The data center market is estimated to stand at USD 30.41 billion in 2024. The market is forecasted to exceed a valuation of USD 117.24 billion by 2034, recording a CAGR of 14.40%. Data center demand is primarily driven by the exponential upsurge in data consumption and data generation by organizations across multiple industries.
Attributes | Details |
---|---|
Estimated Data Center Market Size (2024) | USD 30.41 billion |
Forecasted Market Size (2034) | USD 117.24 billion |
Projected Value CAGR (2024 to 2034) | 14.40% |
The growing need for cloud computing boosts data center demand. Businesses switch to cloud solutions for storage, processing, and software, driving the need for multi-tenant data centers to host these services.
The rise of big data and IoT fuels data center market growth. Data centers are crucial for storing, managing, and analyzing massive amounts of data devices and applications generate.
The surge in eCommerce and digital content drives data center demand. With more people shopping online and streaming media, companies need strong data center infrastructure to handle their digital platforms and services.
Data privacy and security rules lead to investment in data center solutions. Businesses require secure and reliable data center environments to meet strict data protection regulations.
From 2019 to 2023, the data center market showed strong growth, boasting a 12.70% CAGR. During this period growth accelerated because of the COVID-19 pandemic. This has pushed organizations towards digital transformation.
Around every organization shifted to remote working. This mandated the demand for speedy mobilization of cloud computing to handle the substantial amount of data. This has positively impacted the market outlook.
Attributes | Quantitative Outlook |
---|---|
Data Center Market Size (2023) | USD 26.83 billion |
Historical CAGR (2019 to 2023) | 12.70% |
Short-term Data Center Market Analysis
The introduction of 5G networks speeds up data transmission and enables new applications. This, in turn, is creating a need for more data center infrastructure to handle the increased data flow. This wireless technology requires quicker downloads, faster access, and seamless streaming, leading to increased demand for high-speed data centers.
Long-term Data Center Market Analysis
Cloud services rely on strong data centers to support applications and computing resources. Cloud providers are prioritizing edge computing, which requires smaller data center infrastructures closer to users.
Consequently, this is leading to a rise in demand for micro data centers. The growing use of cloud services by small, medium, and large businesses is likely to contribute to the market expansion through 2034.
The emergence of micro data centers is likely to create significant opportunities for market players. The rising interest in small, convenient, and modular data centers is expected to create a large foundation for micro data centers.
Micro data centers can be set up or expanded easily as needed, helping companies react swiftly to customer needs without extra costs. This increasing demand for micro data centers is likely to bring about future prospects for the market.
The North America data center market stands out as a moderately performing regional market. The adoption of cloud facilities and the trend toward digital transformation in every field is driving the demand for hyperscale data center edifice in this region. Europe is witnessing continuous and steady growth in demand for data centers.
Countries | Data Center Industry Forecasted CAGR (2024 to 2034) |
---|---|
United States | 11.30% |
Germany | 9.90% |
China | 15.00% |
Demand for data centers in the United States is set to rise with an anticipated CAGR of 11.30% through 2034. Key factors influencing the data center market include:
The Germany data center market is expected to surge at a CAGR of 9.90% through 2034. The topmost dynamic forces supporting the data center adoption in the country include:
The market in China is likely to exhibit a CAGR of 15.00% through 2034. Reasons supporting the growth of the data center market in the country include:
As far as the component of data center is concerned, the hardware segment is likely to acquire 51.80% data center market share. Similarly, the tier 3 data center segment is expected to generate considerable profit in terms of data center tier, possessing a 38.10% revenue share of Data Center industry in 2024.
Segment | Estimated Market Share in 2024 |
---|---|
Hardware | 51.80% |
Tier 3 Data Center | 38.10% |
The hardware segment is anticipated to perform better than others in the market. Here are a few key factors that contribute to its acceptance in the market:
The tier 3 data center segment is set to take a little less than 1/3rd of the market share, a trend validated by factors such as:
Data center market players implement diverse strategies to gain an edge in this fiercely competitive market. Many companies focus on differentiation through innovative technologies and services.
Some prioritize cost leadership by offering competitive pricing and efficient operations. Others emphasize customer service and support,. Additionally, partnerships and strategic alliances are common strategies to expand market reach and enhance service offerings.
