Data Center Colocation Market to exceed over $145 Bn by 2027

Data Center Colocation Market size is set to surpass USD 145 billion by 2027, according to a latest research report by Global Market Insights Inc.
 

The growing penetration of compute-intensive technologies, such as AI & IoT, is driving the market demand for edge data centers that offer faster data processing services to customers. A rapid increase in computing power and the adoption of IoT devices have encouraged industry leaders to deploy data centers to the network edge to cater to the demands of IoT and AI applications. Furthermore, increasing need for edge computing solutions that ensure faster processing speeds will support business growth.
 

The COVID-19 pandemic influenced the data center colocation market expansion in 2020. The strict lockdown measures imposed by government organizations increased the utilization of digital services such as online grocery shopping, contactless payments, and virtual meetings. The IT & telecom sector is under stress due to the sudden transition to remote working and e-learning technologies by corporate & academic institutions. This factor coupled with the growing acceptance of digital payment technologies will boost the demand for data management solutions, in turn, stimulating the industry growth.
 

Increasing demand for wholesale colocation from large business organizations

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The rising requirement for global IT services by government agencies will offer growth opportunities to the wholesale data center colocation market. Government authorities are investing in the process of transforming traditional methods and creating a virtual platform to optimize several processes. To store the massive amount of data generated, wholesale colocation providers lease the entire data center facility for a long period while also offering the latest technology upgrades. These suppliers will also focus on entering long-term partnerships with government organizations to cater to their specific large-scale data storage requirements.
 

Browse key industry insights spread across 300 pages with 248 market data tables and 32 figures & charts from the report, “Data Center Colocation Market Size By Type (Retail Colocation, Wholesale Colocation), By End-Use (SMEs, Large Enterprises), By Application (BFSI, Energy, Government & Defense, Healthcare, Manufacturing, IT & Telecom, Retail), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2021 – 2027” in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/data-center-colocation-market
 

Focus on integrating AI & IoT for process optimization by the Europe manufacturing industry

The growing emphasis on deploying technologies, such as Artificial Intelligence (AI) and Internet of Things (IoT), throughout the manufacturing sector is resulting in a sharp rise in data. Manufacturers are using big data analytics, machine learning & AI to predict machine failure, optimize processes, and develop smart services & supply chains. According to the EU, the manufacturing industry combined with AI and industrial IoT will impact the European economy by around USD 234 billion by 2030. The increasing data traffic will also contribute to the rising demand for IT infrastructures, fostering the market expansion.
 

Companies are focusing on expansion opportunities in multiple markets

Prominent data center colocation market players operating in the scenario include NTT Communications Corporation, China Telecom Corporation Limited, China Unicom, Digital Realty, Cogent Communications, Inc., Singapore Telecommunications Limited, Cologix, Inc., CyrusOne, Cyxtera Technologies, Inc., eStruxture Data Centers, Equinix, Inc., Internap Corporation, Interxion Holding NV, KDDI Corporation, Ltd., Rackspace Inc., Sungard Availability Services, TeraGo Networks, Telstra Corporation Limited, Verizon Communications Inc., and Zayo Group, LLC. Industry leaders are focusing on launching or upgrading their data centers to expand market reach.