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The global colocation datacenter market size is estimated to grow from USD 42.40 billion in 2019 to USD 170.56 billion by 2030, representing a CAGR of 13.6% during the forecast period 2019-2030. A colocation data center or the multi-tenant data centers are generally, operated by third parties. A collocation data center service provider provides, mainly, infrastructure, cooling, bandwidth, whereas, the client provides storage and servers. The data center facility is either leased by the room or cabinets. The growing number of data volume and the high cost involved in the development and maintenance of the datacenter are some of the key factors that are supporting the growth of the colocation data center market.
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In addition, the rising demand for reducing the carbon footprint and increasing demand for hybrid cloud and virtualization technologies is, further, propelling the growth of the collocation data center market. However, high setup costs, data security concerns and stringent government policies and regulations are hindering the growth of the market.
At present, the wholesale colocation datacenters are being preferred by the large enterprises and are witnessing significant growth in the developed and developing regions of Asia Pacific, Europe and North America. The need for easy scalability and secure datacenter is driving the growth of the wholesale datacenters. Digital Realty Trust is the leading wholesale colocation datacenter service providers.
The colocation datacenter market by applications is segmented into BFSI, Healthcare, Ecommerce, IT & Telecom and others. The transition of the traditional banking systems to the digital banking systems is supporting the growth of the market. In 2019, BFSI sector held the maximum share (about one-third) in the colocation datacenter market.
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The global colocation datacenter market has been segmented into four regions, namely, North America, Europe, Asia-Pacific and the Rest of the world. Currently, Asia -Pacific is the fastest growing colocation datacenter market and it is expected to do so in near future.
The ‘Colocation Datacenter Market, Global Opportunity and Trend Analysis, 2019-2030’ report features an extensive study of the current landscape of industry players that are offering colocation datacenter services. Amongst other elements, the report features: