Hyperscale data center market to grow by USD 169.47 billion from 2022 to 2027|Rising demand for data center colocation facilities to boost growth- Technavio

NEW YORK, July 25, 2023 /PRNewswire/ -- The global hyperscale data center market is estimated to grow at a CAGR of 26.44% between 2022 and 2027. The market size is forecasted to increase by USD 169.47 billion during the forecast period. Discover some insights on market size historic period (2017 to 2021) and Forecast (2023 to 2027) before buying the full report -Request a sample report

Global Hyperscale data center market – Vendor Analysis
Vendor Landscape - The global hyperscale data center market is fragmented, with the presence of several global as well as regional vendors. A few prominent vendors that offer hyper-scale data centers in the market are Alphabet Inc., Amazon.com Inc., Broadcom Inc., Cisco Systems Inc., CtrlS Datacenters Ltd., CyrusOne LLC, Dell Technologies Inc., Equinix Inc., Hewlett Packard Enterprise Co., Inspur Systems Inc., Intel Corp., International Business Machines Corp., Microsoft Corp., Nippon Telegraph and Telephone Corp., NVIDIA Corp., Oracle Corp., QTS Realty Trust LLC, Schneider Electric SE, Telefonaktiebolaget LM Ericsson, and Viavi Solutions Inc. and others.

What's New? -

• Special coverage on the Russia-Ukraine war; global inflation; recovery analysis from COVID-19; supply chain disruptions, global trade tensions; and risk of recession
• Global competitiveness and key competitor positions
• Market presence across multiple geographical footprints - Strong/Active/Niche/Trivial - Buy the report!

Vendor Offerings -

• Alphabet Inc.: The company offers a hyperscale data center with a carbon-intelligent computing platform.
• Amazon.com Inc.: The company offers hyperscale data centers such as AWS hyperscale data centers with an infrastructure layer.
• Broadcom Inc.: The company offers hyperscale data center with a StrataDNX network switch.
• For details on the vendor and its offerings – Request a sample report

Hyperscale Data Center Market - Segmentation Assessment

Segment Overview

This hyperscale data center market report extensively covers market segmentation by type (critical infrastructure and support infrastructure), end-user (BFSI, energy, IT, and others), and geography (North America, APAC, Europe, South America, and Middle East and Africa).

• The market share growth by the critical infrastructure segment will be significant during the forecast period. Critical infrastructure includes servers, storage, and network. Organizational storage is more reliable, fault-tolerant, and scalable than traditional storage, and is well-suited for organizations with large amounts of data. Market players are moving to open networks whose infrastructure is based on open industry standards. Additionally, the infrastructure should be programmable with open APIs and an open ecosystem for compatible deployments. These factors are expected to fuel the growth of the hyperscale data center market in the critical infrastructure segment during the forecast period.

Geography Overview
By geography, the global hyperscale data center market is segmented into North America, APAC, Europe, South America, and the Middle East and Africa. The report provides actionable insights and estimates the contribution of all regions to the growth of the global hyperscale data center market.

• North America is estimated to contribute 33% to the growth of the global market during the forecast period. Investment in building data centers is increasing, as is additional investment in sustainable power hotspots to run server farm operations. The adoption of cloud-based computing is accelerating in the US, and the number of data centers in the country is growing. Hence, the construction of new data centers and renovation of existing data centers in the US will contribute to the growth of the market in this region during the forecast period.

For insights on global, regional, and country-level parameters with growth opportunities from 2017 to 2027 - Download a Sample Report

Hyperscale Data Center Market – Market Dynamics

Key Driver - 

• The rising demand for data center colocation facilities is notably driving market growth.
• Companies that operate colocation facilities have many advantages over companies that build data centers. Colocation significantly reduces infrastructure expenditure costs and improves connectivity required for operational services.
• Many companies build and operate cloud platforms. They also host such platforms using a managed services model.
• Local vendors of colocation and managed hosting services will invest heavily in hyperscale data centers, which is expected to boost the growth of the hyper scale data center market during the forecast period. 

