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Data Center Colocation Market Is Anticipated to Progress At 13% CAGR Throughout 2019-2027

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Research Nester released a report titled Data Center Colocation Market: Global Demand Analysis & Opportunity Outlook 2027” which delivers the detailed overview of the data center colocation market in terms of market segmentation by type, industry and region.

Further, for the in-depth analysis, the report encompasses the industry growth drivers, restraints, supply and demand risk, market attractiveness, BPS analysis and Porter’s five force model.

The data center colocation market is anticipated to progress at 13% CAGR over the forecast period i.e. 2019-2027. The growth of the market is driven by increased adoption of data center colocation across numerous business verticals across the globe, on account of, the scalability and flexibility provided by the data centers to ensure data security along with the ability to recover data in case of any unseen adversities. Additionally, data center colocation provides an efficient, effective and high bandwidth connectivity at significantly lower price. These factors are estimated to support the growth of the market during the forecast period.

The market is segmented on the basis of type into retail and wholesale colocation, out of which, the retail colocation segment is anticipated to hold the major share during the forecast period on account of increased data center outsourcing among small businesses due to increased costs and space constraints to set up their own servers. Moreover, retail data centers are also increasingly adopted among large scale industries on the back of their ability to provide small setup at multiple geographical regions. Furthermore, rising need for standardized and secure digital infrastructure to keep records of the patients in an effective storage facility, is anticipated to drive the adoption of datacenter colocations in healthcare sector.

By region, the global data center colocation market is segmented into North America, Asia-Pacific, Latin America, Europe, Middle East and Africa, out of which, the market in North America holds the largest share on the back of presence of major players along with growing technological advancements leading to rise in number of data centers in the region. Furthermore, the market in Europe is expected to witness growth at an incremental rate owing to implementation of strict regulations coupled with increasing investments in the data center colocation market.

Gaining Acceptability Across Numerous Business Verticals

Data center colocation are gaining acceptability across numerous business verticals around the globe on the back of their ability to provide data management solutions within the regulations and increase IT operational efficiency of the organizations. Additionally, external data center support businesses with increased uptime and solutions, along with managing risks in a cost-effective manner. These are some of the notable factors that are anticipated to support the growth of the market over the forecast period.

However, hardware damage or loss of data, coupled with, the concerns related to inability of service providers to resolve the IT issues in a timely manner is estimated to hamper the adoption of data center colocations, thereby restraining the growth of the market.

This report also provides the existing competitive scenario of some of the key players of the data center colocation market which includes company profiling of key companies such as AT&T Inc (NYSE: T), ANEXIO Inc., Cyxtera Technologies, Inc., Cogent Communications(NASDAQ: CCOI), Inc., Coreix Limited, First Colo GmbH, GTT Communications, Inc (NYSE: GTT), Interxion (NYSE: INXN), Sentinel Data Centers and Sungard Availability Services.

The outlining enfolds key information of the companies which encompasses business overview, products and services, key financials and recent news and developments. On the whole, the report depicts detailed overview of the data center colocation market that is expected to help industry consultants, equipment manufacturers, existing players searching for expansion opportunities, new players searching possibilities and other stakeholders to align their market centric strategies according to the ongoing and expected trends in the future.     


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