Information Communication and Technology Reports Data Center Colocation Market
Data Center Colocation Market expected to grow from
USD 31.52 Billion in 2017 to USD 62.30 Billion by 2022
According to a new market research report” Data Center Colocation Market by Type (Retail and Wholesale), End-
user (SMES and Large Enterprise, Industry (BFSI, IT & Telecom, Government & Defense, Healthcare, Research &
Academic, Retail, Energy and Manufacturing), and Region - Global Forecast to 2022", published by
MarketsandMarkets™, The data center colocation market is expected to grow from USD 31.52 Billion in 2017 to
USD 62.30 Billion by 2022, at a Compound Annual Growth Rate (CAGR) of 14.60%.
The major forces driving the data center colocation market are the requirement for reliability, security and
scalability of infrastructure, growing data center complexities, and the need for reduction of overall IT costs. The
data center colocation market is expected to be growing rapidly because of the increasing number of users opting
for cost-effective and energy-efficient data center solutions.
Browse and in-depth TOC on “Data Center Colocation Market”
52 - Tables
69 - Figures
137 - Pages
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Wholesale colocation type is expected to grow at the highest CAGR
The market, by type, has been segmented into retail colocation and wholesale colocation. Wholesale colocation is
expected to witness the highest CAGR during the forecast period of 2017–2022. The wholesale colocation provides
a large IT space, along with cooling and power infrastructure. Additionally, it provides the users with benefits, such
as economics of scale by reduced power and cooling cost, high bandwidth, and reduced total cost of ownership.
These benefits provided by the wholesale colocation are anticipated to further drive the data center colocation
market during the forecast period.
Small and Medium-Sized Enterprises (SMEs) are expected to grow at the highest rate during the forecast period
The market, by end-user, has been segmented into SMEs and large enterprises. SMEs have lesser infrastructure
autonomy requirements, thus they are increasingly adopting retail colocation services. Data center colocation
provides SMEs with security and flexibility, which is expected to fuel their demand.
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North America is expected to dominate the data center colocation market during the forecast period
The global data center colocation market is segmented on the basis of regions into North America, Asia Pacific
(APAC), Europe, Middle East and Africa (MEA), and Latin America. North America is expected to hold the largest
share of the data center colocation market in 2017, owing to the presence of a large number of data centers across
various industries in this region. The market in APAC is expected to grow at the highest CAGR between 2017 and
2022. The primary driving forces for this growth are the increasing data center traffic and the surge in usage of
mobile devices in this region.