Colocation Industry 2017 Market Analysis Survey Research Growth and Forecast Report

Global Colocation Market: Snapshot

Just about every business sector and geographical region is envisaged to be advantaged by better data management solutions such as colocation. Players operating in the global colocation market are not only advised to tap into newer geographies but also untapped industries. In the foreseeable future, the global colocation market could gain a large impetus on the back of a perpetual growth triggered by a diverse range of industries, including IT, power, energy, government agency, and healthcare. It is not just North America that is envisioned to bring in lucrative opportunities for players, Europe could also step into the action and draw a heavy demand on account of the rising growth in cities such as Amsterdam, Paris, and London.

In terms of type of service, vendors of wholesale services could clinch some profit-making business deals in the global colocation market while riding on economical rates and lower space and power consumer requirements. As a result, wholesale services are prophesied to be highly adopted among business enterprises.

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Interxion had partnered with Microsoft in May 2015 for deploying the Microsoft cloud at its colocation data center with the help of Azure ExpressRoute solutions. Colocation facilities are not just online, physical structures located close to vital power hubs could function to maintain data centers. One of the reasons for physical colocation facilities to be placed near power hubs is prognosticated to hold a strong relation with accessible connectivity. Colocation centers could also help consumers with bandwidth, cooling, and power security.

Global Colocation Market: Overview

With the growing data production, companies across the world are increasingly searching for creative and cost effective data center services. Colocation solutions are being increasingly acknowledged as an effective way of managing files across small, mid-sized, and even large organizations. These solutions aid in enhancing business potential by cutting down in house IT maintenance and operational expenditures and maximizing the ability to focus on the core business. The major end-user verticals of the market are banking, financial services and insurance (BFSI), telecomm and IT, government, utilities, and healthcare and life sciences.

The research report serves as a reliable source of analysis and information regarding various vital parameters of the global colocation market including its dynamics, geographical segmentation, and vendor landscape. It profiles prominent companies operating in the market along with their latest developments, business strategies, and contact information.

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Global Colocation Market: Drivers and Restraints

The non-availability of strategic location for the data centers is translating into the greater adoption of cloud computing. The increasing implementation of cloud technologies is leading to the introduction of the concept of hybrid platform, which is an amalgamation of traditional and cloud colocation that eases the storage and management of data. This, in turn, is augmenting the market. Moreover, the increasing emphasis on improving business continuity and disaster recovery capabilities is creating a staggering volume of demand for colocation services. However, the high cost of initial start-up and the growing skepticism regarding the loss of direct control over the servers is limiting the global colocation market from realizing its utmost potential.

Global Colocation Market: Geographical Segmentation

The regions methodically examined in the report are North America, Asia Pacific, Europe, and Rest of the World. North America is expected to account for a substantial share in the colocation market throughout the forecast period. The early adoption of cloud computing provides the region an edge over other regions. Rapid technological advancements and robust IT infrastructure are contributing to the growth of the region.

Asia Pacific is expected to progress at a brisk pace during the same period. The paradigm shift towards cloud technologies along with the overall increase in data production is providing a fillip to the growth of the region. Furthermore, the emergence of the region as a dynamic hub for e-trading is attracting global players to invest in the region. Countries such as Japan, India, China, and Taiwan will be the major contributors in the Asia Pacific market.

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Global Colocation Market: Vendor Landscape

Players in the global colocation market are focusing towards offering products with unique scalability, data security, and cost-effectiveness in order to stay relevant. Key companies are investing large amounts in the research and development of new ways of securing and controlling data to stay ahead in the market. Some of the key players in the global colocation market are AT&T, Colt, Coresite, Digital Realty Trust, Dupont Fabros Technology, Equinix, IBM, Internap, Navisite, Verizon Terremark, and NTT Communications.

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