Home > Semiconductors & Electronics > Data Center > Data Center Infrastructure > Data Center Rack & Enclosure Market
Data Center Rack & Enclosure Market Analysis
- Report ID: GMI2599
- Published Date: Feb 2023
- Report Format: PDF
Data Center Rack & Enclosure Market Analysis
Data center rack & enclosures market share from frame design component segment is expected to reach over USD 6.5 billion by 2032. The segment is further divided into open frame rack, enclosed rack, and customized rack. The demand for frame designs for housing, protecting, and cooling routers, switches, servers, etc. in data center is estimated to be high in the coming years. Innovation is frame designs and technologies will consolidate segment growth. Highlighting an instance, in 2022, Canadian startup Infinidium Power developed a new data-center cooling system that can generate power from heat generated by servers placed within its enclosed, floor-to-ceiling Vortex Vacuum Chamber. This could consequently help reduce both operating and capital costs by as much as 50% through air cooling.
Data centers rack and enclosure industry share from IT & telecom application segment is poised to observe more than 10% CAGR between 2023 and 2032. The telecom sector has experienced rapid growth over the past few years. Factors like reasonable calling rates, the availability of a wider choice of services, shifting customer consumption habits, and a supportive regulatory environment have influenced the telecom sector development.
Telecom giants are also investing heavily in 5G technology which will include product demand across data centers. For instance, as per Ericsson’s November 2020 mobility report, the growth of 5G will be faster than that of 4G and it is predicted that in the US, more than 195 million 5G subscriptions will be fulfilled by 2026. Apart from this, expansion activities in the IT and Telecom sectors in nations like China and Germany will fuel the need for racks & enclosures in data centers.
Europe data center rack & enclosure market is predicted to witness nearly 10% CAGR from 2023 to 2032. The demand for high-capacity networks is expected to rise owing to growing popularity of edge computing solutions across Europe. The development of technologies like autonomous vehicles, IoT, cloud computing, and advanced robotics has fueled the growth of these solutions in developed economies like the UK, France, and Germany.
As per estimates by the International Data Corporation (IDC), in 2023, the public cloud services spending in Europe will reach USD 148 billion, further reaching USD 258 billion by 2026. The increasing use of cloud technologies and imminent need for faster processing speeds and larger bandwidths will drive expansion activities across data centers, favoring the deployment of rack & enclosure.
Frequently Asked Questions (FAQ) :
Data Center Rack & Enclosure Market Scope
