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Global Colocation Data Center Market to reach USD 154.83 billion by the end of 2029.

Global Colocation Data Center Market Size study & Forecast, by Type (Retail, Wholesale), by Enterprise (SMEs, Large Enterprises), by End-use (Retail, BFSI, IT & Telecom, Healthcare, Media & Entertainment, Others) and Regional Analysis, 2022-2029

Product Code: ICTICTI-78566062
Publish Date: 9-05-2023
Page: 200

Global Colocation Data Center Market is valued at approximately USD 57.02 billion in 2021 and is anticipated to grow with a healthy growth rate of more than 13.30% over the forecast period 2022-2029. A colocation data center market refers to a facility where businesses can rent space for their IT equipment, including servers, storage devices, and networking equipment. The data center provides a secure and reliable environment with power, cooling, and internet connectivity to ensure the smooth operation of the equipment. In a colocation data center, businesses typically rent a specific amount of space, such as a rack or a cage, and manage their own equipment. The data center provider is responsible for the physical infrastructure, including the building, power, cooling, and security. The major driving factors for the Global Colocation Data Center Market are increasing demand for data storage and the growing adoption of cloud adoption.

The demand of data centres and colocation services has increased due to the increasing volume of data coming from social media and Over-The-Top (OTT) networks. Social media users are becoming more and more engaged, which is resulting in an exponential increase in the amount of data being collected on these platforms. For instance, in 2020 there were roughly 2.74 billion monthly active Facebook users, up from 2.38 billion in 2019. The amount of people using social media is predicted to increase even more in the upcoming years, which is predicted to increase demand for colocation facilities. The Covid-19 pandemic has also caused a rise in OTT and streaming service usage, which has increased data volumes and is anticipated to drive market growth. Along with this, data generation is rising which is driving the growth of the colocation data centers over the forecast period. For instance, according to a report by IDC, the global data sphere (the amount of data created, captured, and replicated each year) is projected to grow from 33 zettabytes in 2018 to 175 zettabytes by 2025. Similarly, in 2019, IBM announced that it had built the world’s highest-capacity tape storage system, capable of storing 330 terabytes of uncompressed data on a single cartridge. Moreover, Green initiatives by government and rising digital transformation is creating lucrative growth opportunity for the market over the forecast period 2022-2029. However, the high cost of Colocation Data Center stifles market growth throughout the forecast period of 2022-2029.

The key regions considered for the Global Colocation Data Center Market study includes Asia Pacific, North America, Europe, Latin America, and Rest of the World. North America is the largest colocation data center market, with the United States being the primary contributor. The region has a mature market, with established players such as Equinix, Digital Realty, and CyrusOne. There is also high demand for hyperscale data centers in this region due to the presence of major tech companies. Asia Pacific is the fastest-growing colocation data center market, with China, Japan, and Singapore being the primary contributors. The region has a mix of both mature and emerging markets, with high demand for cloud services and digital transformation driving growth. There is also a growing trend towards edge computing, with providers expanding into Tier-2 and Tier-3 cities.

Major market player included in this report are:
China Telecom Corp. Ltd.
CoreSite Realty Corp.
CyrusOne, Inc
Cyxtera Technologies, Inc.
Digital Realty Trust, Inc.
Equinix, Inc.
Global Switch
NaviSite
NTT Communications Corp.
Telehouse

Recent Developments in the Market:
Ø In February 2020, to meet the demand from the government’s plans to create smart cities and the interconnection needs of local customers, Equinix, Inc. recently announced the opening of its data centre in Melbourne, Australia.
Global Colocation Data Center Market Report Scope:
Historical Data 2019-2020-2021
Base Year for Estimation 2021
Forecast period 2022-2029
Report Coverage Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
Segments Covered Type, Enterprise, End-use, Region
Regional Scope North America; Europe; Asia Pacific; Latin America; Rest of the World
Customization Scope Free report customization (equivalent up to 8 analyst’s working hours) with purchase. Addition or alteration to country, regional & segment scope*

The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values to the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within countries involved in the study.

The report also caters detailed information about the crucial aspects such as driving factors & challenges which will define the future growth of the market. Additionally, it also incorporates potential opportunities in micro markets for stakeholders to invest along with the detailed analysis of competitive landscape and product offerings of key players. The detailed segments and sub-segment of the market are explained below:
By Type:
Retail
Wholesale
By Enterprise:
SMEs
Large Enterprises
By End-use:
Retail
BFSI
IT & Telecom
Healthcare
Media & Entertainment
Others

By Region:
North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
Rest of the World

