Tuesday, March 15th, 2016

Data Center Colocation Global Market 2016 To 2020

WiseGuyReports.com adds “Data Center Colocation Global Market 2016 to 2020” to its research database.

This market study report presents a detailed segmentation of the global data center colocation market by colocation type (retail colocation and wholesale colocation), and by geography (the Americas, APAC, and EMEA). The key vendors identified in the market are CenturyLink, Digital Realty, Equinix, Global Switch, Level 3 Communications, and NTT Communications.

Outlook of the data center colocation market

Extensive market research carried out by analysts at Technavio has shown that the global data center colocation market will grow at an impressive CAGR of more than 12% until the end of 2020. Data center colocation not only reduces capital investment involved in the construction of data centers but also helps to cut down operational expenses to a considerable extent. With the augmented demand for business operations among enterprises worldwide, there is a sharp increase in data center construction activities. But with the concept of colocation, businesses with a limited need for data centers can collocate space from existing data center operators. Moreover, the colocation vendors also offer uninterrupted services and maintenance to such enterprises, thereby boosting their productivity and performance. Thus, the increasing focus on the reduction of capital and operational expenditure by companies is expected to drive the market for data center colocation over the forecast period.

Factors such as the growing adoption of green data centers are anticipated to bolster the growth of the data center colocation market until the end of 2020. Concepts such as free cooling, use of renewables, and waste recycling are being actively implemented in green data centers to improve the efficiency and reduce operational costs and carbon footprint. The rising demand for efficient, green data centers will spur the market for data center colocation over the forecast period.

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Segmentation by colocation type and analysis of the data center colocation market

  • Retail colocation
  • Wholesale colocation

During 2015, the retail colocation segment dominated the market. This segment is expected to account for approximately USD 31 billion until the end of 2020. Enterprises that need high flexibility in hosting IT infrastructure prefer retail colocation to wholesale colocation. The retail colocation segment is expected to grow significantly due to the adoption of advanced technologies by organizations across different industry verticals.

Geographical segmentation and analysis of the data center colocation market


  • Americas
  • APAC
  • EMEA

During 2015, the Americas dominated the market and accounted for more than 46% of the market share. Due to increased business development and an augmented demand for advanced data center services, adoption of colocation data centers has risen substantially in the US.

Competitive landscape and key vendors

The data center colocation market is dominated by the presence of a few large-scale providers. Besides the large vendors, the market also has many small vendors providing data center colocation services.

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The key leading vendors identified in the market are -

  • CenturyLink
  • Digital Realty
  • Equinix
  • Global Switch
  • Level 3 Communications
  • NTT Communications

Other prominent vendors analyzed in this market research are Ascenty, AT&T, CentriLogic, China Telecom, Cosentry, CtrlS Datacenters, Cyrus, Digiplex, DuPont Fabros, Expedient Data Centers, Eze Castle Integration, Fujitsu, iAdvantage, Internap, Interoute Communications, Interxion, IO, NaviSite, PCCW Global, Peak 10, PEER 1 Hosting, Rackspace, ServerCentral, Singtel, Sungard Availability Services, Switch, T.C.C Technology, Telehouse (KDDI), Telstra International, ViaWest, and Zayo.

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