The global data center construction market size is expected to register a CAGR of 6.4% during the forecast period, reaching a value of USD 308.7 billion by 2027 according to a recent report published by Grand View Research Inc, a U.S.-based market research and consulting company.
Data Center Construction Market Growth
The market growth is fueled by the increasing demand for data storage and processing capabilities and the increased use of big data analytics. Additionally, the growing trend of cloud computing and virtualization, rise in digital transformation, the rising investment in infrastructure projects, increasing government spending on information technology, and the greater demand from the enterprise sector are the contributing factors to its growth as well.
Large Enterprises’ Growing Adoption of Hyper-Scale Data Centers
Hyper-scale data centers are being built more often all over the world to store massive volumes of data, opening up lucrative opportunities for industry participants. The physical infrastructure and distribution systems supporting the data centers for optimizing cooling efficiency and the ability to effectively scale up computing workloads, are two of its many components, Hence, a wide range of industries use it to increase computing power, memory, networking capabilities, and storage resources.
IoT, AI, and Intelligent Computing Adoption
Internet of things (IoT), AI, and intelligent computing are becoming more popular in a range of industries and business sectors, where it opens up prospects for market participants. Thus. developing countries have made investments in the infrastructure of data centers as part of their initiatives to automate the economy. These facilities have been used extensively in a variety of industries, including Banking, Financial services and Insurance (BFSI), manufacturing, healthcare, and energy.
The Report’s Main Industry Insights and Findings:
Due to the rising need for high-performance computing servers, storage space, and sophisticated networking infrastructure, the IT infrastructure segment is anticipated to grow at a CAGR of 6.3% over the course of the projected year.
Meanwhile, due to the accelerated development of IT and communication infrastructure and the ongoing implementation of 5G networks, the market in Asia Pacific is anticipated to experience strong growth over the course of the forecast period.
Furthermore, the Key players like Huawei Technologies Co. Ltd, AT&T, and Sky Telecom concentrate on adding new technology to their portfolio and developing innovative products.