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Japan Data Center Market Size, Share, & Trends Analysis Report by Infrastructure Type (IT Infrastructure, Electrical Infrastructure, Mechanical Infrastructure), IT Infrastructure (Server, Storage, Network), Electrical Infrastructure (UPS, Generators, Transfer Switches and Switchgears, Other Electrical Infrastructure), Mechanical Infrastructure (Cooling Systems, CRAC & CRAH Units, Chiller Units, Cooling Towers & Dry Coolers, Other Units, Racks, Other Mechanical Infrastructure), General Construction (Building Development, Installation & Commissioning Services, Building Design, Physical Security, DCIM), Tier Segments (Tier I & Tier II, Tier III, Tier IV), and Geography (Osaka and Other Cities), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020-2025
Report Attribute | Details |
---|---|
Market Size (Revenue) | USD 7 Billion (2025) |
Compound Annual Growth Rate (CAGR) | 3% (2020-2025) |
Base Year | 2019 |
Historic Year | 2018 |
Forecast Year | 2020-2025 |
Market Segments | Infrastructure Type (IT Infrastructure, Electrical Infrastructure, Mechanical Infrastructure), IT Infrastructure (Server, Storage, Network), Electrical Infrastructure (UPS, Generators, Transfer Switches and Switchgears, Other Electrical Infrastructure), Mechanical Infrastructure (Cooling Systems, CRAC & CRAH Units, Chiller Units, Cooling Towers & Dry Coolers, Other Units, Racks, Other Mechanical Infrastructure), General Construction (Building Development, Installation & Commissioning Services, Building Design, Physical Security, DCIM), Tier Segments (Tier I & Tier II, Tier III, Tier IV) |
Geographic Analysis | Japan |
Countries Covered | Osaka and Other Cities |
The Japan data center market size to cross USD 7 billion, growing at a CAGR of over 3% during the forecast period. Equinix and GIC, MC Digital Realty, NTT Communications, AT TOKYO, Internet Initiative Japan, and Colt DCS are some of the prominent investors in the Japan data center market. In 2018, around 30% of organizations in Japan implemented cloud computing infrastructure. In February 2020, the Japanese government agreed to a deal with AWS to help move HR systems and document management tools in the cloud environment by 2025. YouTube is the most active social media platform in Japan, accounting for about 75% share in 2019, followed by Facebook, Line, Twitter, Instagram, and Ameblo. The entry of international businesses into the country is driving high data usage due to the increased usage of applications and platforms such as data analytics, big data, and artificial intelligence. Artificial Intelligence (AI) is playing a role in IoT application deployments like AI-based security and privacy of IoT devices, edge computing of IoT devices, and more. The market in Japan has now evolved with international and global hyperscale cloud providers. Amazon Web Services (AWS), Google, Microsoft Azure, and IBM SoftLayer cloud service providers are expanding their presence in Tokyo and Osaka markets.
Submarine cable projects have been increased in the region to attract more data center operations and investors. In 2020, the submarine cable projects like Southeast Asia-Japan Cable 2 (SJC2), JUPITER, Japan-Guam-Australia North (JGA-N), and Okinawa Cellular Cable would connect Japan with the US, China, Taiwan, Hong Kong, Thailand, and Singapore. In Japan, construction projects are not completely halted due to COVID-19. Data center operations in Japan are carried on without any disruption by taking precautionary measures to ensure safety for employees. The impact of operations is expected to range between low and moderate.
This report offers a detailed analysis of the Japan data center investments in terms of infrastructure and geography. It discusses sizing and estimation for different segments with respect to the investment in data centers. The segmentation includes:
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