Chapter 1. Executive Summary
1.1. Market Snapshot
1.2. Global & Segmental Market Estimates & Forecasts, 2019-2029 (USD Billion)
1.2.1. Colocation Data Center Market, by Region, 2019-2029 (USD Billion)
1.2.2. Colocation Data Center Market, by Type, 2019-2029 (USD Billion)
1.2.3. Colocation Data Center Market, by Enterprise, 2019-2029 (USD Billion)
1.2.4. Colocation Data Center Market, by End-use, 2019-2029 (USD Billion)
1.3. Key Trends
1.4. Estimation Methodology
1.5. Research Assumption
Chapter 2. Global Colocation Data Center Market Definition and Scope
2.1. Objective of the Study
2.2. Market Definition & Scope
2.2.1. Scope of the Study
2.2.2. Industry Evolution
2.3. Years Considered for the Study
2.4. Currency Conversion Rates
Chapter 3. Global Colocation Data Center Market Dynamics
3.1. Colocation Data Center Market Impact Analysis (2019-2029)
3.1.1. Market Drivers
3.1.1.1. Increasing demand for data storage
3.1.1.2. Growing adoption of cloud adoption
3.1.2. Market Challenges
3.1.2.1. High Cost of Colocation Data Center
3.1.3. Market Opportunities
3.1.3.1. Green initiatives by government
3.1.3.2. Rising digital transformation
Chapter 4. Global Colocation Data Center Market Industry Analysis
4.1. Porter’s 5 Force Model
4.1.1. Bargaining Power of Suppliers
4.1.2. Bargaining Power of Buyers
4.1.3. Threat of New Entrants
4.1.4. Threat of Substitutes
4.1.5. Competitive Rivalry
4.2. Futuristic Approach to Porter’s 5 Force Model (2019-2029)
4.3. PEST Analysis
4.3.1. Political
4.3.2. Economical
4.3.3. Social
4.3.4. Technological
4.4. Investment Adoption Model
4.5. Analyst Recommendation & Conclusion
4.6. Top investment opportunity
4.7. Top winning strategies
Chapter 5. Risk Assessment: COVID-19 Impact
5.1. Assessment of the overall impact of COVID-19 on the industry
5.2. Pre COVID-19 and post COVID-19 Market scenario
Chapter 6. Global Colocation Data Center Market, by Type
6.1. Market Snapshot
6.2. Global Colocation Data Center Market by Type, Performance – Potential Analysis
6.3. Global Colocation Data Center Market Estimates & Forecasts by Type 2019-2029 (USD Billion)
6.4. Colocation Data Center Market, Sub Segment Analysis
6.4.1. Retail
6.4.2. Wholesale
Chapter 7. Global Colocation Data Center Market, by Enterprise
7.1. Market Snapshot
7.2. Global Colocation Data Center Market by Enterprise, Performance – Potential Analysis
7.3. Global Colocation Data Center Market Estimates & Forecasts by Enterprise 2019-2029 (USD Billion)
7.4. Colocation Data Center Market, Sub Segment Analysis
7.4.1. SMEs
7.4.2. Large Enterprises
Chapter 8. Global Colocation Data Center Market, by End-use
8.1. Market Snapshot
8.2. Global Colocation Data Center Market by End-use, Performance – Potential Analysis
8.3. Global Colocation Data Center Market Estimates & Forecasts by End-use 2019-2029 (USD Billion)
8.4. Colocation Data Center Market, Sub Segment Analysis
8.4.1. Retail
8.4.2. BFSI
8.4.3. IT & Telecom
8.4.4. Healthcare
8.4.5. Media & Entertainment
8.4.6. Others
Chapter 9. Global Colocation Data Center Market, Regional Analysis
9.1. Colocation Data Center Market, Regional Market Snapshot
9.2. North America Colocation Data Center Market
9.2.1. U.S. Colocation Data Center Market
9.2.1.1. Type breakdown estimates & forecasts, 2019-2029
9.2.1.2. Enterprise breakdown estimates & forecasts, 2019-2029
9.2.1.3. End-use breakdown estimates & forecasts, 2019-2029
9.2.2. Canada Colocation Data Center Market
9.3. Europe Colocation Data Center Market Snapshot
9.3.1. U.K. Colocation Data Center Market
9.3.2. Germany Colocation Data Center Market
9.3.3. France Colocation Data Center Market
9.3.4. Spain Colocation Data Center Market
9.3.5. Italy Colocation Data Center Market
9.3.6. Rest of Europe Colocation Data Center Market
9.4. Asia-Pacific Colocation Data Center Market Snapshot
9.4.1. China Colocation Data Center Market
9.4.2. India Colocation Data Center Market
9.4.3. Japan Colocation Data Center Market
9.4.4. Australia Colocation Data Center Market
9.4.5. South Korea Colocation Data Center Market
9.4.6. Rest of Asia Pacific Colocation Data Center Market
9.5. Latin America Colocation Data Center Market Snapshot
9.5.1. Brazil Colocation Data Center Market
9.5.2. Mexico Colocation Data Center Market
9.6. Rest of The World Colocation Data Center Market

