Market Research Report
China Data Centre Market - 2020 to 2025
|Published by||Tariff Consultancy Ltd.||Product code||935317|
|Published||Content info||101 Pages; 44 Figures
Delivery time: 1-2 business days
|China Data Centre Market - 2020 to 2025|
|Published: May 7, 2020||Content info: 101 Pages; 44 Figures||
"New report from datacentrepricing finds that China is now the second largest third-party Data Centre Market in the world and is forecast to grow over the next 5 years by over 1 million square metres."
Datacentrepricing's (DCP) first edition of China finds that has become the second largest Data Centre market worldwide - behind the USA - with almost 1.6 million m2 of third party Data Centre raised floor space available across China.
The Chinese third -party Data Centre market is forecast to grow by over 1 million m2 of space over the five years to the end of 2025 to over 2.5 million m2. In size, China is similar to a large mature market - it has over 360 facilities and almost 200 Data Centre Providers. But China also offers faster growth than the other large Data Centre markets with datacentrepricing forecasting an increase of 72.5 per cent over the next five-year period.
However, DCP finds that as a share of the population in 2020, Chinese Data Centre space is still only a small amount when compared with Europe and the USA - with 0.69 m2 per head of population in China compared with 7.77 m2 per head of population in Germany - with China having more potential for future Data Centre growth.
Additionally, the sector is set to grow further as the Chinese Government has only recently (since 2017) designated Data Centres as a nationally strategic investment sector - as part of a policy to encourage further investment in advanced technology (including cloud computing, Artificial Intelligence (AI) and Big Data) which is set to allow more Government-supported Data Centre deployments.
Selected regional Chinese Governments are also promoting a Data Centre sector as a means of advancing regional economic development with Hebei Province aiming to create a similar Data Centre Cluster in China as North Virginia has become in the USA.
Currently the Chinese Data Centre market is dominated by the city areas of Beijing and Shanghai, with more Data Centre development overflowing to surrounding lower cost districts. Beijing and Shanghai accounts for 45 per cent of Chinese Data Centre space, with 14 Chinese cities accounting for 80 per cent of the total Chinese market.
The Chinese Data Centre market is highly fragmented and has almost 200 Data Centre Providers with twelve Data Centre Providers accounting for seventy per cent of total capacity as a handful of vendors introduce multiple Hyperscale Data Centre facilities with campus sites as large as 100,000 m2 of space.
Leading Chinese Hyperscale Data Centre Providers include - 21vianet Group, Beijing Sinnet, GDS Holdings Ltd, Centrin Data Systems & ChinData, who are all building multiple Data Centre facilities. Also, the Chinese Telecom Providers (China Telecom, China Unicom and China Mobile) are all using 3rd party Data Centre facilities to boost their cloud presence.
The Chinese third party Data Centre market is benefitting from Telecom Providers using other facilities as they expand their geographical reach in China. It also has increased demand from internet, cloud and e-commerce suppliers including - Alibaba Group, Baidu, Tencent, JD Com and Kingsoft Cloud.
Finally, foreign investors have now woken up to the growth potential of the Chinese Data Centre market, with joint ventures with Chinese Data Centres being formed, with Bain Capital merging Bridge Data Centres with Chin Data, Gaw Capital (Hong Kong) partnering with Centrin Data Systems and GDS Holdings Ltd forming a joint venture with GIC (the Singaporean sovereign wealth fund) to develop Hyperscale Data Centres in so-called Chinese Tier 2 cities.