Increasing end-user adoption owing to availability of low-cost rack solutions is expected to favorably impact the global data center rack market growth over the forecast period. Manufacturers emphasize on making continuous improvements in their offerings by adding significant number of features, which is also expected to drive the data center rack market growth. Data center rack servers exhibit inherent high density coupled with power efficiency, and is also expected to fuel market growth. Further, increasing adoption of rack servers over the next few years due to the advancements in software defined security market is also expected to drive market growth. The industry has witnessed a transition towards server-based rack data center, which is expected to play a vital role in enabling IT teams to meet the rapidly-evolving organizational business needs while reducing the operational expenditure as well as capital expenditure.
High capital investments in data center rack solutions offer several market growth opportunities. However, virtualization, blade servers and consolidation pose a challenge to data center rack market growth. Furthermore, the industry faces issues such as costly cooling equipment, higher workload demands, limited power availability, and increasing rack densities. In order to overcome the aforementioned problems, modern rack solutions are built with features such as uninterruptible power, rack PDUs (Power Distribution Units), integrated precision cooling and wiring management with a lockable cabinet. Lack of common standards and interoperability issues are also expected to hinder market growth. The most commonly used data center rack is nineteen inch wide and seven feet tall that accommodates 42U of rack mount server equipment; it is expected to witness high demand over the forecast period.
Data center rack server solutions help manage and optimize the performance of data center computing and infrastructure resources. North America is expected to emerge as the largest regional market.
Key participants in the data center rack market include Hewlett Packard, Dell, IBM, Eaton, Emerson Network, Schneider Electric, Rittal, Fujitsu, Huawei, and Hitachi.
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In contrast to its related industries like consumer electronics and semiconductors, the data center and communications infrastructure industry is expected to be more buoyant with continued strategic investments made to support the increased network traffic and data usage for remote working during the lockdown phase. From school closures necessitating students to use virtual offerings (Google Classroom ) to the governments using business analytics services (Power BI) for communicating virus updates, the demand for communication services and related infrastructure has witnessed an unprecedented rise amidst the global pandemic. Digital services including telemedicine are expected to remain popular even after the pandemic is contained, thereby ensuring strong growth in the communication infrastructure industry. The report will account for Covid19 as a key market contributor.
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