The data center market has had some fantastic growth in 2017 with major players looking ahead for the future trends regarding cloud policy, Cloud as as Service, and a greater migration towards the Internet of Things. Here is our ‘Top Five Emerging Data Centre Trends’:
Due to its global footprint, energy consumption, and dependency and interaction
with data, the global data center market is disproportionately impacted by a number
of global policy and economic trends. These include issues related to taxation,
energy, pricing and regulation, planning laws, data sovereignty and data protection.
Uncertainty in relation to Brexit and data protection regimes (such as GDPR
and privacy shield) are raising serious questions within the industry (JLL, 2017).
2. The Third IT Platform
Continued growth and adoption of third IT platform technologies (IDC,2011) i.e. social
media, mobile, big data/analytics, IOT and cloud computing are driving data
volumes, IP traffic, cloud storage, and processing (Cisco, 2016; Gartner, 2016; JLL,
2017). This is driving the need for hyperscale data centers and shifting market
growth away from enterprise data centers and colocation data centers to the hyperscale
segment of the market (JLL, 2017; IDC, 2017). By 2020, cloud workloads are
forecast to represent 92% of all data center workloads (Cisco, 2016).
In addition to consolidation around a small number of large hyperscale data centers,
a combination of technology innovation combined with M&A activity will consolidate
the number of market participants, data centers and square footage occupied
by data center (Gartner, 2016; JLL, 2016; IDC, 2017)
4. Technology-related Catalysts
General cloud and as-a-service readiness, greater data center virtualization, softwar
defined everything, interconnect fabrics, edge and fog computing, modular
and prefabricated data centers and related technologies will all impact IT operations,
corporate strategy and planning and, as a result, data center investments
(Cisco 2016; Gartner, 2016).
5. The Rise of the Rest
While North America and the key international data center hubs in Dublin, Montreal
and Tokyo will continue to expand (JLL, 2017), there will be faster growth in
emerging markets and Asia-Pacific, in particular. As well as the domestic growth
of Chinese companies such as Baidu, Apple and Microsoft have committed to investing
in regional mega-centers in emerging markets (ZdNet, 2017; Fortune, 2016).
Interested in learning more? Download our free 2017 Data Center Market Briefing Paper.
This market briefing provides an overview of the global data center market, segmenting the market by both datacenter type and the individual hardware components that make up a data center. It outlines the factors influencing adoption of data centers worldwide and investigates the different factors changing the dynamics of this market, drawing on publicly available desk research from industry analysis to predict where this market will be in 2020.