Data Center Storage Market - Global Outlook & Forecast 2022-2027

List of Tables

The global data center storage market is expected to grow at a CAGR of 4.72% during 2022-2027.

MARKET INSIGHTS

Data center storage includes all the infrastructure, i.e., tools, processes, and technologies that enable the design, management, and monitoring of the data stored within a data center. Data storage can be classified into three ways - block level, file level, or object level. The storage market comprises several products such as hard disk drives, storage networking, solid state drives, and other infrastructure. The infrastructure mentioned above is necessary for efficient data center storage.

The data center storage market is currently dominated by HDD adoption, with around two-thirds of the market adopting the technology, with key vendors such as Seagate Technology, Western Digital, and Toshiba. Over the coming years, the demand for SSDs is also witnessing a boost, especially from data center operators and telecom companies deploying edge data centers and advanced technology such as cloud, AI, IoT, and big data.

Global demand for cloud and colocation services has soared, particularly since the COVID-19 outbreak. North America has the highest data center storage market, followed by other regions such as APAC and Europe. Expansions also dominate the market by global and local cloud service providers. Furthermore, demand gets driven by consumer support for the growing consumption of online content and digitalization initiatives across various industries. Most governments worldwide are keen to develop the digital economy of their country. They are allocating higher budgets for IT spending, which will drive the global data center storage market.

KEY HIGHLIGHTS

Over the next few years, trends driving the global data center storage market include increasing edge deployments, flash/NVMe storage adoption, and the increasing popularity of software-defined storage. Among the various storage infrastructures available, NAS storage leads around 70% of the industry share. Content providers, media, and entertainment businesses will be the significant adopters of NAS-based flash storage solutions.
Traditional storage, especially HDDs, dominates the global data center storage market. The adoption of hybrid storage, combining the capabilities of HDDs and SSDs, will increase over the next few years and grow at the highest CAGR.
Seagate Technology, Toshiba, and Western Digital are the vendors supplying HDDs to the data center storage market. In addition, companies such as Pure Storage, Huawei Technologies, Dell Technologies, Fujitsu, etc., are some of the major SSD vendors in the industry.

SEGMENTAL ANALYSIS

INSIGHTS BY STORAGE INFRASTRUCTURE

NAS allows file-level access to data. It uses the existing IP network to transfer data. NAS works on protocols such as NFS (Network File System) or CIFS (Common Internet File System).
SAN enables block-level access to data and can be defined based on the interconnection scheme such as FC SAN and iSCSI SAN. FC SAN enables the communication between the server and the external storage system at a speed of 2-32 Gbps.
DAS is a topology where storage devices are attached to servers. These direct attached storage solutions are typically NAND flash-based.

Segmentation by Storage Architecture

INSIGHTS BY SYSTEM

Traditional storage includes devices that support only HDD (Hard Disk Drives). A hard disk drive or HDD is a non-volatile data storage. This means that data once stored in these drives will be retained even after the system is shut down. HDDs have speeds much lesser than SSDs, but at the same time, they offer higher capacities at reasonably low prices. Due to this, it currently dominates the Latin America data center storage market.
Flash storage is the type of system, repository, or drive which helps to store data for long periods using flash memory which is non-volatile memory. Flash storage is widely used in SMEs or large businesses as a storage system.
A hybrid drive is a type of storage device which combines the capabilities of HDDs and SSDs in one drive. It utilizes the faster access capability of SSDs as the cache is used for frequently accessed data and the higher storage capacity of HDDs. Hybrid storage helps to utilize storage effectively, decrease the overall storage footprint, and streamline storage management.

