Press release
Data Center Colocation Market Growth Status and Outlook 2021-2025 | IBM Corporation, NTT Communications, Terremark Worldwide Inc., (Verizon), Fujitsu Ltd
The Data Center Colocation Market report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain. The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.The data center colocation market was valued at USD 31.39 billion in 2019, and is expected to reach a value of USD 58.28 billion by 2025, at a CAGR of 10.92% over the forecast period (2020- 2025).
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Competitive Landscape:
Top Companies: IBM Corporation, NTT Communications, Terremark Worldwide Inc., (Verizon), Fujitsu Ltd, SoftBank Group Corporation, Tata Communications, China Telecom Corporation Limited, British Telecommunications PLC, KT Corporation, AT&T Inc.
Market Overview:
- Increasing generation of data has raised the demand for data centers globally. It is estimated that the global data center IP traffic will reach 20.6 Zettabytes by the end of 2021, up from 6.8 Zettabytes per year in 2016, according to the Cisco Systems. The single largest driver of such expansion in the data center capacity is the demand generated by the cloud services providers and the IT industry.
- It is estimated that there is an increase of 35% in data generated every year, globally, which has resulted in many organizations, doubling their on-premises storage over a three-year period interval.
- With the advent of colocation services, it has become an attractive solution to many small-scale and hyper-scale players equally, as it allows organizations to address their storage issues without substantial upfront costs. Globally, North America and Asia-Pacific are the largest markets for collocation industry, responsible for over 78% of the industrys capacity.
Scope of the Report
Colocation is a data center facility, where a corporation can rent space for servers and other computing hardware. Data center colocation is being used in wholesale colocation and retail colocation. Based upon the need, it is being used in various industries like BFSI, manufacturing, energy, among others.
Industry News and Updates:
- February 2019: Digital Realty and Ascenty announced that they added dedicated and private access directly to the IBM Cloud in their connectivity portfolio through IBM Cloud Direct Link.
- February 2018: Equinix acquired Infomart Dallas Colocation Data Center, including its operations and tenants, from ASB Real Estate Investments, in a USD 800 million debt and cash transaction.
Key Market Trends:
- Asia-Pacific is a hub for major IT outsourcing destinations for the major market players, across the industry verticals. Power, space, and IP transit cost more in China, emphasizing the difficulties in maintaining a data center.
- China has 50 internet users per 100 people, indicating the scope for immense development and the connectivity ecosystem is made up of 73 colocation data centers and 52 cloud service providers. Japan has 93 internet users per 100 people, showing high internet literacy in Japan.
- Japan has a high density of colocation, owing to such generation of data. Digital Realty has launched its first data center in Japan, named Digital Osaka 1, indicating increasing investment in the region. Singapore is considered one of the largest shipping ports in the world, ensuring connectivity. With its stable government committed to driving prosperity through economic development and innovation, Singapore continues to attract major investments from the technology industry.
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What are the market influences that are explained in the report?
-Key Strategic Developments: The study also includes the key strategic developments of the market, comprising R&D, new product launch, M&A, agreements, collaborations, partnerships, joint ventures, and regional growth of the leading competitors operating in the market on a global and regional scale.
-Key Market Features: The report evaluated key market features, including revenue, price, capacity, capacity utilization rate, gross, production, production rate, consumption, import/export, supply/demand, cost, market share, CAGR, and gross margin. In addition, the study offers a comprehensive study of the key market dynamics and their latest trends, along with pertinent market segments and sub-segments.
-Analytical Tools: The Global Data Center Colocation Market report includes the accurately studied and assessed data of the key industry players and their scope in the market by means of a number of analytical tools. The analytical tools such as Porter’s five forces analysis, SWOT analysis, feasibility study, and investment return analysis have been used to analyze the growth of the key players operating in the market.
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MarketInsightsReports provides syndicated market research on industry verticals including Healthcare, Information and Communication Technology (ICT), Technology and Media, Chemicals, Materials, Energy, Heavy Industry, etc. MarketInsightsReports provides global and regional market intelligence coverage, a 360-degree market view which includes statistical forecasts, competitive landscape, detailed segmentation, key trends, and strategic recommendations.
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