PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1419283
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1419283
Scope of the Report | |
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Years Considered for the Study | 2018-2028 |
Base Year | 2023 |
Forecast Period | 2023-2028 |
Units Considered | Value (USD Million/Billion) |
Segments | By Offering (Hardware, Software, Services), Tier Type, Data Center Type, Data Center Size, and Vertical |
Regions covered | North America, Europe, Asia Pacific, Middle East & Africa, and Latin America |
The data center solutions market is expected to grow from USD 338.8 billion in 2023 to USD 591.7 billion by 2028 at a Compound Annual Growth Rate (CAGR) of 11.8% during the forecast period. The rapid growth of AI and ML workloads and the cloud computing revolution will drive the demand for the data center solutions market. Scalability and flexibility issues are significant challenges for the growth of the data center solutions market.
"As per the hardware, the cooling modules segment is expected to grow at the highest CAGR during the forecast period. "
Cooling modules are an integral component within the hardware segment of data center solutions, focused on managing and maintaining optimal operating temperatures for IT equipment. Adequate cooling is crucial for preventing overheating, ensuring hardware reliability, and maximizing the overall efficiency of data center operations. These modules encompass a range of technologies and systems designed to dissipate heat generated by IT infrastructure and maintain a conducive environment for electronic components. One key element of cooling modules is precision air conditioning systems. These systems provide targeted cooling to specific areas within the data center, delivering conditioned air to equipment racks and server aisles. Precision air conditioning allows for precise temperature control, ensuring IT equipment operates within optimal temperature ranges.
"As per data center type, the enterprise data center will hold the largest market share in 2023. "
Enterprise data centers provide complete control over data privacy and security. However, this also means that organizations must implement and maintain all security measures. Building and maintaining an enterprise data center involves significant capital expenditures for land, building construction, equipment, and ongoing operational costs. An onsite data center needs a reliable power supply and cooling system, an extensive network, a security system, and others, which can be tedious to support in-house, especially for SMEs.
As per region, Europe is anticipated to witness the second-largest market share during the forecast period.
Europe's data center solutions market is marked by a dynamic landscape with increasing demand for advanced, scalable, and energy-efficient infrastructure. As a hub for technological innovation, Europe experiences substantial growth in data center investments to meet the evolving requirements of businesses and consumers. Key countries such as the United Kingdom, Germany, France, and the Netherlands significantly contribute to the region's data center market. Europe is witnessing a shift towards sustainable, green data center practices driven by environmental concerns and regulatory initiatives. There is a growing emphasis on utilizing renewable energy sources and implementing energy-efficient technologies to reduce the environmental impact of data center operations.
Note: Others include sales managers, marketing managers, and product managers
Note: The rest of the World consists of the Middle East & Africa, and Latin America
Note: Tier 1 companies have revenues of more than USD 100 million; tier 2 companies' revenue ranges from USD 10 million to USD 100 million; and tier 3 companies' revenue is less than 10 million
Source: Secondary Literature, Expert Interviews, and MarketsandMarkets Analysis
Some of the significant vendors offering data center solutions across the globe include AWS (US), Microsoft (US), Google (US), Equinix (US), Dell (US), Huawei (China), Digital Realty (US), NTT (Japan), KDDI (Japan), and HPE (US), CyrusOne (US), China Telecom (China), Cyxtera Technologies (US), GDS Holdings (China), CoreSite (US), QTS Data Centers (US), 365 Data Centers (US), Alibaba Cloud (China), Oracle (US), Iron Mountain (US), IBM (US), Schneider Electric (France), RackBank Datacenters (India), Liquidstack (US), DartPoints (US), and Hyperview (US).
The market study covers the data center solutions market across segments. It aims to estimate the market size and the growth potential of this market across different market segments, such as offering, data center type, data center size, tier type, vertical, and region. It includes an in-depth competitive analysis of the key players in the market, their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.
The report will help the market leaders/new entrants with information on the closest approximations of the revenue numbers for the overall data center solutions market and the subsegments. This report will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and plan suitable go-to-market strategies. The report also helps stakeholders understand the market pulse and provides information on key market drivers, restraints, challenges, and opportunities.