The global colocation market is anticipated to grow at a CAGR of 8.7% during the forecast period (2022-2028). Organizations are turning to colocation data centres to extend their network’s reach and capabilities. As data centres have the computing resources to handle massive data analytics workloads, particularly in the case of software-defined data centres (SDDCs),that may provide scalable virtualized server options at a low cost. Furthermore, trends toward colocation products that attempt to seamlessly integrate hyperscale and edge data centres in order to support new applications for AI, Internet of Things, autonomous vehicles, big data, and so on significantly cater to market growth.
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The market is being driven by the increasing adoption of cloud services. Cloud services have supplied an increasing share of data-center use over the last five years, while colocation or in-house systems have remained roughly constant in comparison. Customers can benefit from a SLA of 100%uptime and concentrate on their core business rather than managing a data centre. The provider of cloud services supplies and manages hardware infrastructure, such as servers, storage, and network components. For instance, in 2019, according to CBRE, U.S. businesses paid a record-high 396.4 megawatts of power in the country’s largest data-center markets up 33% from 2018. This meets a significant portion of the market demand for data centre collocation and that in turn rive the colocation market growth.
The continued implementation of various government regulations and complaints stimulates demand. For instance, the implementation of GDPR in the European Union, as well as the potential EUR 20 million 1 penalties for noncompliance, has heightened companies’ focus on GDPR compliance. For instance, in April 2019, Cyxtera Technologies the opened a new data centre in Frankfurt at its annual user conference, CyxteraCon, in order to meet growing customer demand for the company’s secure colocation and infrastructure solutions in the changing GDPR landscape.
Furthermore, as a result of the COVID-19 pandemic, colocation is becoming an increasingly important part of staying connected, collaborating, and moving forward in a cost-effective and safe manner. Data is being used in healthcare to study patient outcomes, and artificial intelligence is being used to forecast disease spread. During this COVID-19, Telehouse New York colocation centres with robust network connectivity are providing solutions among enterprises, including healthcare, in New Jersey and New York. As a result, the Telehouse Tier 3 New York Teleport data centre serves as an important link for managed services capabilities and network connectivity. Moreover, during the COVID-19, QTS reported significant increases in the use of SDP (Service Delivery Platform), that enables customers to manage and optimise data centre infrastructure remotely via full digitization, meeting critical market demand. For instance, in May 2020, QTS Realty Trust announced an expanded hybrid colocation services agreement with Abacus Solutions, an IBM I marked managed service cloud provider to help with growth.
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Competitive Landscape-
AT&T, Inc., Cyrusone Inc., Cyxtera Technologies, Inc., Digital Realty Trust, Inc., Dupont Fabros Technology, Inc., Equinix, Inc., Global Switch, NTT Communications Corp.,and Level 3 Communications Inc., among others.
By Type
- Retail colocation
- Wholesale colocation
By Indication
- Small and Medium-Sized Enterprises (SMEs)
- Large Enterprises
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Scope of the Report
The research study analyzes the Global Colocation industry from 360-degree analysis of the market thoroughly delivering insights into the market for better business decisions, considering multiple aspects some of which are listed below as:
Recent Developments
o Market Overview and growth analysis
o Import and Export Overview
o Volume Analysis
o Current Market Trends and Future Outlook
o Market Opportunistic and Attractive Investment Segment
Geographic Coverage
o North America Market Size and/or Volume
o Latin America Market Size and/or Volume
o Europe Market Size and/or Volume
o Asia-Pacific Market Size and/or Volume
o Rest of the world Market Size and/or Volume
Key Questions Answered by Global Colocation Market Report
1. What was the Global Colocation Market size in 2019 and 2021; what are the estimated growth trends and market forecast (2022-2028).
- What will be the CAGR of Global Colocation Market during the forecast period (2022-2028)?
3. Which segments (product type/applications/end-user) were most attractive for investments in 2022? How these segments are expected to grow during the forecast period (2022-2028).
4. Which manufacturer/vendor/players in the Global Colocation Market was the market leader in 2021?
5. Overview on the existing product portfolio, products in the pipeline, and strategic initiatives taken by key vendors in the market.
The report covers the following objectives:
- Proliferation and maturation of trade in the Global Colocation market.
- The market share of the Global Colocation market, supply and demand ratio, growth revenue, supply chain analysis, and business overview.
- Current and future market trends that are influencing the growth opportunities and growth rate of the Global Colocation market.
- Feasibility study, new market insights, company profiles, investment return, revenue (value), and consumption (volume) of the Global Colocation market.
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