Market Research Report
Data Center Colocation Market Size By Type, By End-Use, By Application Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2020 - 2026
|Published by||Global Market Insights Inc.||Product code||974824|
|Published||Content info||300 Pages
Delivery time: 2-3 business days
|Data Center Colocation Market Size By Type, By End-Use, By Application Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2020 - 2026|
|Published: December 4, 2020||Content info: 300 Pages||
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) Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2020 - 2026.
The data center colocation market is projected to expand significantly through the forthcoming timeframe owing to growing demand for wholesale colocation, high adoption of colocation hosting to scale resources at low cost, and growing usage of internet services & connected devices.
A colocation data center also known as colo or carrier hotel is basically a kind of data center where space, bandwidth and equipment all are available on rental basis to retail customers.
These colocation facilities provide cooling, power, space as well as physical security for the storage, networking equipment, and the server of other firms, connecting them to a diversity of network and telecommunications service providers with least cost and complexity.
Apart from rental facilities, data center colocation offers several benefits that lure in the customers. The option of colocation data center is known to be the best in comparison to building one's own facility. Using a colocation option generally translates to lower costs. It requires fewer technical staff instead of a large IT staff.
Adoption of colocation centers offers exceptional reliability, option of choosing the preferred geographical location, and easy scalability. Thus, due to the above-mentioned benefits, the market is expected to witness steady growth in the years to come.
Data center colocation market is segmented into different segments in terms of type, end-use, application, and regional landscape.
Based on type, the data center colocation market is divided into wholesale colocation and retail colocation. Among these, wholesale colocation segment will witness substantial growth over the coming years. In fact, hyperscale cloud service providers are mainly adopting wholesale colocation data centers to enable better customer service, efficient management of applications, and security.
In comparison to retail colocation, in wholesale colocation, a tenant leases large blocks of data center space, comparatively at a low-priced rate. It does not denote to leasing space to firms that often specialize in renting small amounts of space. In fact, more often large enterprises select to lease wholesale data centers in place of building their very own data center.
With respect to end-use, the data center colocation market is classified into large enterprises and SMEs. The growing demand for scalability among small & medium enterprises end-use segment is driving the adoption of colocation hosting to scale resources at low cost.
In terms of application, the overall data center colocation market is bifurcated into Retail, IT & telecom, manufacturing, healthcare, government & defense, energy, and BFSI. Among these, BFSI application segment is likely to witness tremendous growth over the coming years. BFSI sector is increasingly storing sensitive customer information that needs reliable data storage solutions. Hence, the adoption of colocation data centers is gaining prominence in BFSI sector.
From a regional frame of reference, North America will witness rapid growth owing to the rising usage of internet services & connected devices. This has further led to a rise in the demand for colocation data centers in the region.