Segmentation by System

Traditional Storage
Flash Storage
Hybrid Storage

Segmentation by Industry

BFSI Sector
Government Sector
Cloud/IT Sector
Others Industrial Sectors

KEY TRENDS

a) Worldwide, cloud, IT, and telecom expect to witness the fastest growth in the industry. The adoption of the cloud by businesses, the development of data centers for 5G deployments, and the pay-as-you-go model for cloud storage are some of the driving forces behind this increase.

b) BFSI is another industry that will witness significant growth in storage infrastructure adoption. In 2021, over 1.5 million users onboarded Brubank, a fully digital bank authorized to conduct operations by the Central Bank of Argentina. Similarly, WeBank, with Tencent as a prime investor, caters to around 200 million people.

c) Adopting technology such as big data and IoT by local enterprises through digitalization initiatives has resulted in a significant rise in the procurement of all-flash and hybrid array systems.

d) Increasing innovations in storage media expected to impact the global data center storage market include the adoption of DNA and holographic storage. With companies like Quantum (LTO-9, LTO-8, and LTO-7 tape drives) and Hewlett Packard Enterprise (LTO Ultrim) providing tape storage in the market, the tape storage market is coming back into the storage industry.

e) Adoption of software-defined storage is expected to increasingly be used in data center storage over the next few years, mainly because over 80% of data generated is unstructured, making it more difficult to store in a traditional storage system. Software-defined storage for the use cases is currently low in the market; with more cases in countries such as Western Europe, the US, and China, the adoption will grow, along with hyper-converged platforms/rack-level architecture.

GEOGRAPHICAL ANALYSIS:

Globally, over 40% of the overall spending on storage infrastructure is contributed by North America, followed by APAC. Africa, the Middle East, and the Nordics will witness a double-digit CAGR growth in storage infrastructure spending over the forecast period.
Colocation providers dominate the Latin America data center market, followed by internet and cloud service providers. The expansion of cloud computing will also be critical for colocation providers adding connectivity to cloud platforms such as AWS, Google, Oracle, Microsoft, and IBM.
The growing internet penetration, social media usage, and smart initiatives are the major drivers for the Middle East data center industry. Telecommunication providers, enterprises, governments, cloud, and colocation service providers are the major investors in developing data center facilities.
Countries like Poland, Spain, Portugal, Belgium, and Italy are some of the upcoming investment destinations in Europe. They will also contribute significantly to the global data center storage market.
APAC is the preferred region for cloud service and global colocation providers. The industry in the Asia Pacific is witnessing steady growth with continued investments from AWS, Microsoft, Alibaba, and Facebook. Government agencies across several countries in APAC are also actively involved in developing centers to digitalize their operations.

Segmentation by Geography

North America
- US
- Canada
Latin America
- Brazil
- Other Latin American Countries
Western Europe
- UK
- Germany
- France
- Netherlands
- Ireland
- Other Western European Countries
- Nordics
- Sweden
- Other Nordic Countries
- Central & Eastern Europe
- Russia
- Other Central & Eastern European Countries
Middle East & Africa
- UAE
- Saudi Arabia
- Other Middle Eastern Countries
- Africa
- South Africa
- Other African Countries
APAC
- China & Hong Kong
- Australia & New Zealand
- Japan
- India
- Rest of APAC
- Southeast Asia
- Singapore
- Other Southeast Asian Countries

VENDOR ANALYSIS

There is intense competition in the global data center storage market, especially since hyperscale operators are buying ODM infrastructure to meet their storage requirements. OEM infrastructure is more frequently used while deploying on-premises storage infrastructure.
The major procurement of storage infrastructure worldwide is being carried out by cloud service providers involved in rapid expansions with additional cloud regions. These operators are engaged in acquiring storage systems, varying in performance from low to high.
Storage infrastructure players such as Fujitsu, Huawei, IBM, HPE, NetApp, Pure Storage, and Dell Technologies have a significant presence, directly or through reseller/distribution partners. Nvidia has collaborated with IBM and some universities in the US to develop an architecture called Big Accelerator Memory BAM. BAM architecture helps to create a direct link between the storage and GPU.
Oil and Natural Gas Corporation Limited (ONGC), an oil and gas company in India, hosts its SAP S/4HANA workloads on Hewlett Packard Enterprise's HPE GreenLakeedge-to-cloud platform. This platform helps the company improve performance, accelerate digitization, and improve analytics insights.
Oulun Datacenter in Finland has adopted NetApp's flash storage and expanded its existing NetApp-based FAS storage to meet the requirements of its customers.

