- Wholesale Colocation
- Retail Colocation
Data Center Colocation Market size was valued at USD 52,891.2 million in 2022 and is poised to grow at a significant CAGR of 14.1% from 2023-2029. The colocation of data centers is a service that allows businesses and organizations to rent space for servers and other computer equipment. Data center colocation is in high demand since it helps businesses with data center administration, planning, operational strategies, risk management, and more. They have a cooling unit, an IP system, and a backup power supply. When a firm or institution is unable to construct its own colocation data center, it purchases space from other colocation data centers in the form of cabinets or racks. Colocation data centers are less expensive, more dependable, easily scalable, may be located near consumers, and require fewer technical staff than previously utilized data centers. The rapid proliferation of structured and unstructured data and growing demand for cloud computing are expected to fuel the growth of the global data center colocation market throughout the forecast period. The growing capital expenditure involved with owning and maintaining large computing facilities is another reason expected to promote the growth of colocation data centers. Predictable pricing, high reliability, simple scalability, and overall lower costs are some of the key factors influencing colocation demand, which is expected to continue over the forecast period. As edge computing applications take off, high-capacity networks are becoming increasingly crucial. Due to network latency issues and the requirement for instantaneous real-time insights, multi-locational hybrid data architectures have emerged. Another reason driving the increased need for data centre colocation is the continued adoption of various disruptive technologies, such as cloud computing, IoT, self-driving vehicles, and advanced robots. Because of the continual development of these technologies and the subsequent adoption of smart devices, lower latency has been more in demand. As a result, colocation allows cloud service providers to place their data centre facilities adjacent to their customers, resulting in high bandwidth and low latency data transfer.
Data Center Colocation Market Key Developments:
In December 2022, Equinix, Inc., a significant digital infrastructure company, announced plans to join the South African market with a USD160 million data centre investment, increasing its present footprint on the African continent in Nigeria, Ghana, and Côte d'Ivoire. The next data centre is expected to open in 2024. JN1, a new 4.0 Megawatt data centre, will provide over 20,000 gross square feet of colocation space as well as 690+ cabinets.
Data Center Colocation Market Summary
Study Period
2024-2030
Base Year
2023
CAGR
14.1%
Largest Market
Asia Pacific
Fastest Growing Market
North America
Data Center Colocation Market Dynamics
Due to the rapid expansion of edge computing applications, there is a huge increase in demand for high-capacity networks. Furthermore, the requirement for quick real-time insights, along with the problems caused by network latency, prompted the creation of multi-locational hybrid data structures.These architectural concepts were developed to address these issues, and it is now critical to transport data between data centers or private exchange points. Furthermore, as organizations progressively move their activities to the cloud, there is a greater need for additional bandwidth to support quicker data processing rates and uninterrupted data transfer. The advancement of new technologies such as 5G and immersive technologies such as augmented reality, virtual reality, and artificial intelligence has also contributed to the allocation of larger bandwidths for data exchange across organizations.
Asia-Pacific Got Significant Share
Data Center Colocation Market
The Global Data Center Colocation Market in Asia Pacific held the highest share in 2022 and it is expected to grow at a significant rate in the coming years. The surging need for data storage, especially to secure and safeguard information, is likely to contribute significantly to colocation demand. The growing adoption of connected technologies in Europe is driving the demand for interconnection hubs, thanks to cloud-friendly infrastructure and stringent data compliance regulations.
Latin America
Europe
Asia Pacific
Middle East
North America
Key Features of the Reports
- The data center cooling market report provides granular level information about the market size, regional market share, historic market (2018 to 2022) and forecast (2023 to 2029)
- The report covers in-detail insights about the competitor’s overview, company share analysis, key market developments, and their key strategies
- The report outlines drivers, restraints, unmet needs, and trends that are currently affecting the market
- The report tracks recent innovations, key developments and startup’s details that are actively working in the market
- The report provides plethora of information about market entry strategies, regulatory framework and reimbursement scenario
- The report analyses the impact of socio-political environment through PESTLE Analysis and competition through Porter’s Five Force Analysis in addition to recent technology advancements and innovations in the market
Data Center Colocation Market Segmentation
By Solution Type
By Organization Size
- Small and Medium Enterprises
- Large Enterprises
By End User
- Banking and Financial Services
- Manufacturing
- IT and Telecom
- Healthcare & Lifesciences
- Government
- Entertainment and Media
- Other End-users
By Geography
- North America
- Europe
- The Asia Pacific
- Latin America
- MEA
LOCATION
Geography
Frequently Asked Questions
The retail type segment dominated the data center colocation market with a significant share and is estimated to retain the leading position throughout the forecast period.
