Modular data center market to double by 2025: Research and Markets
Published 14 January 2021
The worldwide modular data center market is expected to grow significantly from $18 billion in 2020 to $37.8 bilion by 2025, as per latest research from Research and Markets.
This growth will be driven by continued demand from all-in-one modules segment and translates to a 15.4 per cent Compounded Annual Growth Rate (CAGR).
Modular data centers are manufactured by integrating prefabricated modules that are built inside a factory and shipped to the client site where they assembled, deployed, and commissioned. These data centers are highly scalable and energy-efficient and can be rapidly deployed to meet the clients current and near-term needs.
All-in-one modules segment to grow at the highest CAGR during the forecast period. The all-in-one module is a highly integrated containerized data center facility used in enterprise data management, oil exploration, and disaster relief. It is a temporary module usually implemented in cases, wherein data center mobility is a concern, as it comprises modules with cooling, power, and IT systems built inside a single container.
These containerized modules are both portable and energy-efficient and provide an on-site, ready-to-deploy solution, which reduces the installation cost and time. They also enable scalability and flexibility to the IT infrastructure to adjust to the design and size for future deployments.
This advantage of the all-in-one module, wherein organizations can implement scale-out infrastructure is expected to fuel the market for modular data centers.
Further, the APAC region is expected to grow at the highest rate, according to Research and Markets.
APAC to drive growth
With many major developing countries in this region, APAC is expected to contribute significantly to the modular data center market during the forecast period.
More mature markets, including India, China, Japan, Australia, and New Zealand are also projected to witness mushrooming of new modular data centers in the coming years, the report pointed out.
The rapid growth of social media and the gaming sector in the APAC region has further increased the demand for explicitly scalable architecture that is capable of handling complex operations, which can be met by the effective deployment of modular data center solutions, the report said.