Key Vendors

Advanced Computer & Network Corporation
Bufallo
DataDirect Networks
Dell Technologies
FADU
Fujitsu
Hewlett Packard Enterprise
Hitachi Vantara
Huawei Technologies
IBM
Intel
Infortrend
Inspur
Kingston Technology
KIOXIA
Lenovo
Micron Technology
NEC
NetApp
Oracle
Pure Storage
Samsung Electronics
Seagate Technology
Solidigm
Toshiba
Viking Technology
VIOLIN
Western Digital
Wistron (WIWYNN)
ZOTAC

KEY QUESTIONS ANSWERED

1. How big is the global data center storage market?
2. What is the growth rate of the data center storage market growing?
3. Which region dominates the global data center storage market share?
4. What are the growth factors in the data center storage market?
5. Who are the key players in the global data center storage market?
6. What are the latest trends in the global data center storage market?

Product Code: ARZ220724

1 RESEARCH METHODOLOGY

2 RESEARCH OBJECTIVES

3 RESEARCH PROCESS

4 SCOPE & COVERAGE

4.1 MARKET DEFINITION
4.2 BASE YEAR
4.3 SCOPE OF THE STUDY
- 4.3.1 MARKET SEGMENTATION BY GEOGRAPHY

5 REPORT ASSUMPTIONS & CAVEATS

5.1 KEY CAVEATS
5.2 CURRENCY CONVERSION
5.3 MARKET DERIVATION

6 MARKET AT A GLANCE

7 PREMIUM INSIGHTS

7.1 KEY HIGHLIGHTS
7.2 SEGMENTAL ANALYSIS
7.3 KEY MARKET TRENDS
7.4 GEOGRAPHICAL ANALYSIS
7.5 VENDOR ANALYSIS

8 INTRODUCTION

8.1 MARKET OVERVIEW
8.2 DATA STORAGE TYPES
8.3 DATA STORAGE DRIVES

9 MARKET OPPORTUNITIES & TRENDS

9.1 5G ADOPTION AND THE EDGE
9.2 ADOPTION OF NVME STORAGE
9.3 GROWING POPULARITY OF SOFTWARE-DEFINED STORAGE
9.4 RELEVANCE OF TAPE STORAGE
9.5 INNOVATIONS IN STORAGE MEDIA

10 MARKET GROWTH ENABLERS

10.1 IMPACT OF COVID-19
10.2 GROWING HYPERSCALE DATA CENTER DEVELOPMENTS
10.3 IMPACT OF IOT AND BIG DATA
10.4 INCREASING ADOPTION OF AI & ML WORKLOADS
10.5 CLOUD ADOPTION

11 MARKET RESTRAINTS

11.1 SUPPLY CHAIN SHORTAGES
11.2 CYBERSECURITY CONCERNS IN STORAGE

12 MARKET LANDSCAPE

12.1 MARKET OVERVIEW
12.2 MARKET SIZE & FORECAST
12.3 FIVE FORCES ANALYSIS
- 12.3.1 THREAT OF NEW ENTRANTS
- 12.3.2 BARGAINING POWER OF SUPPLIERS
- 12.3.3 BARGAINING POWER OF BUYERS
- 12.3.4 THREAT OF SUBSTITUTES
- 12.3.5 COMPETITIVE RIVALRY

13 STORAGE ARCHITECTURE

13.1 MARKET SNAPSHOT & GROWTH ENGINE
13.2 NAS
- 13.2.1 MARKET OVERVIEW
- 13.2.2 MARKET SIZE & FORECAST
13.3 SAN
- 13.3.1 MARKET OVERVIEW
- 13.3.2 MARKET SIZE & FORECAST
13.4 DAS
- 13.4.1 MARKET OVERVIEW
- 13.4.2 MARKET SIZE & FORECAST

