Hyperscale Data Center Market 2016: Global Industry Insights, Statistics, Market shares and Forecasts to 2022

Hyperscale data center is designed to offer a single, largely scalable compute architecture, which is developed from small, individual servers called nodes that offer computing, networking, and storage solutions. These nodes are grouped together and managed as a single entity. The main idea behind developing hyperscale architecture is to start with small infrastructure to keep the initial investments minimal. With increasing demand, new nodes can be added to the cluster to expand the initial infrastructure. Hyperscale data centers are largely adopted by key companies, such as Amazon and Google, thereby emerging as one of the fastest growing technology in the IT infrastructure world. In May 2015, Intel announced the launch of new Intel Xeon Processor, which securely processes and analyzes enormous volumes of data in the system memory.

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Efficiency is one of the key factors to be considered in a hyperscale data center, in addition to the design and layout of the facility. Designing is a very important factor as it helps to minimize the inefficiency at the rack, node, and facility level. Hyperscale data centers usually have compute nodes ranging from thousands to tens of thousands. In such a hyperscale data center, a small error in design can significantly increase the cost of computation. The other elements of the data center, such as power, HVAC, networking, and layout of racks, also affect its computation cost.

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Hyperscale data centers are implemented across various industries, namely, IT & telecom, banking, financial services and insurance (BFSI), government utilities, healthcare, energy, manufacturing, and others. IT strongly supports the growth of the banking sector, thereby enhancing the economic growth. Hyperscale data centers improve the competitive efficiency of the banking sector. The increasing adoption of hyperscale data center in BFSI application is expected to generate maximum revenue by 2022. In addition, in the manufacturing industry, huge amount of data is generated on the operation and shop floor, which can be analyzed to enhance the production practices. Thus, the manufacturing sector is expected to be the fastest growing application sector, with a rapid CAGR of 23.7% over the analysis period.

Cloud service providers, collocation providers, and various enterprises are different types of end users of the hyperscale data center technology. Hyperscale data centers offer enterprises with higher data storage capacity, advanced servers, and faster computing capability as a result of which the enterprise segment is expected to be the fastest growing market, with a CAGR of 27.7% during the forecast period. Geographically, the market is segmented across North America, Europe, Asia-Pacific, and LAMEA.

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