"Transformation of information and communication technologies and evolution of new generations of data management techniques is likely to fuel the growth of the Mega Data Center Market"

Globally, the mega data center market is expected to grow with a CAGR of 5.1% during the forecast period from 2019 to 2027, starting from US$ 18.95 Bn in 2018. Globally, the information communication technology industry is going through a major transformation. Growing digital demand and virtualization is generating large amount of data which needs effective data storage and processing techniques. Emergence of new and progressive technologies are enabling the shift from traditional data storage techniques to far more advanced versions of storage and processing facilities. Mega data centers is one such facility that can be referred as a single facility with over 15,000 or more services. It was expected that by 2018, mega datacenters would play host to 70% of all service provider data center construction projects. Mega data centers offers high storage volume, bandwidth, computing abilities and assists large-scale data transfer processes. As they are cost-effective with respect to operations, reliable, and accessible, they can be utilized as effective solution to meet the demands of large-scale data storage. Furthermore, factors such as increasing adoption of cloud services, supplementary cost benefits, and improved economies of scale are also some additional factors that are attributed to the growth of this market. The mega data centers can allow companies to leverage certain confined benefits, such as low energy prices, tax incentives, climate, or accessibility to substitute energy sources, by implementing fewer mega data centers on varied locations. Mega data centers have unique procurement and supply-chain management practices that strikes down costs. This helps the companies to minimize cost and thereby maximizing profit. However, high investment and installation cost and lack of technical support in developing and underdeveloped countries are likely to restrain the growth of this market during the forecast period.  

"BFSI segment is expected to dominate the end-user segment of mega data centers market"

Based on end-user, the mega data centers market is segmented into BFSI, government organizations, media and entertainment industry, telecom and IT, and other end users. in 2018, BFSI segment dominated the mega data centers market by holding the largest market share of the overall market. Globally, BFSI sector generates largest amount of data, which drives the need for efficient data center to regulate the cost of operations in this sector. BFSI requires efficient facilities to store customer records and transactions, conduct employee management, perform and manage electronic banking services, such as remote banking, self-inquiry, and telebanking. These activities need data centers for their proper functioning, thus drives the market for mega data centers in BFSI sector.

"Asia-Pacific to grow at a highest CAGR during the forecast period"

North America dominates the Mega Data Center market by holding largest market share of nearly 40% of the total revenue generated worldwide. North America is largely focusing on technological developments and improvisation of business infrastructure. With growing developments in the business sectors large amount of data is being generated which needs to be stored and processed effectively. Most of the companies dominating the data centers market are based in North America, and thus contribute to the high market value of this regional segment. Moreover, companies are increasingly turning to managed services, colocation, cloud services and other hybrid approaches to launch new products and services, assess new business models, and connect more with their customers. These activities fuel the demand for mega data centers in this region. However, Asia-Pacific is projected to witness highest growth during the forecast period. Increasing demand for high-density, upgraded facilities throughout countries such as India and China is triggering a shift in the development of the data centers in these countries. Moreover, owing to regulatory and security reasons, a number of organizations in India, are not allowed to host their data in a data center that is out of the country, especially from the BFSI sector. These and many such factors are likely to drive the growth of mega data centers market in Asia-Pacific region.

Some of the prominent players operating in the mega data center market include Cisco Systems Inc., Fujitsu Ltd, Dell Software Inc., Hewlett-Packard Enterprise, Emerson Network Power, EMC Corporation, IBM Corporation, Juniper Networks Inc., Intel Corporation, Schneider Electric SE among others.

Historical & Forecast Period

This study report represents analysis of each segment from 2023 to 2033 considering 2024 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2025 to 2033.

The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.

Research Methodology

The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Mega Data Center market are as follows:

• Research and development budgets of manufacturers and government spending
• Revenues of key companies in the market segment
• Number of end users and consumption volume, price and value.
• Geographical revenues generate by countries considered in the report
• Micro and macro environment factors that are currently influencing the Mega Data Center market and their expected impact during the forecast period.

Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.

Key questions answered in this report

• What are the key micro and macro environmental factors that are impacting the growth of Mega Data Center market?
• What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
• Estimated forecast and market projections up to 2033.
• Which segment accounts for the fastest CAGR during the forecast period?
• Which market segment holds a larger market share and why?
• Are low and middle-income economies investing in the Mega Data Center market?
• Which is the largest regional market for Mega Data Center market?
• What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
• Which are the key trends driving Mega Data Center market growth?
• Who are the key competitors and what are their key strategies to enhance their market presence in the Mega Data Center market worldwide?