Leading Trend - 

• The increasing focus on the construction of green data centers is a key trend shaping the market.
• High power consumption and increasing carbon (CO2) emissions from data centers around the world have raised awareness of environmentally friendly data center facilities.
• The need for energy-efficient and green data centers has led to the emergence of metrics to calculate data center efficiency, such as PUE.
• Power usage effectiveness (PUE) is used to estimate the energy consumption of data center IT equipment in relation to the total power consumption of the data center. 
• Hence, the rising focus on the construction of green data centers is expected to fuel the growth of the hyper scale data center market during the forecast period.

Significant challenge - 

• The consolidation of data centers is the major challenge that affects the growth of the market.
• As virtualization increases of the operational efficiency of data center IT infrastructures, servers are being consolidated to run on a single piece of computer hardware. Driven by virtualization, data centers are being consolidated and reduced in number.
• This will hinder infrastructure sales and reduce the footprint of data centers around the world. Asset consolidation requires time, expertise and include high risk. Also, the rising business demands further hinder consolidation.
• Hence, consolidation of data centers can become a major challenge that will impede the growth of the hyperscale data center market during the forecast period.

Driver, Trend & Challenges are the factor of market dynamics that states about consequences & sustainability of the businesses, find some insights from a sample report!

What are the key data covered in this Hyperscale Data Center Market report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the hyperscale data center market between 2023 and 2027
• Precise estimation of the hyperscale data center market size and its contribution to the market in focus on the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the hyperscale data center market across North America, APAC, Europe, South America, and Middle East and Africa
• A thorough analysis of the market's competitive landscape and detailed information about vendors
• Comprehensive analysis of factors that will challenge the growth of the hyperscale data center market vendors

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Related Reports:

The Europe data center market size is estimated to grow at a CAGR of 21.05% between 2022 and 2027. The market size is forecast to increase by USD 171.29 billion. Furthermore, this data center market in Europe report extensively covers market segmentation by end-user (medium and small enterprises and large enterprises) and components (IT infrastructure, power management, cooling solutions, general construction, and others). The rising demand for data center colocation facilities is notably driving market growth during the forecast period.

The data center and network third-party hardware maintenance service market share is expected to increase by USD 2.60 billion from 2021 to 2026, and the market's growth momentum will accelerate at a CAGR of 13.28%. Furthermore, this report extensively covers the market segmentation by application (large enterprises and small and medium enterprises) and geography (North America, Europe, APAC, South America, and the Middle East and Africa). The rise in data center spending is notably driving the market growth during the forecast period.

Table Of Contents 

1 Executive Summary

• 1.1 Market overview
• Exhibit 01: Executive Summary – Chart on Market Overview
• Exhibit 02: Executive Summary – Data Table on Market Overview
• Exhibit 03: Executive Summary – Chart on Global Market Characteristics
• Exhibit 04: Executive Summary – Chart on Market by Geography
• Exhibit 05: Executive Summary – Chart on Market Segmentation by Type
• Exhibit 06: Executive Summary – Chart on Market Segmentation by End-user
• Exhibit 07: Executive Summary – Chart on Incremental Growth
• Exhibit 08: Executive Summary – Data Table on Incremental Growth
• Exhibit 09: Executive Summary – Chart on Vendor Market Positioning

2 Market Landscape

• 2.1 Market ecosystem
• Exhibit 10: Parent market
• Exhibit 11: Market Characteristics

3 Market Sizing

• 3.1 Market definition
• Exhibit 12: Offerings of vendors included in the market definition

• 3.2 Market segment analysis 
• Exhibit 13: Market segments

• 3.3 Market size 2022

• 3.4 Market outlook: Forecast for 2022-2027 
• Exhibit 14: Chart on Global - Market size and forecast 2022-2027 ($ billion)
• Exhibit 15: Data Table on Global - Market size and forecast 2022-2027 ($ billion)
• Exhibit 16: Chart on Global Market: Year-over-year growth 2022-2027 (%)
• Exhibit 17: Data Table on Global Market: Year-over-year growth 2022-2027 (%)

4 Historic Market Size

• 4.1 Global hyperscale data center market 2017 - 2021 
• Exhibit 18: Historic Market Size – Data Table on global hyperscale data center market 2017 - 2021 ($ billion)

• 4.2 Type Segment Analysis 2017 - 2021 
• Exhibit 19: Historic Market Size – Type Segment 2017 - 2021 ($ billion)