Recent Developments
Table 1: Global Market Value (US$ Million) Forecast by Region, 2019 to 2034
Table 2: Global Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 3: Global Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 4: Global Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 5: North America Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 6: North America Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 7: North America Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 8: North America Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 9: Latin America Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 10: Latin America Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 11: Latin America Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 12: Latin America Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 13: Western Europe Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 14: Western Europe Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 15: Western Europe Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 16: Western Europe Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 17: Eastern Europe Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 18: Eastern Europe Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 19: Eastern Europe Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 20: Eastern Europe Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 21: South Asia and Pacific Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 22: South Asia and Pacific Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 23: South Asia and Pacific Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 24: South Asia and Pacific Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 25: East Asia Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 26: East Asia Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 27: East Asia Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 28: East Asia Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Table 29: Middle East and Africa Market Value (US$ Million) Forecast by Country, 2019 to 2034
Table 30: Middle East and Africa Market Value (US$ Million) Forecast by Component, 2019 to 2034
Table 31: Middle East and Africa Market Value (US$ Million) Forecast by Size, 2019 to 2034
Table 32: Middle East and Africa Market Value (US$ Million) Forecast by Industry, 2019 to 2034
Figure 1: Global Market Value (US$ Million) by Component, 2024 to 2034
Figure 2: Global Market Value (US$ Million) by Size, 2024 to 2034
Figure 3: Global Market Value (US$ Million) by Industry, 2024 to 2034
Figure 4: Global Market Value (US$ Million) by Region, 2024 to 2034
Figure 5: Global Market Value (US$ Million) Analysis by Region, 2019 to 2034
Figure 6: Global Market Value Share (%) and BPS Analysis by Region, 2024 to 2034
Figure 7: Global Market Y-o-Y Growth (%) Projections by Region, 2024 to 2034
Figure 8: Global Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 9: Global Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 10: Global Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 11: Global Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 12: Global Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 13: Global Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 14: Global Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 15: Global Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 16: Global Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 17: Global Market Attractiveness by Component, 2024 to 2034
Figure 18: Global Market Attractiveness by Size, 2024 to 2034
Figure 19: Global Market Attractiveness by Industry, 2024 to 2034
Figure 20: Global Market Attractiveness by Region, 2024 to 2034
Figure 21: North America Market Value (US$ Million) by Component, 2024 to 2034
Figure 22: North America Market Value (US$ Million) by Size, 2024 to 2034
Figure 23: North America Market Value (US$ Million) by Industry, 2024 to 2034
Figure 24: North America Market Value (US$ Million) by Country, 2024 to 2034
Figure 25: North America Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 26: North America Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 27: North America Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 28: North America Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 29: North America Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 30: North America Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 31: North America Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 32: North America Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 33: North America Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 34: North America Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 35: North America Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 36: North America Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 37: North America Market Attractiveness by Component, 2024 to 2034
Figure 38: North America Market Attractiveness by Size, 2024 to 2034
Figure 39: North America Market Attractiveness by Industry, 2024 to 2034
Figure 40: North America Market Attractiveness by Country, 2024 to 2034
Figure 41: Latin America Market Value (US$ Million) by Component, 2024 to 2034
Figure 42: Latin America Market Value (US$ Million) by Size, 2024 to 2034
Figure 43: Latin America Market Value (US$ Million) by Industry, 2024 to 2034
Figure 44: Latin America Market Value (US$ Million) by Country, 2024 to 2034
Figure 45: Latin America Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 46: Latin America Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 47: Latin America Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 48: Latin America Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 49: Latin America Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 50: Latin America Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 51: Latin America Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 52: Latin America Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 53: Latin America Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 54: Latin America Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 55: Latin America Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 56: Latin America Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 57: Latin America Market Attractiveness by Component, 2024 to 2034
Figure 58: Latin America Market Attractiveness by Size, 2024 to 2034
Figure 59: Latin America Market Attractiveness by Industry, 2024 to 2034
Figure 60: Latin America Market Attractiveness by Country, 2024 to 2034
Figure 61: Western Europe Market Value (US$ Million) by Component, 2024 to 2034
Figure 62: Western Europe Market Value (US$ Million) by Size, 2024 to 2034
Figure 63: Western Europe Market Value (US$ Million) by Industry, 2024 to 2034
Figure 64: Western Europe Market Value (US$ Million) by Country, 2024 to 2034
Figure 65: Western Europe Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 66: Western Europe Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 67: Western Europe Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 68: Western Europe Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 69: Western Europe Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 70: Western Europe Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 71: Western Europe Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 72: Western Europe Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 73: Western Europe Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 74: Western Europe Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 75: Western Europe Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 76: Western Europe Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 77: Western Europe Market Attractiveness by Component, 2024 to 2034