Asia Pacific was the dominant regional market for the data center colocation market. The region is estimated to expand further at a significant CAGR from 2023 to 2029 due to the strong presence of several major cloud service providers and SMEs deploying colocation data centers.
Some key players operating in the data center colocation market include Cyxtera Technologies, Inc.; Global Switch; CyrusOne, Inc.; Telehouse; NTT Communications Corporation; Digital Realty Trust, Inc.; NaviSite; and Equinix, Inc.
1. Executive Summary
2. Global Data Center Colocation Market Introduction
2.1. Global Data Center Colocation Market – Taxonomy
2.2. Global Data Center Colocation Market –Definitions
2.2.1. Solution Type
2.2.2. Organization Size
2.2.3. End-user
2.2.4. Region
3. Global Data Center Colocation Market Dynamics
3.1. Drivers
3.2. Restraints
3.3. Opportunities/Unmet Needs of the Market
3.4. Trends
3.5. Global Data Center Colocation Market Dynamic Factors - Impact Analysis
3.6. Impact of COVID 19 on The Market
3.7. Three Forecast Scenarios - Pessimistic, Conservative and Opportunistic
3.8. Mapping Market Players Activities
3.9. Recent Key Developments
3.10. Financial Status of the Market Players
3.11. Recent Acquisitions, Collaborations and Mergers
4. Global Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029
4.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
4.2. Year-over-Year (Y-o-Y) Growth Analysis (%)
4.3. Market Opportunity Analysis
5. Global Data Center Colocation Market Forecast, By Solution Type, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
5.1. Wholesale Colocation
5.1.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
5.1.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
5.1.3. Market Opportunity Analysis
5.2. Retail Colocation
5.2.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
5.2.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
5.2.3. Market Opportunity Analysis
6. Global Data Center Colocation Market Forecast, By Organization Size, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
6.1. Small and Medium Enterprises
6.1.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
6.1.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
6.1.3. Market Opportunity Analysis
6.2. Large Enterprises
6.2.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
6.2.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
6.2.3. Market Opportunity Analysis
7. Global Data Center Colocation Market Forecast, By End-user, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.1. Banking and Financial Services
7.1.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.1.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.1.3. Market Opportunity Analysis
7.2. Manufacturing
7.2.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.2.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.2.3. Market Opportunity Analysis
7.3. IT and Telecom
7.3.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.3.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.3.3. Market Opportunity Analysis
7.4. Healthcare & Lifesciences
7.4.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.4.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.4.3. Market Opportunity Analysis
7.5. Government
7.5.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.5.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.5.3. Market Opportunity Analysis
7.6. Entertainment and Media
7.6.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.6.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.6.3. Market Opportunity Analysis
7.7. Other End-users
7.7.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
7.7.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
7.7.3. Market Opportunity Analysis
8. Global Data Center Colocation Market Forecast, By Region, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.1. North America
8.1.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.1.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
8.1.3. Market Opportunity Analysis
8.2. Europe
8.2.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.2.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
8.2.3. Market Opportunity Analysis
8.3. Asia-Pacific
8.3.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.3.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
8.3.3. Market Opportunity Analysis
8.4. Latin America
8.4.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.4.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