Chapter 10. Competitive Intelligence
10.1. Top Market Strategies
10.2. Company Profiles
10.2.1. China Telecom Corp. Ltd.
10.2.1.1. Key Information
10.2.1.2. Overview
10.2.1.3. Financial (Subject to Data Availability)
10.2.1.4. Product Summary
10.2.1.5. Recent Developments
10.2.2. CoreSite Realty Corp.
10.2.3. CyrusOne, Inc.
10.2.4. Cyxtera Technologies, Inc.
10.2.5. Digital Realty Trust, Inc.
10.2.6. Equinix, Inc.
10.2.7. Global Switch
10.2.8. NaviSite
10.2.9. NTT Communications Corp.
10.2.10. Telehouse
Chapter 11. Research Process
11.1. Research Process
11.1.1. Data Mining
11.1.2. Analysis
11.1.3. Market Estimation
11.1.4. Validation
11.1.5. Publishing
11.2. Research Attributes
11.3. Research Assumption

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Critical elements of methodology employed for all our studies include:
Data Collection:
To determine the appropriate methods of data collection based on the research objectives, we consider both primary and secondary sources. Primary data collection involves gathering information directly from various industry experts in core and related fields, original equipment manufacturers (OEMs), vendors, suppliers, technology developers, alliances, and organizations. These sources encompass all segments of the value chain within the specific industry. Through in-depth interviews, we engage with key industry participants, subject-matter experts, C-level executives of major market players, industry consultants, and other relevant experts. This allows us to obtain and validate critical qualitative and quantitative information while evaluating market prospects. AI and Big Data are instrumental in our primary research, providing us with powerful tools to collect, analyze, and derive insights from data efficiently. These technologies contribute to the advancement of research methodologies, enabling us to make data-driven decisions and uncover valuable findings.
In addition to primary sources, we extensively utilize secondary sources to enhance our research. These include directories, databases, journals focusing on related industries, company newsletters, and information portals such as Bloomberg, D&B Hoovers, and Factiva. These secondary sources enable us to identify and gather valuable information for our comprehensive, technical, market-oriented, and commercial study of the market. Additionally, we utilize AI algorithms to automate the collection of vast amounts of data from various sources such as surveys, social media platforms, online transactions, and web scraping. And employ Big Data technologies for storage and processing of large datasets, ensuring that no valuable information is missed during the data collection process.
Data Analysis:
Our team of experts carefully examine the gathered data using suitable statistical techniques and qualitative analysis methods. For quantitative analysis, we employ descriptive statistics, regression analysis, and other advanced statistical methods, depending on the characteristics of the data. This analysis may also incorporate the utilization of AI tools and big data analysis techniques to extract meaningful insights.
To ensure the accuracy and reliability of our findings, we extensively leverage data science techniques, which help us minimize discrepancies and uncertainties in our analysis. We employ Data Science to clean and preprocess the data, ensuring its quality and reliability. This involves handling missing data, removing outliers, standardizing variables, and transforming data into suitable formats for analysis. The application of data science techniques enhances our accuracy, efficiency, and depth of analysis, enabling us to stay competitive in dynamic market environments.
Market Size Estimation:
Our proprietary data tools play a crucial role in deriving our market estimates and forecasts. Each study involves the creation of a unique and customized model. The model incorporates the gathered information on market dynamics, technology landscape, application development, and pricing trends. AI techniques, such as machine learning and deep learning, aid us to analyze patterns within the data to identify correlations, trends, and relationships. By recognizing patterns in consumer behavior, purchasing habits, or market dynamics, our AI algorithms aid us in more precise estimations of market size. These factors are simultaneously analyzed within the model, allowing for a comprehensive assessment. To quantify their impact over the forecast period, correlation, regression, and time series analysis are employed.
To estimate and validate the market size, we employ both top-down and bottom-up approaches. The preference is given to a bottom-up approach, where key regional markets are analyzed as separate entities. This data is then integrated to obtain global estimates. This approach is crucial as it provides a deep understanding of the industry and helps minimize errors.
In our forecasting process, we consider various parameters such as economic tools, technological analysis, industry experience, and domain expertise. By taking all these factors into account, we strive to produce accurate and reliable market forecasts. When forecasting, we take into consideration several parameters, which include:
Market driving trends and favorable economic conditions
Restraints and challenges that are expected to be encountered during the forecast period.
Anticipated opportunities for growth and development
Technological advancements and projected developments in the market
Consumer spending trends and dynamics
Shifts in consumer preferences and behaviors.
The current state of raw materials and trends in supply versus pricing
Regulatory landscape and expected changes or developments.
The existing capacity in the market and any expected additions or expansions up to the end of the forecast period.
To assess the market impact of these parameters, we assign weights to each one and utilize weighted average analysis. This process allows us to quantify their influence on the market and derive an expected growth rate for the forecasted period. By considering these various factors and applying a weighted analysis approach, we strive to provide accurate and reliable market forecasts.
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