• 4.3 End-user Segment Analysis 2017 - 2021 
• Exhibit 20: Historic Market Size – End-user Segment 2017 - 2021 ($ billion)

• 4.4 Geography Segment Analysis 2017 - 2021 
• Exhibit 21: Historic Market Size – Geography Segment 2017 - 2021 ($ billion)

• 4.5 Country Segment Analysis 2017 - 2021 
• Exhibit 22: Historic Market Size – Country Segment 2017 - 2021 ($ billion)

5 Five Forces Analysis

• 5.1 Five forces summary
• Exhibit 23: Five forces analysis - Comparison between 2022 and 2027

• 5.2 Bargaining power of buyers 
• Exhibit 24: Chart on Bargaining power of buyers – Impact of key factors 2022 and 2027

• 5.3 Bargaining power of suppliers 
• Exhibit 25: Bargaining power of suppliers – Impact of key factors in 2022 and 2027

• 5.4 Threat of new entrants 
• Exhibit 26: Threat of new entrants – Impact of key factors in 2022 and 2027

• 5.5 Threat of substitutes 
• Exhibit 27: Threat of substitutes – Impact of key factors in 2022 and 2027

• 5.6 Threat of rivalry
• Exhibit 28: Threat of rivalry – Impact of key factors in 2022 and 2027

• 5.7 Market condition
• Exhibit 29: Chart on Market condition - Five forces 2022 and 2027

6 Market Segmentation by Type

• 6.1 Market segments
• Exhibit 30: Chart on Type - Market share 2022-2027 (%)
• Exhibit 31: Data Table on Type - Market share 2022-2027 (%)

• 6.2 Comparison by Type
• Exhibit 32: Chart on Comparison by Type
• Exhibit 33: Data Table on Comparison by Type

• 6.3 Critical infrastructure - Market size and forecast 2022-2027 
• Exhibit 34: Chart on Critical infrastructure - Market size and forecast 2022-2027 ($ billion)
• Exhibit 35: Data Table on Critical infrastructure - Market size and forecast 2022-2027 ($ billion)
• Exhibit 36: Chart on Critical infrastructure - Year-over-year growth 2022-2027 (%)
• Exhibit 37: Data Table on Critical infrastructure - Year-over-year growth 2022-2027 (%)

• 6.4 Support infrastructure - Market size and forecast 2022-2027 
• Exhibit 38: Chart on Support infrastructure - Market size and forecast 2022-2027 ($ billion)
• Exhibit 39: Data Table on Support infrastructure - Market size and forecast 2022-2027 ($ billion)
• Exhibit 40: Chart on Support infrastructure - Year-over-year growth 2022-2027 (%)
• Exhibit 41: Data Table on Support infrastructure - Year-over-year growth 2022-2027 (%)

• 6.5 Market opportunity by Type 
• Exhibit 42: Market opportunity by Type ($ billion)
• Exhibit 43: Data Table on Market opportunity by Type ($ billion)

7 Market Segmentation by End-user

• 7.1 Market segments
• Exhibit 44: Chart on End-user - Market share 2022-2027 (%)
• Exhibit 45: Data Table on End-user - Market share 2022-2027 (%)

• 7.2 Comparison by End-user 
• Exhibit 46: Chart on Comparison by End-user
• Exhibit 47: Data Table on Comparison by End-user

• 7.3 BFSI - Market size and forecast 2022-2027 
• Exhibit 48: Chart on BFSI - Market size and forecast 2022-2027 ($ billion)
• Exhibit 49: Data Table on BFSI - Market size and forecast 2022-2027 ($ billion)
• Exhibit 50: Chart on BFSI - Year-over-year growth 2022-2027 (%)
• Exhibit 51: Data Table on BFSI - Year-over-year growth 2022-2027 (%)

• 7.4 Energy - Market size and forecast 2022-2027 
• Exhibit 52: Chart on Energy - Market size and forecast 2022-2027 ($ billion)
• Exhibit 53: Data Table on Energy - Market size and forecast 2022-2027 ($ billion)
• Exhibit 54: Chart on Energy - Year-over-year growth 2022-2027 (%)
• Exhibit 55: Data Table on Energy - Year-over-year growth 2022-2027 (%)

