The Data Center Industry in Western Europe and Nordic Region is Expected to Reach $12 Billion by 2026

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May 20, 2021, 10:00 ET

DUBLIN, May 20, 2021 /PRNewswire/ -- The "Western Europe and Nordic Data Center Market - Industry Outlook and Forecast 2021-2026" report has been added to ResearchAndMarkets.com's offering.

In-depth Analysis and Data-driven Insights on the Impact of COVID-19 Included in this Western Europe and Nordic Data Center Market Report

The Western Europe and Nordic data center market by investment is expected to grow at a CAGR of approx. 4% during the period 2020-2026.

The market witnessed supply chain-related challenges in Q1 and Q2 2020 for both IT infrastructure and support infrastructure providers. However, these recovered in Q3 2020. The market growth was aided by previously announced projects and expansions of facilities in a few locations where data centers were deemed essential services. A majority of the demand for data center services is contributed by cloud-based service providers.

The following factors are likely to contribute to the growth of western Europe and Nordic data center market during the forecast period:

5G boosting Edge Data Center Investments
Growing Procurement of Renewable Energy
Innovative UPS Battery Technology
Increased Adoption of 200/400 GBE Switch Ports

The study considers the present scenario of Western Europe and Nordic data center market and its market dynamics for the period 2020-2026. It covers a detailed overview of several market growth enablers, restraints, and trends. The report offers both the demand and supply aspects of the market. It profiles and examines leading companies and other prominent ones operating in the market.
Western Europe And Nordic Data Center Market Segmentation

The Western Europe and Nordic data center market research report includes a detailed segmentation by IT infrastructure, electrical infrastructure, mechanical infrastructure, cooling technique, cooling systems, general construction, tier standards, geography. In 2020, the IT infrastructure adoption among newly established and existing data centers grew significantly. Germany is the leading market in the IT infrastructure spending, followed by the UK, the Netherlands, France, and Ireland. The emergence of software-defined architectures and converged infrastructure expects to drive the IT infrastructure solutions market in Western Europe. Similarly, the increasing adoption of cloud computing services in the Nordic region leads to increased procurement of IT infrastructure components. Finland, Sweden, and Denmark are the leading contributors to cloud adoption, with 50% of enterprises using cloud computing services.

Several Western Europe facilities have adopted flexible designs to facilitate dual power feeds, 2N redundant UPS and PDU systems, and N+1 generators. The growth of lithium-ion UPS systems is aided by benefits such as reducing the OPEX through lower maintenance costs and decreasing UPS battery failure chances. Vendors are continuously coming out with innovative UPS solutions to boost efficiency and reduce cost. The construction of large and mega data center facilities in Western Europe and Nordics is likely to aid the generators market. DRUPS solutions are likely to witness high demand among data centers, with multiple modules having the capacity of up to 2 MW in N+N redundant configurations.

Several Western Europe data centers support free cooling systems that include adiabatic coolers, evaporative coolers, and free cooling chiller systems. Water-based cooling includes water-treatment plants and systems that can aid water consumption by up to 20%. Most operators procure 45U-52U rack cabinets. The procurement of 42U racks is declining in the market.

Western Europe is the most active market for data center construction in Europe. The increase in data center demand has increased revenue opportunities for contractors and sub-contractors in the industry. A significant data center construction in the region is managed by Europe-based construction service providers, including architects and engineering firms. However, the non-availability of skilled workforce to handle multiple hyperscale projects is a major challenge for several contractors in the region. Hyperscale data center development will be a major boost for contractors and sub-contractors operating in the Nordic region. Most hyperscale projects are built in collaboration with global data center construction contractors and sub-contractors.