Figure 78: Western Europe Market Attractiveness by Size, 2024 to 2034
Figure 79: Western Europe Market Attractiveness by Industry, 2024 to 2034
Figure 80: Western Europe Market Attractiveness by Country, 2024 to 2034
Figure 81: Eastern Europe Market Value (US$ Million) by Component, 2024 to 2034
Figure 82: Eastern Europe Market Value (US$ Million) by Size, 2024 to 2034
Figure 83: Eastern Europe Market Value (US$ Million) by Industry, 2024 to 2034
Figure 84: Eastern Europe Market Value (US$ Million) by Country, 2024 to 2034
Figure 85: Eastern Europe Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 86: Eastern Europe Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 87: Eastern Europe Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 88: Eastern Europe Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 89: Eastern Europe Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 90: Eastern Europe Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 91: Eastern Europe Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 92: Eastern Europe Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 93: Eastern Europe Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 94: Eastern Europe Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 95: Eastern Europe Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 96: Eastern Europe Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 97: Eastern Europe Market Attractiveness by Component, 2024 to 2034
Figure 98: Eastern Europe Market Attractiveness by Size, 2024 to 2034
Figure 99: Eastern Europe Market Attractiveness by Industry, 2024 to 2034
Figure 100: Eastern Europe Market Attractiveness by Country, 2024 to 2034
Figure 101: South Asia and Pacific Market Value (US$ Million) by Component, 2024 to 2034
Figure 102: South Asia and Pacific Market Value (US$ Million) by Size, 2024 to 2034
Figure 103: South Asia and Pacific Market Value (US$ Million) by Industry, 2024 to 2034
Figure 104: South Asia and Pacific Market Value (US$ Million) by Country, 2024 to 2034
Figure 105: South Asia and Pacific Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 106: South Asia and Pacific Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 107: South Asia and Pacific Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 108: South Asia and Pacific Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 109: South Asia and Pacific Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 110: South Asia and Pacific Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 111: South Asia and Pacific Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 112: South Asia and Pacific Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 113: South Asia and Pacific Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 114: South Asia and Pacific Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 115: South Asia and Pacific Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 116: South Asia and Pacific Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 117: South Asia and Pacific Market Attractiveness by Component, 2024 to 2034
Figure 118: South Asia and Pacific Market Attractiveness by Size, 2024 to 2034
Figure 119: South Asia and Pacific Market Attractiveness by Industry, 2024 to 2034
Figure 120: South Asia and Pacific Market Attractiveness by Country, 2024 to 2034
Figure 121: East Asia Market Value (US$ Million) by Component, 2024 to 2034
Figure 122: East Asia Market Value (US$ Million) by Size, 2024 to 2034
Figure 123: East Asia Market Value (US$ Million) by Industry, 2024 to 2034
Figure 124: East Asia Market Value (US$ Million) by Country, 2024 to 2034
Figure 125: East Asia Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 126: East Asia Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 127: East Asia Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 128: East Asia Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 129: East Asia Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 130: East Asia Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 131: East Asia Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 132: East Asia Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 133: East Asia Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 134: East Asia Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 135: East Asia Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 136: East Asia Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 137: East Asia Market Attractiveness by Component, 2024 to 2034
Figure 138: East Asia Market Attractiveness by Size, 2024 to 2034
Figure 139: East Asia Market Attractiveness by Industry, 2024 to 2034
Figure 140: East Asia Market Attractiveness by Country, 2024 to 2034
Figure 141: Middle East and Africa Market Value (US$ Million) by Component, 2024 to 2034
Figure 142: Middle East and Africa Market Value (US$ Million) by Size, 2024 to 2034
Figure 143: Middle East and Africa Market Value (US$ Million) by Industry, 2024 to 2034
Figure 144: Middle East and Africa Market Value (US$ Million) by Country, 2024 to 2034
Figure 145: Middle East and Africa Market Value (US$ Million) Analysis by Country, 2019 to 2034
Figure 146: Middle East and Africa Market Value Share (%) and BPS Analysis by Country, 2024 to 2034
Figure 147: Middle East and Africa Market Y-o-Y Growth (%) Projections by Country, 2024 to 2034
Figure 148: Middle East and Africa Market Value (US$ Million) Analysis by Component, 2019 to 2034
Figure 149: Middle East and Africa Market Value Share (%) and BPS Analysis by Component, 2024 to 2034
Figure 150: Middle East and Africa Market Y-o-Y Growth (%) Projections by Component, 2024 to 2034
Figure 151: Middle East and Africa Market Value (US$ Million) Analysis by Size, 2019 to 2034
Figure 152: Middle East and Africa Market Value Share (%) and BPS Analysis by Size, 2024 to 2034
Figure 153: Middle East and Africa Market Y-o-Y Growth (%) Projections by Size, 2024 to 2034
Figure 154: Middle East and Africa Market Value (US$ Million) Analysis by Industry, 2019 to 2034
Figure 155: Middle East and Africa Market Value Share (%) and BPS Analysis by Industry, 2024 to 2034
Figure 156: Middle East and Africa Market Y-o-Y Growth (%) Projections by Industry, 2024 to 2034
Figure 157: Middle East and Africa Market Attractiveness by Component, 2024 to 2034
Figure 158: Middle East and Africa Market Attractiveness by Size, 2024 to 2034
Figure 159: Middle East and Africa Market Attractiveness by Industry, 2024 to 2034
Figure 160: Middle East and Africa Market Attractiveness by Country, 2024 to 2034
The market size for data center is forecasted to be worth USD 30.41 billion in 2024.
The data center market value is projected to surpass USD 117.24 billion by 2034.
The CAGR of the data center industry is estimated to be around 14.40% through 2034.
China and the United States is the key consumer of data centers as of 2024.
IBM Corporation and Cisco System, Inc. are data center industry leaders.
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