The Global Cloud Data Center Market was estimated at USD 20 billion in 2022 and is expected to surpass a valuation of $70 billion by 2032, progressing at a CAGR of 10% from 2023 to 2032, as per the report published by Global Market Insights Inc.
It is projected that government initiatives promoting the development of cloud computing technologies will be the main factor driving market expansion. Projects utilizing cloud computing offer integrated administration with automatic problem solving, end-to-end security management, and budgeting based on actual data usage.
The improvement of cloud computing infrastructure for e-governance practices is a priority for the governments of several countries, including India. In addition, these governments are launching projects to expand skill sets to advance digitalization.
According to the deployment model, the market for public cloud data centers was valued at over USD 5 billion in 2022 and is predicted to grow profitably until 2032.
Public cloud data centers are becoming popular among small and medium-sized businesses (SMBs) and new businesses since they are less expensive to set up than on-premises private equipment for data storage. Major cloud technology vendors are making attempts to increase their market penetration in order to sustain segment growth.
Through 2032, the small- and medium-sized enterprise segment’s cloud data market is anticipated to develop at a CAGR of more than 12%. The consolidation of data and the comprehension of business requirements are made easier by cloud data applications. It lessens the need for data backups, improves data privacy, and helps MSMEs save infrastructure costs.
Additionally, cloud technologies enable automated upgrades, guarantee application uptime, and offer startups and small and medium-sized enterprises (SMBs) much-needed business continuity and resilience, allowing them to concentrate on their core business operations. Additionally, SMEs use the cloud for data storage since it saves time and money by reducing infrastructure and labor costs.
By 2032, the cloud data center industry in the colocation category is projected to produce more than USD 15 billion in revenue, according to end users. Colocation involves a client moving their computers and hardware inside a data center and using the facility’s power, cooling, internet, and security services. Mission-critical applications for clients are continuously functional without interruption due to the completely redundant network connections in colocation data centers.
Moreover, colocation makes it possible for companies to scale their infrastructure to suit growth without having to incur capital costs. Therefore, it is probable that this segment will continue to grow from 2023 to 2032 as a result of increased investment and advancements to enable cloud software applications for colocation.
