Market Segmentation

The global market for hyperscale data center has been studied thoroughly in the MRFR report, with respect to segments like type, components, data center size, deployment and industry.

The user types covered in the report are colocation providers, enterprises and cloud providers.

Component-based market segments are solution and services.

The types of solutions are storage, networking, servers, and others.

Services-wise, the segments mentioned in the report include professional and managed services. The professional services can be split into consulting, maintenance & support as well as installation and deployment.

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Depending on the data center size, the market segments include large data centers and small and medium-sized data centers.

Given the deployment segment, the market caters to on-premise and on-cloud.

The hyperscale data centers are used across different industry verticals such as retail, BFSI, healthcare, IT and telecommunications, manufacturing and others.

Market Scope

The global market for hyperscale data center can touch a valuation of USD 105 billion by 2023, says Market Research Future (MRFR). MRFR, in its latest report also reveals that the market seems to exhibit signs of achieving a growth rate of 28% from 2017 to 2023, which is the forecast period.

Market Boosters and Key Barriers

The hyperscale data center market can note considerable growth over the coming years, thanks to the mounting demand for networking, rising computing, storage and memory resources in grid or distributed computing environments. Cloud computing has completely revolutionized the data storage requirements, and its fast-paced expansion is projected to boost the product demand during the review period. It helps supports cloud services and can be incorporated in low-priced off-the-shelf servers. Flexibility, as well as cost-efficiency of the product, can benefit the market in the following years.

Cloud companies have been making massive investments in hyperscale data centers, which has made a drastic change in the businesses of original design manufacturers. Rising number of technological innovations as well as advancements in the industry has driven the adoption rate of various IT solutions like UPS, power, DCIM and cooling. The manufacturers in the market are increasingly putting efforts in developing advanced technologies that help businesses utilize sustainable business methods and bring down their overall carbon footprint. To illustrate, Aligned Energy (U.S) provide a range of data center cooling solutions, which helps remove heat and not forcibly cool air in the data hall.

Surging preference for colocation services among businesses can induce growth of the hyperscale data center market in the coming timespan. More and more enterprises are now opting for cost-effective methods that can help them reduce the capital expenditure, which increases their dependency on colocation facilities. Rising penetration of smartphones combined with the high internet usage is prompting telecom operators to come up with mega facilities to store and process massive telecom data. Many of these companies are making sizeable investments in the construction of these IT facilities to expand their business and gain further global coverage.

Regional Insight

North America, Asia Pacific (APAC), Europe, and the rest of the world (RoW) have been identified as the main markets for hyperscale data center across the globe.

The hyperscale data center market size in North America has noted the most profit in recent years and the region can take over the global market in the coming years. The market size is expanding on the back of mounting interest of international companies like Facebook, Google and Amazon on expanding their business base in North America. High urbanization as well as technological adoption rate remain some of the top factors garnering the interest of multinational companies who are striving to set up their large facilities in the region. Besides, intensifying competition in the regional market is leading to global businesses offering better services to their customers, armed with top-quality infrastructure technologies, which stimulates the growth of the hyperscale data center market. Citing a reference, Microsoft Corporation recently set up mega facilities in Washington, Texas and Illinois. Likewise, Facebook has well-established IT facilities in Iowa, North Carolina and Oregon.

The APAC market for hyperscale datacenter exhibits major potential to achieve significant growth rate in the near future, owing to the surging prominence of cloud-based services coupled with the accelerated demand for data centers among small and medium-sized data centers. The mushrooming data in organizations as well as the need for high-quality infrastructure also fuels the growth of the regional market.

Leading Companies

The renowned players in the worldwide market for hyperscale data center are Hewlett Packard Enterprise Development LP (U.S.), Intel Corporation (U.S.), Cisco Systems, Inc. (U.S.), Dell Inc. (U.S.), Lenovo Group Ltd. (China), Cavium (U.S.), Quanta Computer Inc. (Taiwan), Broadcom Ltd. (U.S.), NVIDIA Corporation (U.S.), IBM Corporation (U.S.), Ericsson (Sweden), Huawei Technologies Co. Ltd. (China), and others.

The prominent innovators thriving in the market include OVH (France), Microsoft Corporation (U.S.), Facebook Inc. (U.S.), Apple Inc. (U.S.), Baidu, Inc.(China), Amazon.com, Inc. (U.S.), CyrusOne, Inc. (U.S.), Google Inc. (U.S.), Digital Realty Trust, Inc. (U.S.), Equinix Inc. (U.S.), China Telecommunications Corporation (China), China United Network Communications Group Co., Ltd. (U.S.), to mention a few.

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