8.4.3. Market Opportunity Analysis
8.5. Middle East and Africa
8.5.1. Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
8.5.2. Year-over-Year (Y-o-Y) Growth Analysis (%) and Market Share Analysis (%)
8.5.3. Market Opportunity Analysis
8.6. Global Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Distribution Channel, End-user, and Region, 2023-2029
9. North America Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
9.1. Solution Type Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
9.1.1. Wholesale Colocation
9.1.2. Retail Colocation
9.2. Organization Size Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
9.2.1. Small and Medium Enterprises
9.2.2. Large Enterprises
9.3. End-user Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
9.3.1. Banking and Financial Services
9.3.2. Manufacturing
9.3.3. IT and Telecom
9.3.4. Healthcare & Lifesciences
9.3.5. Government
9.3.6. Entertainment and Media
9.3.7. Other End-users
9.4. Country Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million) Y-o-Y Growth (%) and Market Share (%)
9.4.1. U.S.
9.4.2. Canada
9.5. North America Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Organization Size, End-user and Country, 2023-2029
9.6. North America Data Center Colocation Market Dynamics – Trends
10. Europe Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
10.1. Solution Type Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
10.1.1. Wholesale Colocation
10.1.2. Retail Colocation
10.2. Organization Size Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
10.2.1. Small and Medium Enterprises
10.2.2. Large Enterprises
10.3. End-user Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
10.3.1. Banking and Financial Services
10.3.2. Manufacturing
10.3.3. IT and Telecom
10.3.4. Healthcare & Lifesciences
10.3.5. Government
10.3.6. Entertainment and Media
10.3.7. Other End-users
10.4. Country Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million) Y-o-Y Growth (%) and Market Share (%)
10.4.1. Germany
10.4.2. UK
10.4.3. France
10.4.4. Italy
10.4.5. Spain
10.4.6. Rest of Europe
10.5. Europe Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Organization Size, End-user and Country, 2023-2029
10.6. Europe Data Center Colocation Market Dynamics – Trends
11. Asia-Pacific Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
11.1. Solution Type Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
11.1.1. Wholesale Colocation
11.1.2. Retail Colocation
11.2. Organization Size Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
11.2.1. Small and Medium Enterprises
11.2.2. Large Enterprises
11.3. End-user Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
11.3.1. Banking and Financial Services
11.3.2. Manufacturing
11.3.3. IT and Telecom
11.3.4. Healthcare & Lifesciences
11.3.5. Government
11.3.6. Entertainment and Media
11.3.7. Other End-users
11.4. Country Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million) Y-o-Y Growth (%) and Market Share (%)
11.4.1. Japan
11.4.2. China
11.4.3. India
11.4.4. ASEAN
11.4.5. Rest of Asia-Pacific
11.5. Asia-Pacific Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Organization Size, End-user and Country, 2023-2029
11.6. Asia-Pacific Data Center Colocation Market Dynamics – Trends
12. Latin America Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
12.1. Solution Type Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
12.1.1. Wholesale Colocation
12.1.2. Retail Colocation
12.2. Organization Size Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
12.2.1. Small and Medium Enterprises
12.2.2. Large Enterprises
12.3. End-user Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
12.3.1. Banking and Financial Services
12.3.2. Manufacturing
12.3.3. IT and Telecom
12.3.4. Healthcare & Lifesciences
12.3.5. Government
12.3.6. Entertainment and Media
12.3.7. Other End-users
12.4. Country Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million) Y-o-Y Growth (%) and Market Share (%)
12.4.1. Brazil
12.4.2. Argentina
12.4.3. Rest of Latin America
12.5. Latin America Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Organization Size, End-user and Country, 2023-2029
12.6. Latin America Data Center Colocation Market Dynamics – Trends
13. Middle East and Africa Data Center Colocation Market Analysis, 2018 - 2022 and Forecast, 2023-2029 (Revenue, USD Million)
13.1. Solution Type Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
13.1.1. Wholesale Colocation
13.1.2. Retail Colocation
13.2. Organization Size Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
13.2.1. Small and Medium Enterprises
13.2.2. Large Enterprises
13.3. End-user Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million), Y-o-Y Growth (%) and Market Share (%)
13.3.1. Banking and Financial Services
13.3.2. Manufacturing
13.3.3. IT and Telecom
13.3.4. Healthcare & Lifesciences
13.3.5. Government
13.3.6. Entertainment and Media
13.3.7. Other End-users
13.4. Country Analysis 2018 - 2022 and Forecast 2023-2029 by Revenue (USD Million) Y-o-Y Growth (%) and Market Share (%)
13.4.1. Saudi Arabia
13.4.2. GCC Countries
13.4.3. South Africa
13.4.4. Rest of MEA
13.5. MEA Data Center Colocation Market - Opportunity Analysis Index, By Solution Type, Organization Size, End-user and Country, 2023-2029
13.6. MEA Data Center Colocation Market Dynamics – Trends
14. Competition Landscape
14.1. Strategic Dashboard of Top Market Players
14.2. Company Profiles (Introduction, Financial Analysis, Solution Type Offerings, Key Developments, Strategies, and SWOT Analysis)
14.2.1. China Telecom Corp. Ltd.
14.2.2. CoreSite Realty Corp.
14.2.3. CyrusOne, Inc.
14.2.4. Cyxtera Technologies, Inc.
14.2.5. Digital Realty Trust, Inc.
14.2.6. Equinix, Inc.
14.2.7. Global Switch
14.2.8. NaviSite
14.2.9. NTT Communications Corp.
14.2.10. Telehouse
15. Research Methodology
16. Key Assumptions and Acronyms
- 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