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Feb
08

Global Data Center Colocation Market Status and Prospect, Forecast 2018 to 2026

Global Data Center Colocation Market Status and Prospect, Forecast 2018 to 2026

Data center colocation is a facility provided for enterprises and businesses where they can rent space for servers and other computing hardware. Data centers are equipped with power back up facility, IP system, and a cooling unit. Sometimes when a business or enterprise cannot have his own data center colocation, they buy the space in terms of rack or cabinets from other colocation data centers.

Increasing need to reduce capital expenditure and operational cost is a major factor boosting demand for data center colocation. In addition, availability of wide option especially for small companies, security of information & required power backup, and full control of server are some other factors expected to fuel growth of the global data center colocation market.

High initial setup cost is a major challenge restraining growth of the global data center colocation market. Additionally, use of cloud based services, maintenance of the data center and updating a large computing facility, and location of data center are other challenges expected to hamper growth of the global data center colocation market over the forecast period.

The global data center colocation market is segmented by type, end user, vertical and on the basis of region the global data center colocation market is segmented as North America, Europe, Asia Pacific, Latin America, and Middle East.

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North America market is a dominant player in the global data center colocation market and accounts for largest market share in terms of revenue as compared to that of markets in other regions. This is attributed to adoption of data center from various industries such as government, BFSI, and others, and presence of leading data center service providers in the market. The market in Asia Pacific is projected to witness fastest growth in terms of revenue, owing to rapid development of telecommunication & IT sector in emerging economies in this region. Europe market accounts for the second largest revenue share contribution to the global data center colocation market followed by markets in Latin America, Asia Pacific and Middle East & Africa respectively.

Prominent market players operating in the global colocation market are Equinix, Inc., Sungard Availability Services LP, Verizon Communication Inc., NTT Data Corporation, DuPont Fabros Technology, Inc., NaviSite, Inc., InterXion Holding N.V., CenturyLink, Inc., and KDDI Corporation

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