• 7.5 IT - Market size and forecast 2022-2027 
• Exhibit 56: Chart on IT - Market size and forecast 2022-2027 ($ billion)
• Exhibit 57: Data Table on IT - Market size and forecast 2022-2027 ($ billion)
• Exhibit 58: Chart on IT - Year-over-year growth 2022-2027 (%)
• Exhibit 59: Data Table on IT - Year-over-year growth 2022-2027 (%)

• 7.6 Others - Market size and forecast 2022-2027 
• Exhibit 60: Chart on Others - Market size and forecast 2022-2027 ($ billion)
• Exhibit 61: Data Table on Others - Market size and forecast 2022-2027 ($ billion)
• Exhibit 62: Chart on Others - Year-over-year growth 2022-2027 (%)
• Exhibit 63: Data Table on Others - Year-over-year growth 2022-2027 (%)

• 7.7 Market opportunity by End-user 
• Exhibit 64: Market opportunity by End-user ($ billion)
• Exhibit 65: Data Table on Market opportunity by End-user ($ billion)

8 Customer Landscape

• 8.1 Customer landscape overview 
• Exhibit 66: Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria

9 Geographic Landscape

• 9.1 Geographic segmentation 
• Exhibit 67: Chart on Market share by geography 2022-2027 (%)
• Exhibit 68: Data Table on Market share by geography 2022-2027 (%)

• 9.2 Geographic comparison 
• Exhibit 69: Chart on Geographic comparison
• Exhibit 70: Data Table on Geographic comparison

• 9.3 North America - Market size and forecast 2022-2027 
• Exhibit 71: Chart on North America - Market size and forecast 2022-2027 ($ billion)
• Exhibit 72: Data Table on North America - Market size and forecast 2022-2027 ($ billion)
• Exhibit 73: Chart on North America - Year-over-year growth 2022-2027 (%)
• Exhibit 74: Data Table on North America - Year-over-year growth 2022-2027 (%)

• 9.4 APAC - Market size and forecast 2022-2027 
• Exhibit 75: Chart on APAC - Market size and forecast 2022-2027 ($ billion)
• Exhibit 76: Data Table on APAC - Market size and forecast 2022-2027 ($ billion)
• Exhibit 77: Chart on APAC - Year-over-year growth 2022-2027 (%)
• Exhibit 78: Data Table on APAC - Year-over-year growth 2022-2027 (%)

• 9.5 Europe - Market size and forecast 2022-2027 
• Exhibit 79: Chart on Europe - Market size and forecast 2022-2027 ($ billion)
• Exhibit 80: Data Table on Europe - Market size and forecast 2022-2027 ($ billion)
• Exhibit 81: Chart on Europe - Year-over-year growth 2022-2027 (%)
• Exhibit 82: Data Table on Europe - Year-over-year growth 2022-2027 (%)

• 9.6 South America - Market size and forecast 2022-2027 
• Exhibit 83: Chart on South America - Market size and forecast 2022-2027 ($ billion)
• Exhibit 84: Data Table on South America - Market size and forecast 2022-2027 ($ billion)
• Exhibit 85: Chart on South America - Year-over-year growth 2022-2027 (%)
• Exhibit 86: Data Table on South America - Year-over-year growth 2022-2027 (%)

• 9.7 Middle East and Africa - Market size and forecast 2022-2027 
• Exhibit 87: Chart on Middle East and Africa - Market size and forecast 2022-2027 ($ billion)
• Exhibit 88: Data Table on Middle East and Africa - Market size and forecast 2022-2027 ($ billion)
• Exhibit 89: Chart on Middle East and Africa - Year-over-year growth 2022-2027 (%)
• Exhibit 90: Data Table on Middle East and Africa - Year-over-year growth 2022-2027 (%)

• 9.8 US - Market size and forecast 2022-2027 
• Exhibit 91: Chart on US - Market size and forecast 2022-2027 ($ billion)
• Exhibit 92: Data Table on US - Market size and forecast 2022-2027 ($ billion)
• Exhibit 93: Chart on US - Year-over-year growth 2022-2027 (%)
• Exhibit 94: Data Table on US - Year-over-year growth 2022-2027 (%)

