Data Center Colocation Market in Americas - Industry Outlook and Forecast 2018-2023
The Americas data center colocation market to witness investments of more than $11 billion by 2023, growing at a CAGR of over 3% during the forecast period. The research report offers market size analysis regarding colocation services during the forecast period.
The telecommunication service providers, colocation service providers, enterprises and government entities are making efforts to improve the network connectivity by investing in submarine cable in the Latin American market. The adoption of lithium-ion UPS systems, DRUPS, and fuel cells will lead to the transformation of infrastructure solutions in the market. Americas data center colocation market is driven by the datacenter development of Tier III and Tier IV standards in the US and Canadian region. The increasing investments in mega-datacenter projects are contributed heavily by colocation, internet, and cloud service providers, resulting in higher revenues in the American market. The market research report provides in-depth market analysis and segmental analysis of the Americas data center colocation market by investment, service type, and geography.
The report considers the present scenario of the Americas data center colocation market and its market dynamics for the period 2018−2023. It covers a detailed overview of various Americas data center colocation market growth enablers, restraints, and trends. The study includes both the demand and supply sides of the market. It also profiles and analyzes the leading companies and various other prominent companies operating in the Americas data center colocation market.
Data Center Colocation Market in Americas – Dynamics
The rising demand for cloud connectivity and hybrid infrastructure services is augmenting the growth of the data center colocation market in Americas. Various colocation providers have announced cloud connectivity services to major cloud platforms such as AWS, Microsoft, Google, Oracle, IBM, Equinix, Digital Realty, and CyrusOne to widen their consumer reach in the global market. The increasing focus on facilities developments from the federal government will lead to investment in colocation facilities or private cloud datacenters in the American market. The federal government and the state government is also planning to consolidate their data center infrastructure to reduce cost and improve efficiency in the market. The largest colocation service providers investing over than $500million in new construction and expansions in the data center colocation market in Americas. In 2017, more than 30 M&A activities were witnessed across Americas, valued at more than $18 billion, 15 million in square feet area, and 500+ MW of power. The increasing demand for superior services is contributing to the growing number of M&A activities in the American market.
Data Center Colocation Market in Americas – Segmentation
This Americas data center colocation market research report includes a detailed segmentation of the market by investment, service type, and geography. The investment segment in the American data center collocation market is classified into electrical infrastructure, mechanical infrastructure, and general construction. The general construction segment occupied the second largest market share in 2017, growing at a CAGR of over 3% during the forecast period. The increasing number of greenfield and brownfield developments is propelling the growth of this segment in the American market.
The American data center colocation market by service type is divided into retail and wholesale. Wholesale services are the fastest growing segment in the American market, at a CAGR of around 9% during the forecast period. The growing demand for high computing capacity from global enterprises in the US and Canada is driving the demand in this segment. High bandwidth, minimum power capacity, and capability to expand the space of datacenter as and when required are some of the benefits offered by wholesale colocation service providers in the American data center colocation market.
Market Segmentation by Investment
Transfer Switch and Switchgear
Other Electrical Infrastructure
Installation & Commissioning
Market Segmentation by Service Type
Data Center Colocation Market in Americas – Geography
The Americas data center colocation market by geography is segmented into the US, Canada, and Latin America. The US contributed to more than 85% of the investments in 2017, growing at a CAGR of over 2% during the forecast period. The report offers market size analysis in terms of colocation services, power capacity (MW), and square feet area for all the segments for 2017-2023. Virginia, Texas, California, New York, North Carolina, and Illinois are the major market for colocation constructions in the US market. Latin America is the fastest growing region in the American market, at a CAGR of more than 10% by investment during the forecast period. The consolidated efforts to improve the broadband and network connectivity by telecommunication companies, enterprises, colocation providers, and government entities will propel the growth of the Latin American market.
Market Segmentation by Geography
Key Vendor Analysis
The Americas data center colocation market witnesses million-dollar investments by Digital Realty and Equinix is investing across the US and Canadian region. Equinix, Digital Realty, CyrusOne, Switch, and Vantage Data Centers are some of the providers investing in the US. Investments by Urbacon Data Centre Solutions in Canada and Latin America to boost their market share. The rising investments in new facilities and expanding existing ones will intensify the competition in the American market. Leading providers are estimated to add over 500,000 square feet of net rentable area and 60 MW of power capacity in the Americas data center colocation market YOY for the next few years. Various service providers are offering retail colocation and managed services to sustain the competition in the American market.
The major vendors in the Americas data center colocation market are:
CoreSite Realty Corp.
Other prominent vendors in the Americas data center colocation market include 1547 Critical Systems Realty, 365 Data Centers, Ascenty, AT&T, Axtel, Bell Canada, CentriLogic, CenturyLink (Level 3), CloudHQ, Cogeco Peer 1, Colo-D, DataBank, Data Foundry, EdgeConnex, Entel, Expedient, Flexential (Peak 10 & ViaWest), Green House Data, Green House Data, I.C.E Datacenters, Infomart Data Centers, Internap, KIO Network,ODATA (Patria Investimentos), Quality Technology Services (QTS), RagingWire Data Centers (NTT), Rogers Communications, ROOT Data Center, Sabey Data Centers, Stream Data Center, T5 Data Center, TigoUne (UNE EPM), TierPoint, Telefónica, Urbacon Data Center Solutions, Vantage Data Center, vXchnge, and Zayo Group Holdings.
Key market insights include
1. The analysis of Americas data center colocation market provides market size and growth rate for the forecast period 2018-2023.
2. It offers comprehensive insights into current industry trends, trend forecast, and growth drivers about the Americas data center colocation market.
3. The report provides the latest analysis of market share, growth drivers, challenges, and investment opportunities.
4. It offers a complete overview of market segments and the regional outlook of Americas data center colocation market.
5. The report offers a detailed overview of the vendor landscape, competitive analysis, and key market strategies to gain competitive advantage.
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