Global Data Center Rack Market Outlook 2023-2028 - Open Rack Architecture Gains Traction for Cost Savings and Interoperability

DUBLIN, Oct. 25, 2023 /PRNewswire/ -- The "Global Data Center Rack Market - Outlook & Forecast 2023-2028" report has been added to  ResearchAndMarkets.com's offering.

The global data center rack market is expected to reach a value of $3.14 billion by 2028 from $2.04 billion in 2022, growing at a CAGR of 7.5%

The global data center rack market is experiencing robust growth, driven by collaborative alliances between data center operators and rack vendors. Key players in the industry, including Schneider Electric, Vertiv Group, Eaton, Rittal, and Legrand, offer rack infrastructure solutions. Moreover, IT infrastructure providers such as HPE, Dell Technologies, and IBM have formed partnerships to deliver pre-installed IT infrastructure solutions for data centers.

Revenue generation for these vendors is influenced by factors such as the breadth of their product offerings, competitive pricing, and the quality of pre- and post-installation services. The market features both local and global providers, contributing to its dynamism.

Sustainability and energy efficiency have gained significance in the data center industry as data centers continue to expand in size and complexity, leading to increased energy consumption and carbon emissions. This has fueled the demand for sustainable data center racks that can reduce energy consumption and minimize environmental impact.

Edge computing, characterized by remote and rugged environments, necessitates lightweight, portable, and robust data center racks. These racks must accommodate various IT equipment and cooling solutions. Some vendors are developing edge-specific racks optimized for edge computing workloads, featuring power distribution units (PDUs) supporting multiple power sources and redundant cooling systems.

The ascent of hybrid IT infrastructure, blending on-premises and cloud-based systems, drives the need for flexible and scalable racks. Hybrid IT enables organizations to harness the advantages of both on-premises and cloud infrastructure, enhancing agility in workload and application management.

The Asia-Pacific (APAC) region dominates the data center rack market, with a projected CAGR of approximately 8.52% during the forecast period. APAC organizations are constructing high-performance-computing data centers, driving demand for advanced, high-capacity racks.

China's flourishing digital economy, led by sectors such as e-commerce, real estate, BFSI (Banking, Financial Services, and Insurance), healthcare, and government, contributes to increased investments in rack infrastructure and support infrastructure.

MARKET TRENDS & OPPORTUNITIES

Increasing Deployments of Edge Data Centers

The increase in edge data center installations is expected to boost the demand for racks in data centers. Edge data centers are smaller and located closer to where data is used, like smart devices and apps. This means there's a need for compact racks that fit well in smaller spaces.

These racks might also need to be flexible to hold different types of equipment and help with cooling and power distribution to keep things running smoothly. Moreover, the demand for edge data centers has significantly increased due to increased data generation. As a result, data center racks and cabinets have become essential components of a business's IT infrastructure, thereby supporting the data center rack market growth.

The Procurement of Open Rack Architecture

Open rack infrastructure adoption in data centers has been increasing in recent years, driven by the need for greater flexibility, interoperability, and cost savings. Open rack infrastructure refers to a standardized rack and power distribution unit (PDU) design that enables users to easily mix and match hardware components from different vendors.

Hence, standardized rack designs can work with various equipment rather than racks with specific designs that only fit certain things. Using these open racks allows data centers to be more flexible with their equipment, saving money and making operations more efficient. This trend also encourages collaboration among companies to develop improved ideas for racks and equipment.

KEY QUESTIONS ANSWERED:

• How big is the data center rack market?
• What is the growth rate of the global data center rack market?
• What are the key trends in the data center rack industry?
• How big is the global data center rack market regarding unit shipment?
• Who are the prominent rack provider companies in the global data center rack market?

Rack Standards in Data Centers

• National Electrical Manufacturers Association (Nema)
• Electronic Industries Alliance (Eia)
• International Electrotechnical Commission (Iec)
• Increased Rack Power Density

Market Opportunities & Trends

• Increased Deployment of Edge Data Centers
• Procurement of Open Rack Architecture

Market Growth Enablers

• Increased Data Center & Hyperscale Investments
• Preference for Modular Data Centers
• Rise in Procurement of Tall, Deep & Wide Racks

Market Restraints

• Supply Chain Disruptions
• Availability of Low-Cost Solutions
• Innovations in IT Infrastructure Hampers Rack Adoption
• Adoption of Immersion Cooling Solutions

Prominent Data Center Rack Providers

• Eaton
• Hewlett Packard Enterprise (HPE)
• Legrand
• Schneider Electric
• Rittal
• Vertiv Group

Other Prominent Data Center Rack Providers

• Austin Hughes Electronics
• Beijing Finen Electronic Equipment
• Belden
• Black Box Corporation (AGC Networks)
• Cannon Technologies
• Canovate
• Chatsworth Products
• Cisco Systems
• Conteg
• Cyber Power Systems
• Dataracks
• Delta Electronics
• Enconnex
• FUJITSU
• Great Lakes Data Racks And Cabinets
• International Business Machines (IBM)
• Inspur
• Panduit
• Prism Enclosures
• Rack Solutions
• Rahi Systems
• Retex
• Schroff (nVent)
• StarTech.com
• USystems

Segmentation by Product

• Enclosures & Cabinets
• Accessories

Segmentation by End-Users

• Colocation Data Centers
• Enterprise Data Centers

Segmentation by Rack Size

• Below 42U
• 42U
• 45U-47U
• 48U
• Other Rack Units

Segmentation by Geography

• North America
• US
• Canada
• Latin America
• Brazil
• Mexico
• Other Latin American Countries
• Western Europe
• UK
• Germany
• France
• Netherlands
• Spain
• Italy
• Other Western European Countries
• Nordics
• Denmark
• Sweden
• Norway
• Finland & Iceland
• Central & Eastern Europe
• Russia
• Poland
• Other Central & Eastern European Countries
• Middle East
• UAE
• Saudi Arabia
• Other Middle Eastern Countries
• Africa
• South Africa
• Other African Countries
• APAC
• China
• Hong Kong
• Australia
• New Zealand
• India
• Japan
• South Korea
• Taiwan
• Rest of APAC
• Southeast Asia
• Singapore
• Malaysia
• Indonesia
• Thailand
• Other Southeast Asian Countries

For more information about this report visit https://www.researchandmarkets.com/r/rq4yh8

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