Data Center Colocation Market Competitive Dynamics & Global Outlook 2027

Data Center Colocation Market Competitive Dynamics & Global Outlook 2027

The data center colocation market report encompasses an in-depth analysis of the business space in question. All the growth facilitators responsible for furling the revenue scope of this industry are mentioned in the study in conjunction with the competitive and geographical trends characterizing this business. Some of the very pivotal parameters encompassed in the report fall along the lines of industry segmentation, industry ecosystem analysis, vendor matrix, and industry insights.

Driven by the trend of smart cities and the roll-out of 5G technology in various countries, the data center colocation market is expected to grow significantly by 2026. Expansion of business organizations worldwide have led to massive data generation, consequently sparking the need for adequate data storage capacity.

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The need for advanced IT infrastructure by government & defense agencies has intensified in the recent years. Organizations are steadily inching towards the adoption of advanced technologies like big data analytics and hosting, for improving operations. Upgrading to colocation data centers helps government agencies to increase operational efficiency, decrease cost & energy, and provide improved services. Several data center colocation providers give data center services to federal governments for data management.

The surge in organizational data such as financial information, operational data, and consumer records is anticipated to drive the demand for effective data center colocation solutions. New digital service types like machine learning, AR/VR, autonomous vehicles and big data analytics are overburdening the traditional network structure. Issues faced by data center facilities like insufficient cooling capacity, aging & low-efficiency power, low crisis response & disaster recovery rate, lack of flexibility and scalability can be managed efficiently with the help of a colocation provider.

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Geographically speaking, the Latin America data center colocation market is witnessing substantial growth owing to increasing investments and number of data centers. There are more than 100 colocation data centers across Chile, Peru, Argentina, Brazil, Colombia, and Uruguay. Among these, Brazil is a promising avenue for colocation data centers. International companies in the region, such as Google, Microsoft Corporation, and IBM Corporation are focusing on expansions owing to considerable growth opportunities.

Globally, companies operating in the data center colocation market include Equinix, Inc., Global Switch Corporation, Singapore Telecommunications Limited, Digital Realty, KDDI Corporation, CyrusOne, NTT Communications, China Unicom, Interxion N.V., and China Telecommunications Corporation. These firms are taking part in a slew of business strategies such as new product development, geographical expansions, and collaborations.

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