Western Europe and Nordic data center market size by tier standards is expected to reach approx. USD 12 billion by 2026, growing at a CAGR of over 5%. There are 112 Tier III certified facilities in Western Europe and Nordic region, with the UK, Spain, Italy, and Lithuania leading the list. Most new data centers are designed to be of Tier III standards with a minimum of N+1 redundancy. The European region hosts around 50 facilities that are Tier IV certified facilities. Denmark, France, Greece, Italy, Luxembourg, the Netherlands, Norway, Spain, Switzerland, and the UK have several Tier IV facilities. These facilities are equipped with at least 2N+1 redundancy in the infrastructure that makes the facility fault-tolerant, with UPS systems and PDUs having 2N+2 redundancy. Facebook, Apple, Google, and Microsoft are major hyperscale developers.

KEY QUESTIONS ANSWERED
1. How big is Western Europe and Nordic data center market?
2. What are the upcoming industry applications for data centers?
3. Which are the major IT companies operating in the Western Europe and Nordic data center market?
4. What are the top trends driving the Western Europe and Nordic data center market?
5. Which segments are expected to grow at the fastest CAGR during the forecast period?
6. How does COVID-19 affect the data center market landscape?

Key Topics Covered:

1 Research Methodology

2 Research Objectives

3 Research Process

4 Scope & Coverage
4.1 Market Definition
4.2 Base Year
4.3 Scope of The Study
4.4 Market Segments
4.4.1 Market Segmentation by Infrastructure
4.4.2 Market Segmentation by IT Infrastructure
4.4.3 Market Segmentation by Electrical Infrastructure
4.4.4 Market Segmentation by Mechanical Infrastructure
4.4.5 Market Segmentation by Cooling Systems
4.4.6 Market Segmentation by Cooling Techniques
4.4.7 Market Segmentation by General Construction
4.4.8 Market Segmentation by Tier Standards
4.4.9 Market Segmentation by Geography

5 Report Assumptions & Caveats
5.1 Key Caveats
5.2 Currency Conversion
5.3 Market Derivation

6 Market at a Glance

7 Introduction
7.1 Electricity Pricing in Western Europe And The Nordics
7.2 Data Center Site Selection Criteria
7.2.1 Key
7.3 Submarine Cables

8 Market Opportunities & Trends
8.1 5G To Boost Edge Data Center Investments
8.2 Growing Procurement of Renewable Energy
8.3 Innovative Ups Battery Technology
8.4 Adoption of District Heating By Data Centers
8.5 Increased Adoption Of 200/400 GBE Switch Ports

9 Market Enablers
9.1 Covid-19 Enhancing Data Center Demand
9.2 Cloud Adoption Driving The Data Center Market
9.3 Increasing Demand For Big Data & Iot Investments
9.4 Rise In Colocation Investments
9.5 M&As Fueling Data Center Growth
9.6 Tax Incentives Increasing Data Center Investments
9.7 Data Regulations Increasing Cloud & Colocation Data Center Investments

10 Market Restraints
10.1 Increased Power & Network Outages
10.2 Security Challenges In Data Centers
10.3 Lack Of Skilled Workforce
10.4 Rising Carbon Emissions From Data Centers
10.5 Location Constraints For Data Center Construction

11 Market Landscape
11.1 Market Overview
11.2 Investment: Market Size & Forecast
11.3 Area: Market Size & Forecast
11.4 Power Capacity: Market Size & Forecast
11.5 Five Forces Analysis
11.5.1 Threat of New Entrants
11.5.2 Bargaining Power of Suppliers
11.5.3 Bargaining Power of Buyers
11.5.4 Threat of Substitutes
11.5.5 Competitive Rivalry

12 Infrastructure
12.1 Market Snapshot & Growth Engine
12.2 Market Overview
12.3 IT Infrastructure
12.3.1 Market Overview
12.3.2 Market Size & Forecast
12.4 Electrical Infrastructure
12.4.1 Market Overview
12.4.2 Market Size & Forecast
12.5 Mechanical Infrastructure
12.5.1 Market Overview
12.5.2 Market Size & Forecast
12.6 General Construction
12.6.1 Market Overview
12.6.2 Market Size & Forecast

