GVR Report cover Data Center Equipment Market Size, Share & Trends Report

Data Center Equipment Market Size, Share & Trends Analysis Report By Product, By Application, Regional Outlook, Competitive Strategies, And Segment Forecasts, 2019 To 2025

  • Report ID: GVR1889
  • Number of Pages: 0
  • Format: Electronic (PDF)

The global data center equipment market is expected to witness appreciable growth over the forecast period owing to the increasing need for data backup and data storage. The increasing need for construction and renovation of data center equipment may further propel market growth. Data center equipment construction includes design, architecture, installation of electrical and mechanical systems, and incorporation of security mechanisms. Rapid growth in social media, innovations in cloud computing, big data, and digitalization of information is expected to drive the global market.

The convergence of video, mobile services, and cloud technologies resulting in the development of next-generation data center networks is anticipated to fuel market growth over the forecast period. Technological advancements in the business model owing to cloud services is expected to transform the data center to provide pooled and automated services for data efficiency. Increasing use of multiple operating systems running on virtual machines resulting in the sharing of hardware resources is expected to drive data center equipment market growth. Further, developments in virtualization technology resulting in reduced cost increase hardware utilization efficiency high time application availability, improve business continuity, increase IT productivity, improve responsiveness, is anticipated to contribute to market growth. Further, increasing need for more powerful switches and components owing to data center virtualization is estimated to fuel market demand.

The shortage of skilled professionals and resources to manage data center equipment is expected to pose a challenge to market growth. Organizations are facing increasing difficulties in training and educating employees as virtualization is still a new technology. Enterprises that introduce virtualization in their data centers need to upgrade their support models to make the best use of virtualization. Technical and physical constraints related to space, energy, and cooling are expected to hinder the data center equipment market demand over the forecast period.

Emerging trends such as automated eco-friendly data centers are anticipated to revamp the market. Eco-friendly green data centers provide for efficient power utilization and help in reducing the environmental effects while supporting business operations.

The data center equipment market is segmented based on product and application. Products include servers, storage devices, and power distribution systems that are used in various application areas such as telecommunication & IT, manufacturing, government, healthcare, retail, banking & finance, business enterprises, R&D, educational institutes, and media & entertainment. Developments in telecommunication applications owing to fast-expanding internet presence and internet-enabled services may further contribute to market growth. Increasing the use of online banking and electronic stock trading, shift to using electronic medical records for healthcare resulting in increased data storage and management requirements are expected to drive market growth. North America is expected to be the major regional segment owing to the growth in applications such as dependency, e-discovery, and server virtualization for business operations and data generation.

Key players in the data center equipment market include Huawei Technologies Co. Ltd, Cisco Systems Inc., Nokia Corporation, Avaya Inc., Dell Inc., Juniper Networks, F5, NetApp Inc., EMC Corporation, Hewlett Packard Co, IBM Corporation, Oracle Corporation, Fujitsu Corporationand QNAP Systems Inc. In May 2015, Huawei launched its Cloud Fabric 3.0, an improved cloud service oriented architecture that utilizes Software Defined Network (SDN) technology. In Feb 2015, Avaya Inc. launched its innovative SDN that lets customer manage their IP based network. In March 2015, Juniper Networks launched new switches that will help customers deal with problems related to cloud computing. In June 2015, Nokia Corporation announced its plans to launch data center services for network operators. These services are expected to be based on Nokia’s AirFrame Data Center solutions and a set of acceleration cards to improve performance by offloading network demanding tasks such as encryption. EMC Corporation with its energy-efficient data centers is expected to account for a significant market share over the next few years. In May 2015, IBM Corporation announced its plans to set up its second public cloud data center in India owing to the increasing demand for cloud networks in government and private sectors. Currently, the company operates all its data services through the Mumbai data center. In May 2015, Juniper Networks announced a new training and certification program for rapidly changing data center environment and security requirements. Juniper Networks Announces New Network Design Training Curriculum and Certification Program to Meet Changing Network Demands.

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