Data Center Demand, Cloud, and Sustainability Drive Market Growth
Data center research has shown considerable growth forecasts for this industry, with much of this expansion due to technologies aimed at making facilities more sustainable and environmentally friendly.
According to new research by MarketsandMarkets, the global data center networking market is poised to grow from 2013’s $12.49 billion to reach $21.85 billion by 2018, a compound annual growth rate of 11.8 percent within the five year period.
In addition, a Research and Markets report stated that the global data center market will post a CAGR of 10.71 percent during the four year period between 2012 and 2016.
Aspects Causing Data Center Market Expansion: Cloud computing
According to MarketsandMarkets, the data center industry has seen several changes within the last few years and these innovations will continue to create growth within the market. Customers’ deploying new systems require more from their data centers, including support for state-of-the-art technology. Several factors are categorized under these boosted client requirements, including the convergence of video, mobile services and cloud technologies.
The cloud has opened up new possibilities, not only for customers but for the overall data center market as well. Businesses increasingly migrate mission-critical systems to the cloud and leverage Web-based alternatives to legacy technology through cloud technology. Applications powered by the cloud as well as cloud storage hold a plethora of benefits for customers, including flexibility and mobility. As organizations realize these advantages, they have been quick to adopt such technology, creating additional growth within the data center sector.
Rising demands for green technology
In today’s technological environment, data center designers and operators increasingly look to implement more environmentally friendly systems within facilities, creating significant growth in the global market.
According to the Research and Markets report, “Data Center Market in the U.S. 2012-2016,” many facilities are being upgraded with new technologies, especially those that can lower energy consumption and improve power usage effectiveness (PUE) ratings.
“Data center upgradation is leading to increasing demand for data center equipment and networking components,” a Research and Markets analyst said. “Furthermore, the data center facilities are being equipped with advanced powering and cooling solutions, which increased the productivity of the infrastructure. In addition, data center facilities are being equipped with virtualized infrastructure, which further increases the productivity.”
In this way, the deployment of green technologies is not only leading to considerable market growth and data center sustainability, but is also boosting the productivity of facilities. When data centers have these systems in place, customers are drawn to data centers boasting green technologies.