Press Release

Cost Efficiency is the Key Driving Force in the Data Center Colocation Market

August, 2019

" The global data center colocation market is expected to witness a CAGR above 13% during the forecast period 2019–2025 to exceed $70 billion by 2025 "

Bangalore, India, August 29, 2019: With its recently published study “Global Data Center Colocation Market – Drivers, Restraints, Opportunities, Trends, and Forecast up to 2025”, Infoholic Research forecasts that the global market for data center colocation is expected to grow to reduce the hassle of their data center by themselves. Enterprises, nowadays, are looking for cost-effectiveness and expertise in data center management.

Data center colocation finds significant interest from the European and Asia Pacific region. The increasing need of organizations to reduce maintenance and space costs are driving the growth of data center colocation market. The trend of colocation is likely to increase, especially in the Middle East and Asia Pacific during the forecast period 2019–2025. This trend is fueling on-premises deployments; however, it is hosted at some other place. This is helping the market to grow at more than 13.0% CAGR to exceed $70 billion by 2025.

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North America is dominant in adoption of data center colocation market followed by Europe and Asia Pacific. North America is expected to invest heavily in order to reduce their responsibilities in managing the infrastructure for servers. The vendors are all focusing on early market entry and capitalize on grabbing major market share, especially in Middle East Africa and Latin America. Asia Pacific is poised to grow at the highest CAGR as the region holds great potential, owing to greater need to manage increasing consumer data and reduce scalability concerns.

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IT & ITeS industry is majorly contributing towards the data center colocation market to reduce the ever-increasing data storage and computing for the telecom and IT sector. The other two significant shares for the data center colocation market are attributed to BFSI and Energy industry. The BFSI industry is following the IT & ITeS sector in terms of adoption of data center colocation for easing out the data center infrastructure services.

Data center colocation market will show good momentum where enterprises are looking to be efficient in hosting servers at the vendor’s location. Large enterprises are expected to scale up their data centers to tier-III and IV which will propel the market for colocation vendors to provide cost-effective data center management,” analysed Swarup Bhowal, Research Analyst, Infoholic Research

Segmentation of the Report Include:

  • Tier:
    • Tier I and Tier II Data Center
    • Tier III Data Center
    • Tier IV Data Center
  • Industry:
    • BFSI
    • IT & ITeS
    • Government & Defence
    • Healthcare
    • Retail & E-commerce
    • Manufacturing
    • Others
  • Geography:
    • North America
      • US
      • Canada
    • Europe
      • Germany
      • UK
      • France
      • Rest of Europe
    • Asia Pacific
      • China
      • Australia
      • Singapore
      • Rest of Asia Pacific
    • Middle East Africa
      • South Africa
      • UAE
      • Rest of Middle East Africa
    • Latin America
      • Brazil
      • Mexico
      • Rest of Latin America
  • Industry outlook: Market trends, drivers, restraints, and opportunities

Contact:

Ms. Sunanda Ganguli

Infoholic Research LLP

IND: 080-461-51400

USA: 1-661-210-1186

sunanda@infoholicresearch.com