UK Data Center Colocation Market Competitive Analysis by end user industries & Forecast to 2025

UK data center colocation market is estimated to grow considerably at a CAGR of 13.9% during the forecast period. Factors that are augmenting the growth of the UK data colocation market include rising data security concerns coupled with the emergence of new regulations, such as GDPR, and better telecommunication infrastructure within the country. Moreover, players operating in the market are adopting various strategies, including the expansion of the company's footprints, and mergers and acquisitions that are addressing the growth of the market in UK. For instance, BSO Network Solutions Ltd. has strengthened its capabilities within the wholesale telecoms, cloud and technology sectors with the acquisition of IX Reach, a UK-based global provider of network services.

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The companies which are contributing to the growth of UK data center colocation market include AT&T, Inc., Equinix, Inc., Digital Realty Trust, Inc., IBM Corp., and Verizon Communications Inc.

Another advantage that the companies in UK can have by opting for a local service provider is the faster speed of data recovery. As most of the data centers are located in West Coast State of the US, data backup time can be longer sometimes. Moreover, whenever there will be any need for physical transportation of data in a USB disk during disaster recovery, it can take days sometimes. Most of the UK backup service providers are ISO9001 or ISO27001 certified which can provide a sense of security to the customer. Due to all these factors, it is expected that there will be considerable motivation for the domestic players in the data center colocation market.

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The market players are considerably contributing to the market growth by the adoption of various strategies including new product launch, merger, and acquisition, collaborations with government, funding to the start-ups and technological advancements to stay competitive in the market. For instance, in 2017, BT Group PLC had planned to open its first cybersecurity research center outside UK, with the launch of a new site in Sydney. The company along with the New South Wales government has announced the launch of a global cybersecurity R&D center in Sydney. The facility will host Asia-Pacific's cyber-security systems, integration and services teams of the company.

UK Data Center Colocation Market Segmentation

UK Data Center Colocation Market by Solution Type

o Retail Colocation
o Wholesale Colocation

UK Data Center Colocation Market by Verticals

o BFSI
o IT & Telecom
o Healthcare
o Government and Defense
o Others (Media and Entertainment)

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