14 STORAGE TYPE

14.1 MARKET SNAPSHOT & GROWTH ENGINE
14.2 TRADITIONAL STORAGE
- 14.2.1 MARKET OVERVIEW
- 14.2.2 MARKET SIZE & FORECAST
14.3 ALL-FLASH STORAGE
- 14.3.1 MARKET OVERVIEW
- 14.3.2 MARKET SIZE & FORECAST
14.4 HYBRID STORAGE
- 14.4.1 MARKET OVERVIEW
- 14.4.2 MARKET SIZE & FORECAST

15 END-USER

15.1 MARKET SNAPSHOT & GROWTH ENGINE
15.2 BFSI
- 15.2.1 MARKET OVERVIEW
- 15.2.2 MARKET SIZE & FORECAST
15.3 GOVERNMENT
- 15.3.1 MARKET OVERVIEW
- 15.3.2 MARKET SIZE & FORECAST
15.4 CLOUD/IT
- 15.4.1 MARKET OVERVIEW
- 15.4.2 MARKET SIZE & FORECAST
15.5 OTHER INDUSTRIES
- 15.5.1 MARKET OVERVIEW
- 15.5.2 MARKET SIZE & FORECAST

16 GEOGRAPHY

16.1 MARKET SNAPSHOT & GROWTH ENGINE

17 NORTH AMERICA

17.1 MARKET OVERVIEW
17.2 MARKET SIZE & FORECAST
17.3 US
- 17.3.1 MARKET OVERVIEW
- 17.3.2 MARKET SIZE & FORECAST
17.4 CANADA
- 17.4.1 MARKET OVERVIEW
- 17.4.2 MARKET SIZE & FORECAST

18 LATIN AMERICA

18.1 MARKET OVERVIEW
18.2 MARKET SIZE & FORECAST
18.3 BRAZIL
- 18.3.1 MARKET OVERVIEW
- 18.3.2 MARKET SIZE & FORECAST
18.4 OTHER LATIN AMERICAN COUNTRIES
- 18.4.1 MARKET OVERVIEW
- 18.4.2 MARKET SIZE & FORECAST

19 WESTERN EUROPE

19.1 MARKET OVERVIEW
19.2 MARKET SIZE & FORECAST
19.3 UK
- 19.3.1 MARKET OVERVIEW
- 19.3.2 MARKET SIZE & FORECAST
19.4 GERMANY
- 19.4.1 MARKET OVERVIEW
- 19.4.2 MARKET SIZE & FORECAST
19.5 FRANCE
- 19.5.1 MARKET OVERVIEW
- 19.5.2 MARKET SIZE & FORECAST
19.6 NETHERLANDS
- 19.6.1 MARKET OVERVIEW
- 19.6.2 MARKET SIZE & FORECAST
19.7 IRELAND
- 19.7.1 MARKET OVERVIEW
- 19.7.2 MARKET SIZE & FORECAST
19.8 OTHER WESTERN EUROPEAN COUNTRIES
- 19.8.1 MARKET OVERVIEW
- 19.8.2 MARKET SIZE & FORECAST

20 NORDICS

20.1 MARKET OVERVIEW
20.2 MARKET SIZE & FORECAST
20.3 SWEDEN
- 20.3.1 MARKET OVERVIEW
- 20.3.2 MARKET SIZE & FORECAST
20.4 OTHER NORDIC COUNTRIES
- 20.4.1 MARKET OVERVIEW
- 20.4.2 MARKET SIZE & FORECAST

21 CENTRAL & EASTERN EUROPE

21.1 MARKET OVERVIEW
21.2 MARKET SIZE & FORECAST
21.3 RUSSIA
- 21.3.1 MARKET OVERVIEW
- 21.3.2 MARKET SIZE & FORECAST
21.4 OTHER CENTRAL & EASTERN EUROPEAN COUNTRIES
- 21.4.1 MARKET OVERVIEW
- 21.4.2 MARKET SIZE & FORECAST

