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The World's Data Center Infrastructure Industry, 2020 Study - Aging IT Infrastructure Unable to Store Current Data Volume Drives Growth

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News provided by

Research and Markets

Apr 22, 2020, 08:00 ET

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DUBLIN, April 22, 2020 /PRNewswire/ -- The "Data Center Infrastructure Market - Forecasts from 2020 to 2025" report has been added to ResearchAndMarkets.com's offering.

The Global Data Center Infrastructure market is projected to grow at a CAGR of 6.79% during the forecast period, reaching a total market size of US$230.169 billion in 2025 from US$155.201 billion in 2019.

The data center infrastructure market is growing due to increasing colocation and data center in the world. The increasing demand for cloud networking is majorly driving the market for data center infrastructure. The increasing need for data centers to store this ever-growing volume of data generated is fueling the demand for data center infrastructure.

The data center infrastructure market is also growing due to an increase in demand for servers, computers, networking equipment like routers or switches, security components like a firewall or biometric security sensor, storage capacity, and data center management software and applications. The market is also witnessing a noteworthy growth owing to the aging IT infrastructure insufficient to store the current data volume. As such, the companies are moving towards more intelligent physical infrastructure data center systems.

The global data center infrastructure market is segmented by solution, by end-user, and by geography. By solution, the global data center infrastructure market is segmented into hardware, software, and services. The market is further segmented by end-user as cloud provider, enterprise, and colocation provider.

Hardware to hold a major share

The hardware segment holds a major share in the data center infrastructure market. The growing data center around the world is augmenting the demand for hardware solutions to manage the data centers. The increasing number of cloud service providers are demanding more storage facilities with a growing volume of big data generated every year. This, in turn, is spurring the demand for servers, cables, networking equipment, storage space, and physical server racks & chassis, thus driving the market for the data center infrastructure.

The software and service segment are also projected to experience a rise in their market share in the data center infrastructure market. The growing use of data centers is increasing the requirement of data center infrastructure software for managing data centers and colocations centers. Increasing investments to create a team of skilled workforce is likely to support the growth of service solutions. For example, companies like Cisco are providing certified courses for special training for data center networking and technology for improvising employees for better fit according to advancing technology.

Cloud Service provider to have a significant share

Cloud service providers accounted for a significant market share in 2019. The growth of this end-user segment is attributed to the increasing number of cloud service providers across the world for storing data and for providing smooth access to their customers by using efficient networking devices. This, in turn, is bolstering the market growth of data center infrastructure. The colocation center as an end-user segment also holds considerable market share with increasing investments in colocation centers due to the requirement of large data storage spaces for big IT and multinational companies that need additional space for storing the data and for networking purposes.

A lot of cloud service providers and colocation centers are collaborating for providing data center infrastructure in various countries across the world for better connectivity and networking. For example, Interxion, a leading provider of carrier and cloud-neutral colocation data center services in Europe, announced that the dedicated access to Google Cloud Platform will be available across Europe through its Cloud Connect. Also, the company announced the construction of a new data center in Frankfurt in response to continued customer demand.

In January 2019, Equinix extended interconnection and data center services to Hamburg. Equinix to purchase the building for expanding Platform Equinix into fourth German metro to support the Digital Edge strategy. In June 2019, E-Shelter opened its fourth data center campus in Frankfurt. The new site will offer carrier-neutral colocation services connected to e-shelter's e-connect platform and provide access to multiple carriers and major cloud providers. The enterprise segment is expected to see a rise in the usage of the data center infrastructure market due to the increasing need for on-premise computing system for storing data and for networking purposes.

By geography, North America one of the major regional markets 

Regionally, the global data center infrastructure market is classified into North America, South America, Europe, Middle East and Africa, and Asia Pacific. North America accounted for the significant market share in 2019 owing to the rising investments in data centers by both colocation and cloud service providers supported by the presence of major market players in the region. Growing big data volume owing to technological advancements in artificial intelligence, and augmented reality for improving technology and providing better services to customers in the region is further contributing to the market growth as this requires the construction of more and efficient data center infrastructure.

The Asia-Pacific will witness the fastest regional market growth owing to the rising construction of data centers and emerging demand for cloud computing solutions across the region. The Europe and Middle East and Africa (MEA) market for data center infrastructure will expand owing to increase in adoption of cloud computing and the presence of some of the major players, catering to the demand with a wide range of solutions across different industry verticals.

Key Developments

  • January 2020: Global Switch announced that Hurricane Electric, the world's largest IPv6-native Internet backbone, expanded its point of presence (POP) at Global Switch Amsterdam, London, and Sydney Centers. It will increase the existing campus space by 28,000 sq.m., providing high-speed connectivity to all industry sectors and too few of the world's largest enterprises. It consists of single rack deployments through to multi-megawatt solutions.
  • November 2019: Rackspace acquired Onica an Amazon Web Services (AWS) Partner Network (APN) Premier Consulting Partner and AWS Managed Service Provider. It will help Rackspace to build upon and expand the company's professional and managed services portfolio, including expertise in Application modernization, Machine Learning (ML), Internet of Things (IoT), Containers, and Serverless Computing.
  • April 2019: E-Shelter acquired a development site from BMDF Gewerbepark Berlin-Mariendorf GmbH & Co. KG. to develop a data center campus of 60,000 sqm and 90 MVA of data center capacity with the first phase scheduled to be ready in Q4 2020.

Key Topics Covered

1. Introduction
1.1. Market Definition
1.2. Market Segmentation

2. Research Methodology
2.1. Research Data
2.2. Assumptions

3. Executive Summary
3.1. Research Highlights

4. Market Dynamics
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.4. Industry Value Chain Analysis

5. Global Data Center Infrastructure Market Analysis, By Solution
5.1. Introduction
5.2. Hardware
5.3. Software
5.4. Services

6. Global Data Center Infrastructure Market Analysis, By End User
6.1. Introduction
6.2. Cloud Provider
6.3. Enterprise
6.4. Colocation Provider

7. Global Data Center Infrastructure Market Analysis, By Geography
7.1. Introduction
7.2. North America
7.3. South America
7.4. Europe
7.5. Middle East & Africa
7.6. Asia-Pacific

8. Competitive Environment and Analysis
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix

9. Company Profiles
9.1. Hewlett Packard Enterprise Development L.P.
9.2. Cisco Systems, Inc.
9.3. Microsoft
9.4. Eaton Corporation PLC
9.5. Intel Corporation
9.6. Siemens
9.7. Hitachi, Ltd.
9.8. Rittal GmbH & Co. KG

For more information about this report visit https://www.researchandmarkets.com/r/t8aqfk

Research and Markets also offers Custom Research services providing focused, comprehensive and tailored research.

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

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SOURCE Research and Markets

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