additionally, the worldwide market for data center colocation is being driven by significant enterprises’ increasing need for substantial data storage.
Based on Industry, The market is segmented into Banking, Financial Services, and Insurance, IT and Telecom, Government and Defense, Healthcare, and Others. IT and Telecom segments are anticipated to have the biggest marketplace proportion during the forecast period. Because of the fast adoption of superior technologies, which include the internet of things (IoT), cloud computing, and artificial intelligence, large volumes of information are being generated.
Therefore many organizations working in the IT and telecom sectors are renting data center space. These solutions permit IT and telecom organizations to safely manipulate and save massive volumes of data and scale up the storage potential as per their requirements. Besides the benefits of low operational fees and capital, data colocation centers offer high-speed data transmission.
Based on Regional Analysis, The Global Data Center Colocation Market is classified into North America, Europe, Asia Pacific, and the Rest of the world. The North American region is expected to increase at a higher CAGR during the forecast period due to the strong presence of numerous major cloud service providers and SMEs deploying colocation data centers throughout the area. Moreover, growing e-trade sales in the United States are contributing to regional marketplace growth. In addition, retailers are investing heavily of their IT infrastructure for storing consumer information, which may be used to pick out consumer buying styles and product demands based on numerous categories, consisting of area, gender, and age group.
The report also helps in understanding Global Colocation Data Center Market dynamics, structure by analyzing the market segments, and project the Global Colocation Data Center Market size. Clear representation of competitive analysis of key players by type, price, financial position, product portfolio, growth strategies, and regional presence in the Global Colocation Data Center Market make the report investor’s guide.
North America accounted for the highest xx% market share in terms of revenue in the Colocation Data Center market and is expected to expand at a CAGR of xx% during the forecast period. This growth can be attributed to the growing adoption of Colocation Data Center. The market in APAC is expected to witness significant growth and is expected to register a CAGR of xx% over upcoming years, because of the presence of key Colocation Data Center companies in economies such as Japan and China.
The objective of the report is to present comprehensive analysis of Global Colocation Data Center Market including all the stakeholders of the industry. The past and current status of the industry with forecasted market size and trends are presented in the report with the analysis of complicated data in simple language.
The points that are discussed within the report are the major market players that are involved in the market such as market players, raw material suppliers, equipment suppliers, end users, traders, distributors and etc.
The complete profile of the companies is mentioned. And the capacity, production, price, revenue, cost, gross, gross margin, sales volume, sales revenue, consumption, growth rate, import, export, supply, future strategies, and the technological developments that they are making are also included within the report. This report analysed 5 years data history and forecast.
The growth factors of the market are discussed in detail wherein the different end users of the market are explained in detail.
Data and information by market player, by region, by type, by application and etc., and custom research can be added according to specific requirements.
The report contains the SWOT analysis of the market. Finally, the report contains the conclusion part where the opinions of the industrial experts are included.
Colocation Data Center Market Trends: Market key trends which include Increased Competition and Continuous Innovations Trends:
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