Green Data Center Market Size to surpass $35bn by 2026
Published Date: November 15, 2019 Authors: Ankita Bhutani, Saloni Gankar
Green Data Center Market size will surpass USD 35 billion by 2026; according to a new research report by Global Market Insights, Inc.
The green data center market is projected to witness rapid growth owing to the increasing demand for renewable sources of energy as a primary source of power. These data centers help organizations to reduce long-term operational costs, resulting in the higher operation capacity of data centers. The throughput capacity of green data centers is higher, leading to nearly 100% uptime for data centers. Additionally, governments are placing strict regulations over the pollution caused by various industries using non-renewable sources of power, providing several opportunities for the market. For instance, in the U.S., in January 2017, the vote for the Energy Efficient Government Technology Act (HR 306) was launched. This act instructed the Office of Management & Budget to implement energy-efficient technologies in its data centers and government agencies to develop plans in coordination with the Environmental Protection Agency (EPA).
Key factors driving the market growth are increase in organizational data traffic and big data analytics
The rapid growth in big data and IoT usage in the Asia and Africa markets is leading to larger data processing needs by data centers. The rise in data processing needs is projected to continue rising in the future, leading to organizations opting to switch to green data centers. Technological advancements have resulted in lower operational and maintenance costs of equipment. Advancements in infrastructure facilities is enabling organizations to build the equipment in geographical areas, which were previously perceived to be impossible. Additionally, the political pressure from governments globally over the usage of green sources of energy is driving the market revenue.
Browse key industry insights spread across 250 pages with 227 market data tables and 27 figures & charts from the report, “Green Data Center Market Size By Component (Solution [Cooling, Networking, Power, Management Software], Service [Installation & Integration, Consulting, Managed]), By Application (Colocation, BFSI, Energy, Government, Healthcare, Manufacturing, IT & Telecom), Industry Analysis Report, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2019 – 2026,” in detail along with the table of contents:
Benefits of reduced operational costs and improved data center performance are boosting the demand for green cooling systems market size
Increased requirements to enhance data center efficiency are driving the market value for cooling solutions. Growing concerns over rise in the amount of heat generated from data centers are compelling enterprises to adopt advanced and eco-friendly cooling technologies. Innovative cooling technologies, such as cooling chillers, air conditioners, evaporative coolers, and immersion liquid cooling solutions, are being used by organizations in their green data centers. The green data center industry is anticipated to witness a growing demand for liquid cooling solutions that ensure efficient cooling in high power and server density in green data centers.
Growing demand to improve efficiency and deliver enhanced security among healthcare organizations is a major industry trend
The green data center market is gaining a strong foothold in the healthcare sector due to the increasing number of healthcare organizations replacing traditional paper documents with digital records. To optimize user experience, improve efficiency, and deliver enhanced security, healthcare organizations are using sophisticated green data center. Many healthcare organizations are using advanced technologies, such as barcode wristbands, for collecting patient information. Storing precise information is a crucial thing for these organizations to ensure patient safety. The advent of digital technologies for patient identification and monitoring is leading to mounting amount of data, driving the market for green data centers.
Rising urbanization in the MEA and adoption of smart technologies are the major trends driving the green data center market share
The presence of a large number of oil & gas production plants followed by electricity power facilities will provide ample market opportunities for the Middle East & Africa industry growth. Government organizations across the region are heavily investing in restructuring & improving the facilities and implementing smart technological solutions. Kuwait announced the enhancement of its grids by replacing old metering solutions with digitally driven smart metering solutions, attracting various regional as well as international companies in these markets. This will lead to the increasing pressure of handling the growing amount of data. Most attractive markets in the Middle East include Saudi Arabia and the UAE. There is a growing trend of replacing traditional data centers with mega green data centers. The rising demand for data storage is fueling the demand for establishing improved green data centers.
Collaborations among key market leaders is being witnessed globally
Key players operating in the green data center market are Vertiv Co., Verne Global, The 3M Company, Siemens AG, Schneider Electric SE, Microsoft Corporation, IBM Corporation, Huawei Technologies Co. Ltd., Hitachi, Ltd., Hewlett-Packard Enterprise, HCL Technologies Limited, Green House Data, Google, General Electric, Fujitsu Ltd., Ericsson, Equinix Inc., EcoDataCenter, Eaton Corporation, Dell Inc., and Airedale Air Conditioning. Market players are implementing strategies, such as mergers & acquisitions, to enhance their product portfolio and market size. For instance, in 2014, Google acquired the British Artificial Intelligence firm, Deepmind Solutions, which has been working on solving energy-efficiency problems affecting most data centers. Google has been testing artificial intelligence systems on improving energy efficiency in its own data centers. The results have shown the overall power consumption reduction of over 40%.
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