22 MIDDLE EAST

22.1 MARKET OVERVIEW
22.2 MARKET SIZE & FORECAST
22.3 UAE
- 22.3.1 MARKET OVERVIEW
- 22.3.2 MARKET SIZE & FORECAST
22.4 SAUDI ARABIA
- 22.4.1 MARKET OVERVIEW
- 22.4.2 MARKET SIZE & FORECAST
22.5 OTHER MIDDLE EASTERN COUNTRIES
- 22.5.1 MARKET OVERVIEW
- 22.5.2 MARKET SIZE & FORECAST

23 AFRICA

23.1 MARKET OVERVIEW
23.2 MARKET SIZE & FORECAST
23.3 SOUTH AFRICA
- 23.3.1 MARKET OVERVIEW
- 23.3.2 MARKET SIZE & FORECAST
23.4 OTHER AFRICAN COUNTRIES
- 23.4.1 MARKET OVERVIEW
- 23.4.2 MARKET SIZE & FORECAST

24 APAC

24.1 MARKET OVERVIEW
24.2 MARKET SIZE & FORECAST
24.3 CHINA & HONG KONG
- 24.3.1 MARKET OVERVIEW
- 24.3.2 MARKET SIZE & FORECAST
24.4 AUSTRALIA & NEW ZEALAND
- 24.4.1 MARKET OVERVIEW
- 24.4.2 MARKET SIZE & FORECAST
24.5 JAPAN
- 24.5.1 MARKET OVERVIEW
- 24.5.2 MARKET SIZE & FORECAST
24.6 INDIA
- 24.6.1 MARKET OVERVIEW
- 24.6.2 MARKET SIZE & FORECAST
24.7 REST OF APAC
- 24.7.1 MARKET OVERVIEW
- 24.7.2 MARKET SIZE & FORECAST

25 SOUTHEAST ASIA

25.1 MARKET OVERVIEW
25.2 MARKET SIZE & FORECAST
25.3 SINGAPORE
- 25.3.1 MARKET OVERVIEW
- 25.3.2 MARKET SIZE & FORECAST
25.4 OTHER SOUTHEAST ASIAN COUNTRIES
- 25.4.1 MARKET OVERVIEW
- 25.4.2 MARKET SIZE & FORECAST