• 9.9 China - Market size and forecast 2022-2027 
• Exhibit 95: Chart on China - Market size and forecast 2022-2027 ($ billion)
• Exhibit 96: Data Table on China - Market size and forecast 2022-2027 ($ billion)
• Exhibit 97: Chart on China - Year-over-year growth 2022-2027 (%)
• Exhibit 98: Data Table on China - Year-over-year growth 2022-2027 (%)

• 9.10 India - Market size and forecast 2022-2027 
• Exhibit 99: Chart on India - Market size and forecast 2022-2027 ($ billion)
• Exhibit 100: Data Table on India - Market size and forecast 2022-2027 ($ billion)
• Exhibit 101: Chart on India - Year-over-year growth 2022-2027 (%)
• Exhibit 102: Data Table on India - Year-over-year growth 2022-2027 (%)

• 9.11 UK - Market size and forecast 2022-2027 
• Exhibit 103: Chart on UK - Market size and forecast 2022-2027 ($ billion)
• Exhibit 104: Data Table on UK - Market size and forecast 2022-2027 ($ billion)
• Exhibit 105: Chart on UK - Year-over-year growth 2022-2027 (%)
• Exhibit 106: Data Table on UK - Year-over-year growth 2022-2027 (%)

• 9.12 Germany - Market size and forecast 2022-2027 
• Exhibit 107: Chart on Germany - Market size and forecast 2022-2027 ($ billion)
• Exhibit 108: Data Table on Germany - Market size and forecast 2022-2027 ($ billion)
• Exhibit 109: Chart on Germany - Year-over-year growth 2022-2027 (%)
• Exhibit 110: Data Table on Germany - Year-over-year growth 2022-2027 (%)

• 9.13 Market opportunity by geography 
• Exhibit 111: Market opportunity by geography ($ billion)
• Exhibit 112: Data Tables on Market opportunity by geography ($ billion)

10 Drivers, Challenges, and Trends

• 10.1 Market drivers

• 10.2 Market challenges

• 10.3 Impact of drivers and challenges 
• Exhibit 113: Impact of drivers and challenges in 2022 and 2027

• 10.4 Market trends

11 Vendor Landscape

• 11.1 Overview

• 11.2 Vendor landscape
• Exhibit 114: Overview on Criticality of inputs and Factors of differentiation

• 11.3 Landscape disruption
• Exhibit 115: Overview on factors of disruption

• 11.4 Industry risks
• Exhibit 116: Impact of key risks on business

12 Vendor Analysis

• 12.1 Vendors covered
• Exhibit 117: Vendors covered

• 12.2 Market positioning of vendors 
• Exhibit 118: Matrix on vendor position and classification

• 12.3 Alphabet Inc.
• Exhibit 119: Alphabet Inc. - Overview
• Exhibit 120: Alphabet Inc. - Business segments
• Exhibit 121: Alphabet Inc. - Key news
• Exhibit 122: Alphabet Inc. - Key offerings
• Exhibit 123: Alphabet Inc. - Segment focus

• 12.4 Amazon.com Inc.
• Exhibit 124: Amazon.com Inc. - Overview
• Exhibit 125: Amazon.com Inc. - Business segments
• Exhibit 126: Amazon.com Inc. - Key news
• Exhibit 127: Amazon.com Inc. - Key offerings
• Exhibit 128: Amazon.com Inc. - Segment focus

• 12.5 Broadcom Inc.
• Exhibit 129: Broadcom Inc. - Overview
• Exhibit 130: Broadcom Inc. - Business segments
• Exhibit 131: Broadcom Inc. - Key news
• Exhibit 132: Broadcom Inc. - Key offerings
• Exhibit 133: Broadcom Inc. - Segment focus

• 12.6 Cisco Systems Inc.
• Exhibit 134: Cisco Systems Inc. - Overview
• Exhibit 135: Cisco Systems Inc. - Business segments
• Exhibit 136: Cisco Systems Inc. - Key news
• Exhibit 137: Cisco Systems Inc. - Key offerings
• Exhibit 138: Cisco Systems Inc. - Segment focus

• 12.7 Dell Technologies Inc. 
• Exhibit 139: Dell Technologies Inc. - Overview
• Exhibit 140: Dell Technologies Inc. - Business segments
• Exhibit 141: Dell Technologies Inc. - Key offerings
• Exhibit 142: Dell Technologies Inc. - Segment focus

