New Zealand Data Center Market - Investment Analysis & Growth Opportunities 2024-2029

MARKET INSIGHTS

The New Zealand data center market size will witness investments of USD 1.56 billion by 2029, growing at a CAGR of 7.60% during the forecast period. New Zealand is among the emerging data center markets in the APAC region. Some data center operators operating in the New Zealand data center market include CDC Data Centres, DCI Data Centers, Datacom Group, Spark, Vocus, and Data Centre 220, among others.

The high internet and social media penetration across the country, driven by the latest developments in AI and other technologies, deployment of 5G services, improving inland connectivity, high land availability for construction, and other such factors, makes the New Zealand data center market an attractive market for investors. Furthermore, Amazon Web Services (AWS), Microsoft, and Google Cloud are the hyperscale cloud service providers with upcoming cloud investments in the country.

New Zealand is committed to achieving its net-zero carbon emissions goal by 2050. It is a legislated target set by New Zealand’s government. Like Australia, they also have an ambitious goal of bringing down the emissions rate by about 50% lower than that of 2005 by 2030. Also, sustainability initiatives are rising across the country, and more wind and solar farms are being developed to increase renewable energy capacity and generate electricity from said sources. Furthermore, Auckland is the primary location for data center investments in New Zealand, followed by Wellington, Christchurch, Hamilton, and other cities.

KEY HIGHLIGHTS

• New Zealand has about 30 operational colocation data centers. Most are being developed according to Tier III standards. For instance, NEXTDC’s upcoming AK1 Auckland Data Center will be built to Uptime Tier III standards.
• NEXTDC and DCI Data Centres are among the top data center operators in the New Zealand data center market. They have multiple upcoming facilities in 2024 and later.
• Datacom, Spark, and CDC Data Centres are among the top existing colocation operators in the New Zealand data center market, with multiple existing facilities in Auckland, Hamilton, Christchurch, and other cities.
• The country is also witnessing gradual improvements in submarine and inland connectivity. For instance, the Hawaiki Nui is the longest upcoming cable, spanning over 15,500 miles in length, and it would connect New Zealand with Australia, New Zealand, Indonesia, and the US.
• Significant deployment and adoption of 5G services are also progressing in the country, with telecom operators like Spark, One New Zealand, Vocus, and others expanding their network coverage areas, increasing data traffic, and bolstering demand for more data centers.

WHY SHOULD YOU BUY THIS RESEARCH?

• Market size is available in terms of investment, area, power capacity, and New Zealand colocation market revenue.
• An assessment of the data center investment in New Zealand by colocation, hyperscale, and enterprise operators.
• Investments in the area (square feet) and power capacity (MW) across cities in the country.
• This report details a detailed study of the existing New Zealand data center market landscape, provides an in-depth market analysis, and makes insightful predictions about market size during the forecast period.
• Snapshot of existing and upcoming third-party data center facilities in New Zealand
  • Facilities Covered (Existing): 30
  • Facilities Identified (Upcoming): 8
  • Coverage: 6 Locations
  • Existing vs. Upcoming (Area)
  • Existing vs. Upcoming (IT Load Capacity)
• Data Center Colocation Market in the New Zealand
  • Colocation Market Revenue & Forecast (2023-2029)
  • Colocation Revenue (2023-2029)
  • Retail & Wholesale Colocation Pricing
• The New Zealand data center market investments are classified into IT, power, cooling, and general construction services with sizing and forecast.
• This report provides a comprehensive analysis of the industry's latest trends, growth rate, potential opportunities, growth restraints, and prospects.
• Business overview and product offerings of prominent IT infrastructure providers, construction contractors, support infrastructure providers, and investors operating in the industry.
• A transparent research methodology and the analysis of the demand and supply aspects of the industry.

VENDOR LANDSCAPE

• Some of the key colocation investors in the New Zealand data center market in 2023 are DataGrid, CDC Data Centres, DCI Data Centers, and NEXTDC. 
• Tech giants like Google, Microsoft, and Amazon Web Services are investing in this market for their upcoming cloud regions in the capital city of Auckland. This will drive up the demand for cloud services here and will bolster further cloud demand from other hyperscalers in the future.
• NEXTDC is among the new New Zealand data center market entrants, currently developing a Tier III facility in Auckland- AK1.

EXISTING VS. UPCOMING DATA CENTERS

• Existing Facilities in the Region (Area and Power Capacity)
  • Auckland
  • Other Cities
• List of Upcoming Facilities in the Region (Area and Power Capacity)
  • Auckland
  • Other Cities

REPORT COVERAGE:

This report analyses the New Zealand data center market share. It elaboratively analyses the existing and upcoming facilities and investments in IT, electrical, mechanical infrastructure, general construction, and tier standards. It discusses market sizing and investment estimation for different segments. The segmentation includes:

• IT Infrastructure
  • Servers
  • Storage Systems
  • Network Infrastructure
• Electrical Infrastructure
  • UPS Systems
  • Generators
  • Switches & Switchgears
  • PDUs
  • Other Electrical Infrastructure
• Mechanical Infrastructure
  • Cooling Systems
  • Rack Cabinets
  • Other Mechanical Infrastructure
• Cooling Systems
  • CRAC and CRAH
  • Chillers
  • Cooling Towers, Condensers, and Dry Coolers
  • Economizer & Evaporative Coolers
  • Other Cooling Units
• General Construction
  • Core & Shell Development
  • Installation & Commissioning Services
  • Building & Engineering Design
  • Fire Detection & Suppression Systems
  • Physical Security
  • Data Center Infrastructure Management (DCIM)
• Tier Standard
  • Tier I & Tier II
  • Tier III
  • Tier IV 
• Geography
  • Auckland
  • Other Cities

VENDOR LANDSCAPE

• IT Infrastructure Providers: Arista Networks, Atos, Broadcom, Cisco Systems, Dell Technologies, Fujitsu, Hewlett Packard Enterprise, Huawei Technologies, IBM, Juniper Networks, Lenovo, NetApp.
• Data Center Construction Contractors & Sub-Contractors: AECOM, Arup, Aurecon, Beca, Hawkins, Norman Disney & Young, The Building Intelligence Group, Transworks, WT.
• Support Infrastructure Providers: 3M, ABB, Airedale, Alfa Laval, Back Box, Climaveneta, Cummins, Cyber Power Systems, Eaton, Kohler, Legrand, Rittal, Rolls Royce, Schneider Electric, STULZ, Thycon, Trane, Vertiv.
• Data Center Investors: Amazon Web Services, CDC Data Centres, Datacom, Data Vault, DCI Data Centers, DataCentre220, Microsoft, Spark.
• New Entrants: DataGrid, Goodman, NEXTDC.