26 COMPETITIVE LANDSCAPE

26.1 COMPETITION OVERVIEW

27 VENDOR LANDSCAPE

27.1 ADVANCED COMPUTER & NETWORK CORPORATION
- 27.1.1 BUSINESS OVERVIEW
- 27.1.2 PRODUCT OFFERINGS
27.2 BUFFALO
- 27.2.1 BUSINESS OVERVIEW
- 27.2.2 PRODUCT OFFERINGS
27.3 DATADIRECT NETWORKS (DDN)
- 27.3.1 BUSINESS OVERVIEW
- 27.3.2 PRODUCT OFFERINGS
27.4 DELL TECHNOLOGIES
- 27.4.1 BUSINESS OVERVIEW
- 27.4.2 PRODUCT OFFERINGS
27.5 FADU
- 27.5.1 BUSINESS OVERVIEW
- 27.5.2 PRODUCT OVERVIEW
27.6 FUJITSU
- 27.6.1 BUSINESS OVERVIEW
- 27.6.2 PRODUCT OFFERINGS
27.7 HEWLETT PACKARD ENTERPRISE
- 27.7.1 BUSINESS OVERVIEW
- 27.7.2 PRODUCT OFFERINGS
27.8 HITACHI VANTARA
- 27.8.1 BUSINESS OVERVIEW
- 27.8.2 PRODUCT OFFERINGS
27.9 HUAWEI TECHNOLOGIES
- 27.9.1 BUSINESS OVERVIEW
- 27.9.2 PRODUCT OFFERINGS
27.10 IBM
- 27.10.1 BUSINESS OVERVIEW
- 27.10.2 PRODUCT OFFERINGS
27.11 INTEL
- 27.11.1 BUSINESS OVERVIEW
- 27.11.2 PRODUCT OFFERINGS
27.12 INFORTREND
- 27.12.1 BUSINESS OVERVIEW
- 27.12.2 PRODUCT OFFERINGS
27.13 INSPUR
- 27.13.1 BUSINESS OVERVIEW
- 27.13.2 PRODUCT OFFERINGS
27.14 KINGSTON TECHNOLOGY
- 27.14.1 BUSINESS OVERVIEW
- 27.14.2 PRODUCT OFFERINGS
27.15 KIOXIA
- 27.15.1 BUSINESS OVERVIEW
- 27.15.2 PRODUCT OFFERINGS
27.16 LENOVO
- 27.16.1 BUSINESS OVERVIEW
- 27.16.2 PRODUCT OFFERINGS
27.17 MICRON TECHNOLOGY
- 27.17.1 BUSINESS OVERVIEW
- 27.17.2 PRODUCT OFFERINGS
27.18 NEC
- 27.18.1 BUSINESS OVERVIEW
- 27.18.2 PRODUCT OFFERINGS
27.19 NETAPP
- 27.19.1 BUSINESS OVERVIEW
- 27.19.2 PRODUCT OFFERINGS
27.20 ORACLE
- 27.20.1 BUSINESS OVERVIEW
- 27.20.2 PRODUCT OFFERINGS
27.21 PURE STORAGE
- 27.21.1 BUSINESS OVERVIEW
- 27.21.2 PRODUCT OFFERINGS
27.22 SAMSUNG ELECTRONICS
- 27.22.1 BUSINESS OVERVIEW
- 27.22.2 PRODUCT OFFERINGS
27.23 SEAGATE
- 27.23.1 BUSINESS OVERVIEW
- 27.23.2 PRODUCT OFFERINGS
27.24 SOLIDIGM
- 27.24.1 BUSINESS OVERVIEW
- 27.24.2 PRODUCT OFFERINGS
27.25 TOSHIBA
- 27.25.1 BUSINESS OVERVIEW
- 27.25.2 PRODUCT OFFERINGS
27.26 VIKING TECHNOLOGY
- 27.26.1 BUSINESS OVERVIEW
- 27.26.2 PRODUCT OFFERINGS
27.27 VIOLIN
- 27.27.1 BUSINESS OVERVIEW
- 27.27.2 PRODUCT OFFERINGS
27.28 WESTERN DIGITAL
- 27.28.1 BUSINESS OVERVIEW
- 27.28.2 PRODUCT OFFERINGS
27.29 WISTRON (WIWYNN)
- 27.29.1 BUSINESS OVERVIEW
- 27.29.2 PRODUCT OFFERINGS
27.30 ZOTAC
- 27.30.1 BUSINESS OVERVIEW
- 27.30.2 PRODUCT OFFERINGS

28 REPORT SUMMARY

28.1 KEY TAKEAWAYS

29 QUANTITATIVE SUMMARY

29.1 DATA CENTER STORAGE MARKET
29.2 STORAGE ARCHITECTURE: MARKET SIZE & FORECAST
29.3 STORAGE TYPE: MARKET SIZE & FORECAST
29.4 END-USER: MARKET SIZE & FORECAST
29.5 GEOGRAPHY: MARKET SIZE & FORECAST
29.6 NORTH AMERICA: MARKET SIZE & FORECAST
29.7 LATIN AMERICA: MARKET SIZE & FORECAST
29.8 WESTERN EUROPE: MARKET SIZE & FORECAST
29.9 NORDICS: MARKET SIZE & FORECAST
29.10 CENTRAL & EASTERN EUROPE: MARKET SIZE & FORECAST
29.11 MIDDLE EAST: MARKET SIZE & FORECAST
29.12 AFRICA: MARKET SIZE & FORECAST
29.13 APAC: MARKET SIZE & FORECAST
29.14 SOUTHEAST ASIA: MARKET SIZE & FORECAST

30 APPENDIX

30.1 ABBREVIATIONS