Data centre colocation Market By Type (Retail Colocation, Wholesale Colocation), By Deployment Type (Cloud, On-Premises), By End-User (BFSI, IT and telecom, Government and defense, Healthcare), and Region (North America, Europe, Asia Pacific, Middle East and Africa, and South America) Global Forecast 2019 to 2029.

Datacentre colocation includes the method of renting out network bandwidth, physical space, and other organizational resources from the existing datacentre. It facilitates the sharing of current data center resources for hosting and deploying data center solutions for peripheral organizations. The increasing need to move, consolidate, or expand data centers is inspiring businesses to switch towards colocation services for enhancing security and operational expenses, along with reducing costs.

The global data centre colocation market size is expected to reach close to $202.71 billion by 2029 with an annualized growth rate of 15.7% through the projected period.

The increasing need for efficient systems due to the data traffic for handling enormous data are enabling businesses to lease their IT space for storage devices and servers, thus, driving the industry growth. In 2019, the estimated number of internet users globally was around 4.5 billion. The increasing adoption of wearable cloud computing technologies and smartphone applications is driving the demand for real-time data processing, access, and storage facilities. Datacentre systems integrated with networked capabilities, IoT, technology, and sensors, delivering enhanced data proliferation. Organizations are heavily investing to handle such enormous data through in-house datacentres.

Growing data center complexities and decrease in the overall IT cost is expected to drive the Datacentre Colocation Market

In the past few years, facility modernization and new projects are transmuting the IT infrastructure structure into highly automated facilities. This has given rise to a growth in the number and size of electrical devices within the IT environment along with overall costs associated in management, installation, and maintenance of large-scale facilities. Organizations rely on such colocation service providers to reduce expenses. The industry players within the datacentre colocation assist businesses by providing IT space and various services that include asset and maintenance management and decreasing extra expenses in hiring IT personnel.

The data centre colocation market players are involved in designing customized solutions that are particularly required for the businesses. For example, Schneider Electric SE provides customized DCIM, digital services, critical facilities management, as we as integrated IT solutions, enclosures, racks, UPS, rack power distribution, etc. Moreover, the key technology providers are collaborating with colocation companies to offer an effective supply of IT solutions and devices.

Large enterprises are anticipated to have the largest share for datacentre colocation market

The end-users of datacentre colocation comprise SMEs and large enterprises. The large enterprises are anticipated to hold the largest share over the forecast period since they are inclined toward implementing colocation solutions. Moreover, they can afford to rent large spaces and meet their computational and power necessities. Colocation services enable large organizations to have control over the datacentre infrastructure. Also, these services help in business continuity owing to their disaster recovery advantages.

North America will lead the growth in this market

North America is projected to possess the largest share and continue to hold its position over the forecast period. This region is advancing in its market growth owing to the existence of large industry players operating within the datacentre colocation industry and rapid implementation of colocation services due to the availability of wide-spread solutions. On the other hand, the Asia Pacific region is likely to witness strong growth for the datacentre colocation market from 2019 to 2025. This is predominantly due to rising volumes of datacentre traffics within nations such as China, Australia, and India.

Key Market Players

•    NTT Communication Corporation
•    Digital Realty Trust, Inc.
•    Cyxtera Technologies, Inc.
•     CyrusOne Inc.
•    Equinix, Inc.
•    Global Switch
•    AT&T, Inc.
•    CoreSite Realty Corporation
•    China Telecom Corporation Limited
•    Verizon Enterprise Solutions, Inc.
•    Others

data centre colocation market Scope

Key Segment Of The data centre colocation market

By Type (USD Billion)            
    •    Retail Colocation, 
    •    Wholesale Colocation
By Deployment Type, (USD Billion)
    •    Cloud 
    •    On-Premises
By End-User, (USD Billion)
    •    BFSI, 
    •    IT and telecom, 
    •    Government and defense
    •    Healthcare
By Organization Size, (USD Billion)
    •    Sm Es
    •    Large Enterprises
Regional Overview, (USD Billion)
    North America
      •    US
      •    Canada
    Europe
      •    Germany
      •    France
      •    UK
      •    Rest of Europe
    Asia Pacific
      •    China
      •    India
      •    Japan
      •    Rest of Asia Pacific
    South America
      •    Mexico
      •    Brazil
      •    Rest of South America
    Middle East and South Africa