• 12.8 Equinix Inc.
• Exhibit 143: Equinix Inc. - Overview
• Exhibit 144: Equinix Inc. - Business segments
• Exhibit 145: Equinix Inc. - Key news
• Exhibit 146: Equinix Inc. - Key offerings
• Exhibit 147: Equinix Inc. - Segment focus

• 12.9 Hewlett Packard Enterprise Co. 
• Exhibit 148: Hewlett Packard Enterprise Co. - Overview
• Exhibit 149: Hewlett Packard Enterprise Co. - Business segments
• Exhibit 150: Hewlett Packard Enterprise Co. - Key news
• Exhibit 151: Hewlett Packard Enterprise Co. - Key offerings
• Exhibit 152: Hewlett Packard Enterprise Co. - Segment focus

• 12.10 Intel Corp.
• Exhibit 153: Intel Corp. - Overview
• Exhibit 154: Intel Corp. - Business segments
• Exhibit 155: Intel Corp. - Key news
• Exhibit 156: Intel Corp. - Key offerings
• Exhibit 157: Intel Corp. - Segment focus

• 12.11 International Business Machines Corp. 
• Exhibit 158: International Business Machines Corp. - Overview
• Exhibit 159: International Business Machines Corp. - Business segments
• Exhibit 160: International Business Machines Corp. - Key news
• Exhibit 161: International Business Machines Corp. - Key offerings
• Exhibit 162: International Business Machines Corp. - Segment focus

• 12.12 Microsoft Corp.
• Exhibit 163: Microsoft Corp. - Overview
• Exhibit 164: Microsoft Corp. - Business segments
• Exhibit 165: Microsoft Corp. - Key news
• Exhibit 166: Microsoft Corp. - Key offerings
• Exhibit 167: Microsoft Corp. - Segment focus

• 12.13 Nippon Telegraph and Telephone Corp. 
• Exhibit 168: Nippon Telegraph and Telephone Corp. - Overview
• Exhibit 169: Nippon Telegraph and Telephone Corp. - Business segments
• Exhibit 170: Nippon Telegraph and Telephone Corp. - Key offerings
• Exhibit 171: Nippon Telegraph and Telephone Corp. - Segment focus

• 12.14 NVIDIA Corp.
• Exhibit 172: NVIDIA Corp. - Overview
• Exhibit 173: NVIDIA Corp. - Business segments
• Exhibit 174: NVIDIA Corp. - Key news
• Exhibit 175: NVIDIA Corp. - Key offerings
• Exhibit 176: NVIDIA Corp. - Segment focus

• 12.15 QTS Realty Trust LLC
• Exhibit 177: QTS Realty Trust LLC - Overview
• Exhibit 178: QTS Realty Trust LLC - Product / Service
• Exhibit 179: QTS Realty Trust LLC - Key offerings

• 12.16 Telefonaktiebolaget LM Ericsson 
• Exhibit 180: Telefonaktiebolaget LM Ericsson - Overview
• Exhibit 181: Telefonaktiebolaget LM Ericsson - Business segments
• Exhibit 182: Telefonaktiebolaget LM Ericsson - Key news
• Exhibit 183: Telefonaktiebolaget LM Ericsson - Key offerings
• Exhibit 184: Telefonaktiebolaget LM Ericsson - Segment focus

• 12.17 Viavi Solutions Inc.
• Exhibit 185: Viavi Solutions Inc. - Overview
• Exhibit 186: Viavi Solutions Inc. - Business segments
• Exhibit 187: Viavi Solutions Inc. - Key offerings
• Exhibit 188: Viavi Solutions Inc. - Segment focus

13 Appendix

• 13.1 Scope of the report

• 13.2 Inclusions and exclusions checklist 
• Exhibit 189: Inclusions checklist
• Exhibit 190: Exclusions checklist

• 13.3 Currency conversion rates for US$ 
• Exhibit 191: Currency conversion rates for US$

• 13.4 Research methodology
• Exhibit 192: Research methodology
• Exhibit 193: Validation techniques employed for market sizing
• Exhibit 194: Information sources

• 13.5 List of abbreviations 
• Exhibit 195: List of abbreviation

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