13 IT Infrastructure
13.1 Market Snapshot & Growth Engine
13.2 Server Infrastructure
13.2.1 Market Overview
13.2.2 Market Size & Forecast
13.3 Storage Infrastructure
13.3.1 Market Overview
13.3.2 Market Size & Forecast
13.4 Network Infrastructure
13.4.1 Market Overview
13.4.2 Market Size & Forecast

14 Electrical Infrastructure
14.1 Market Snapshot & Growth Engine
14.2 UPS Systems
14.2.1 Market Overview
14.2.2 Market Size & Forecast
14.3 Generators
14.3.1 Market Overview
14.3.2 Market Size & Forecast
14.4 Transfer Switches & Switchgears
14.4.1 Market Overview
14.4.2 Market Size & Forecast
14.5 Power Distribution Units
14.5.1 Market Overview
14.5.2 Market Size & Forecast
14.6 Other Electrical Infrastructure
14.6.1 Market Overview
14.6.2 Market Size & Forecast

15 Mechanical Infrastructure
15.1 Market Snapshot & Growth Engine
15.2 Cooling Systems
15.2.1 Market Overview
15.2.2 Market Size & Forecast
15.3 Racks
15.3.1 Market Overview
15.3.2 Market Size & Forecast
15.4 Other Mechanical Infrastructure
15.4.1 Market Overview
15.4.2 Market Size & Forecast

16 Cooling Systems
16.1 Market Snapshot & Growth Engine
16.2 CRAC & CRAH Units
16.2.1 Market Overview
16.2.2 Market Size & Forecast
16.3 Chiller Units
16.3.1 Market Overview
16.3.2 Market Size & Forecast
16.4 Cooling Towers, Condensers & Dry Coolers
16.4.1 Market Overview
16.4.2 Market Size & Forecast
16.5 Economizers & Evaporative Coolers
16.5.1 Market Overview
16.5.2 Market Size & Forecast
16.6 Other Cooling Units
16.6.1 Market Overview
16.6.2 Market Size & Forecast

17 Cooling Technique
17.1 Market Snapshot & Growth Engine
17.2 Air-Based Cooling Techniques
17.2.1 Market Overview
17.2.2 Market Size & Forecast
17.3 Liquid-Based Cooling Techniques
17.3.1 Market Overview
17.3.2 Market Size & Forecast

18 General Construction
18.1 Market Snapshot & Growth Engine
18.2 Core & Shell Development
18.2.1 Market Overview
18.2.2 Market Size & Forecast
18.3 Installation & Commissioning Services
18.3.1 Market Overview
18.3.2 Market Size & Forecast
18.4 Building & Engineering Design
18.4.1 Market Overview
18.4.2 Market Size & Forecast
18.5 Physical Security
18.5.1 Market Overview
18.5.2 Market Size & Forecast
18.6 DCIM/BMS
18.6.1 Market Overview
18.6.2 Market Size & Forecast

19 Tier Standards
19.1 Market Snapshot & Growth Engine
19.2 Overview of Tier Standards
19.3 Tier I & II
19.3.1 Market Overview
19.3.2 Market Size & Forecast
19.4 Tier III
19.4.1 Market Overview
19.4.2 Market Size & Forecast
19.5 Tier IV
19.5.1 Market Overview
19.5.2 Market Size & Forecast

20 Geography
20.1 Market Snapshot & Growth Engine

21 Western Europe

22 Nordic Region

23 Competitive Landscape
23.1 IT Infrastructure
23.1.1 Server Infrastructure
23.1.2 Storage Infrastructure
23.1.3 Network Infrastructure
23.2 Electrical Infrastructure
23.3 Mechanical Infrastructure
23.4 General Construction

24 Prominent Critical (IT) Infrastructure Providers

25 Prominent Support Infrastructure Providers

26 Prominent Construction Contractors

27 Prominent Data Center Investors

28 Report Summary
28.1 Key Takeaways

29 Quantitative Summary

30 Appendix
30.1 Abbreviations

For more information about this report visit https://www.researchandmarkets.com/r/tba6n7

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