News Details

Data Center Market in Americas Worth about $11 Billion by 2023

Published date : Dec-2017

The data center market in America is projected to grow to $11.71 billion by 2023. The market is expected to grow at a CAGR of 5.51%. 


Arizton’s recent market research report on data center market in Americas, segments the market by infrastructure (electrical, mechanical, and general construction), by electrical infrastructure (UPS, rack PDU, generators, and others), by mechanical infrastructure (cooling, rack, and others), by general construction (building design, installation services, building development, security, and DCIM), by tier standards (tier I and tier II, tier III, and tier IV), and by geography (North America and Latin America).

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The leading three drivers and trends of the data center market in Americas are discussed below:

Growing Customer Base for Colocation Providers and Managed Service Providers

The growing demand for colocation and managed service is driving the data center market in Americas. Prominent vendors in the data center market in Americas offer colocation, managed services, interconnection, and cloud connectivity solutions to occupy a large consumer base. Factors such as energy-efficient infrastructure, procurement of renewable power for their operations, installation of racks with high power density, cloud connectivity, tapping edge market opportunities, and high bandwidth will attribute to the market size of colocation services in the American market during the forecast period. The US has more than 1,200 operational colocation data centers and around 300 service providers. Equinix, Digital Realty and DuPont Fabros Technology, Switch, CyrusOne, RangingWire (NTT), CoreSite, T5 Data Centers, and TierPoint are the leading colocation vendors in the US market.

Modular Infrastructure for Faster Data Center Deployment

The rise in the number of modular infrastructure data centers is driving the growth in the data center market in Americas. Colocation providers are developing large facilities and deployment assets on-demand basis, such as creating a new data hall to meet the dynamic demands from the large consumer base. Vendors are also focusing on offering modular solutions that include pre-fabricated data center facilities, racks, and containment systems to develop a large market share. The method of leasing space from other service providers will help business owners to reduce around 30% of the OPEX cost. Additional features and lost cost of maintenance will boost the demand for data centers in the American market during the forecast period.

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Use of Lithium-ion Batteries and Fuel Cells in Data Centers

The growing demand for efficient power systems and low-cost batteries will encourage vendors to introduce the use of lithium-ion batteries and fuel cells in data centers across the region. Modular UPS systems are designed in an innovative manner that they occupy less space in facilities and reduce the OPEX charges for business owners. The introduction of lithium-ion batteries and fuel cells that are hydrogen-powered will promote the concept of green data centers and reduce environmental pollution.  For instance, Daimler and HPE partnered for research in the use of automotive fuel cells powered by hydrogen and oxygen in data centers in 2017.

ABB, Eaton, General Electric, Schneider Electric, Vertiv, Turner Construction, Holder Construction, DPR Construction, Jacobs Engineering Group, Corgan, AECOM, Syska Hennessy Group, Aceco TI S.A, Equinix, Digital Realty and DuPont Fabros Technology, CyrusOne, Facebook, Switch, and Ascenty are the leading vendors in the data center market in Americas.

The complete overview of the latest market research report on the data center market in Americas by Arizton is now available.

The report offers a detailed study of major trends, drivers, challenges, and provides the market size and forecast for major geographical regions and key countries.

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