December 8, 2021

Data Center Market size to grow by USD 519.34 billion | Rise in Adoption of Multi-cloud & Network Upgrades to Support 5G as Key Drivers |17000+ Technavio Reports

NEW YORK, Nov. 17, 2021 /PRNewswire/ — “Data Center Market – Forecast and Analysis Report 2021-2025”, the market witnessed a YOY…

NEW YORK, Nov. 17, 2021 /PRNewswire/ — “Data Center Market – Forecast and Analysis Report 2021-2025“, the market witnessed a YOY growth rate of 18.30% at an accelerating CAGR of 21% between 2020 and 2025.

Revenue Generating Segment

The data center market share growth by the IT infrastructure segment will be significant during the forecast period. Datacenter information technology (IT) infrastructure consists of all IT equipment, infrastructure, and solutions required to set up or scale a data center. The use of such IT infrastructure is increasing owing to the increase in demand for computing power and storage to support the growth in global data traffic. This trend is expected to continue during the forecast period to create the demand for servers and storage infrastructure, and other IT equipment. 

Revenue generating segments highlights and insights on market analysis of coming years – View FREE Sample

 The report is segmented by component (IT infrastructure, mower management system, mechanical construction, general construction, and security solutions) and geography (North America, APAC, Europe, South America, and MEA).

Vendor Insights 

The global data center market is fragmented and the vendors are deploying various organic and inorganic growth strategies to compete in the market. 

The growing competition in the market is compelling vendors to adopt various growth strategies such as promotional activities and spending on advertisements to improve the visibility of their products. Some vendors are also adopting inorganic growth strategies such as M&As to remain competitive in the market.   

For Instance, In February 2019, Alphabet Inc. (through its subsidiary Google) announced its plans to acquire Alooma Inc. (Alooma), a data-migration company. Similarly, In June 2020, Equinix Inc. announced the expansion of its Dallas Infomart Data Center campus with the opening of a new $142M International Business Exchange data center and the launch of its 5G and Edge Proof of Concept Center (POCC)

The report analyzes the market’s competitive landscape and offers information on several market vendors, including: 

  • Alphabet Inc.
  • Inc.
  • Cisco Systems Inc.
  • Equinix Inc.
  • Microsoft Corp.
  • NTT DATA Corp.
  • Oracle Corp.
  • SAP SE
  • Huawei Investment & Holding Co. Ltd.
  • International Business Machines Corp.

For more additional highlights on the growth strategies adopted by vendors & their product offerings. Read Free Sample Report. 

Geographical Market Analysis 

North America will provide maximum growth opportunities in the data center market during the forecast period. According to our research report, the region will contribute 35% of the global market growth and is expected to dominate the market through 2025. 

The US is the key market for data centers in North America. Market growth in this region will be slower than the growth of the market in the European, APAC, and South American regions. The increasing adoption of cloud services by enterprises across industries in the US and Canada will facilitate the data center market growth in North America over the forecast period. 

Know more about this market’s geographical distribution along with the detailed analysis of the top regions.

Key Market Trends & Challenges: 

The rise in the adoption of edge computing is a major factor supporting the data center market share growth. Edge computing is a network architecture wherein the data is stored and processed near its origin. An edge server in this network serves as the connection between separate networks. The advantage of edge computing is that the stored content is close to the client machine, thereby reducing latency and improving server response. The growing deployment of edge computing will, thus, spur the demand for edge data centers, and the trend of edge data center deployments will continue during the forecast period, led by the advent of 5G and IoT technologies.

Cybersecurity issues will be a major challenge for the data center market. Data is increasingly recognized as one of the prime assets for enterprises to derive revenue opportunities by analyzing past trends and for decision-making for the future. However, the security of sensitive data, which includes customer/usernames, addresses, telephone numbers, and social security numbers, is a major concern for enterprises. The threat of cyberattacks is rising with the growing adoption of cloud services and an increase in the adoption of IoT-based solutions. Such events would be a major challenge in the global data center market during the forecast period.

View free sample for highlights on market Trends & Challenges affecting the data center market. 

Customize Your Report 

Don’t miss out on the opportunity to speak to our analyst and know more insights about this market report. Our analysts can also help you customize this report according to your needs. Our analysts and industry experts will work directly with you to understand your requirements and provide you with customized data in a short amount of time.  

We offer USD 1,000 worth of FREE customization at the time of purchase. Speak to our Analyst now! 

Data Center Market Value Chain Analysis 

It includes the following core components: 

  • Inputs
  • Engineering phase
  • Operations
  • Marketing and sales
  • Support activities
  • Innovations

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Data Center Market Scope

Report Coverage


Page number


Base year


Forecast period


Growth momentum & CAGR

Accelerate at a CAGR of over 21%

Market growth 2021-2025

USD 519.34 billion

Market structure


YoY growth (%)


Regional analysis

North America, APAC, Europe, South America, and MEA

Performing market contribution

North America at 35%

Key consumer countries

US, China, UK, Australia, Japan, and Germany

Competitive landscape

Leading companies, competitive strategies, consumer engagement scope

Companies profiled

Alphabet Inc., Inc., Cisco Systems Inc., Equinix Inc., Microsoft Corp., NTT DATA Corp., Oracle Corp., SAP SE, Huawei Investment & Holding Co. Ltd., and International Business Machines Corp.

Market Dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and future consumer dynamics, market condition analysis for the forecast period.

Customization preview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

About Us: 

Technavio is a leading global technology research and advisory company. Their research and analysis focus on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios. 


Technavio Research 

Jesse Maida 

Media & Marketing Executive 

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UK: +44 203 893 3200 



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