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Data Center Colocation Market Analysis [2022-2029] | Industry Size, Share, Trends, Demand, Growth, Opportunities and Forecast 2029

Companies Profiled in the Data Center Colocation Market Research Report: Flexential, Lumen, Cyxtera, CoreSite, 21Vianet, Global Switch, KDDI Telehouse, GDS,Cyrusone, China Mobile, China Unicom, NTT GDC, China Telecom, Digital Realty Trust, Equinix

/EIN News/ -- Pune, India, May 20, 2022 (GLOBE NEWSWIRE) -- The global data center colocation market size is anticipated to expand prominently in the forthcoming years. Data center colocation offers reduced IT expenditure. It also increases the scalability of data centers. These factors are expected to invigorate market growth. Fortune Business InsightsTM has presented this information in its upcoming report titled, “Data Center Colocation Market, 2022-2029”.
Additionally, the incorporation of advanced technologies such as Artificial Intelligence and others is anticipated to foster growth for the market.

COVID-19 Impact-
The swift digitalization experienced during the pandemic has potentially uplifted the market’s growth. The need for cost-effective operations during the pandemic propelled the demand for data center colocation. The healthcare industry benefited from data center colocation by using Artificial Intelligence to predict disease transmission. The rapid adoption of advanced technologies, smartphones, and others aided the market’s growth. The market is therefore anticipated to exhibit remarkable growth in the coming years.

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On the basis of type, the market is bifurcated into wholesale colocation and retail colocation. On the basis of end-user, the market is segmented into large enterprises and small and medium-sized enterprises (SMEs). On the basis of industry, the market is fragmented into manufacturing, energy, retail, research and academics, healthcare, government and defense, Banking, Financial Services, and Insurance (BFSI). Geographically, the market is classified into Latin America, Europe, Asia Pacific, North America, and the Middle East & Africa.

Drivers & Restraints-

Scalable Data Centers to Fuel Market Growth

Data center colocation’s demand has significantly increased due to the coronavirus pandemic. The shrunken revenues of major businesses led them to establish data center colocations. This helped in operations in a safe and cost-effective manner. The reduced IT expenditure offered by data center colocation is likely to bolster the global data center colocation market growth. Moreover, the increased scalability of data centers due to colocation is likely to stimulate growth for the market. Additionally, the higher reliability offered by colocation is likely to augment the market’s growth.
However, high maintenance costs, security, and government regulations may restrain the market’s growth during the forecast period.

Regional Insights-

North America to Dominate Market Due to Robust IT Infrastructure

North America is predicted to hold the largest data center colocation market share. The vast number of data centers and robust IT infrastructure are estimated to fuel the region’s market growth.
Asia Pacific is likely to attain skyrocketing growth in the coming years. The high colocation in Japan and the increasing number of IT firms are expected to foster growth for the market.
Europe is anticipated to gain robust growth due to the entrance of new market players.
Latin America is projected to witness growth due to the rising number of cloud providers.
The Middle East & Africa is expected to witness prominent growth due to expanding cloud-based services in remote locations.

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Report Coverage-

  • It covers the latest industry developments.
  • It highlights various segments of the market.
  • It provides a detailed assessment pertaining to each segment’s growth.
  • It showcases a comprehensive assessment of the COVID-19 pandemic’s impact.
  • It incorporates Porters’ Five Forces Analysis.

Competitive Landscape-

Major Players Adopt Partnerships to Garner Growth

The major players operating in the market focus on gaining a competitive edge by adopting ingenious growth strategies, including partnerships, collaborations, mergers, contracts, and others. For instance, Cyxtera’s 62 and Zadar Storage partnered in May 2020 to modify storage for the whole system to make it more cost-efficient and free of operational risks.

Industry Developments-

  • July 2020: Yotta Infrastructure unveiled world’s second-largest and Asia’s largest data center in Navi Mumbai.

List of Key Market Players-

  • Flexential
  • Lumen
  • Cyxtera
  • CoreSite
  • 21Vianet
  • Global Switch
  • KDDI Telehouse
  • GDS
  • Cyrusone
  • China Mobile
  • China Unicom
  • China Telecom
  • Digital Realty Trust
  • Equinix

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