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Big Data Adoption by Enterprises to Surge APAC Data Center Colocation Market: A Report

Friday, April 1, 2016

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FREMONT, CA: According to Research and Markets, a market research company, the Asia Pacific region is expected to touch US$12.9B by 2021, in the data center colocation market with a compound annual growth rate of 19.1%.

The report stated government initiatives, adoption of cloud computing solutions and outsourcing of key IT business segments as reasons for driving the growth of the data center collocation market in Asia Pacific. The report also stated that enterprises are mainly focusing on Big Data analytics which is increasing the demand for storage and in turn driving the collocation market. The report titled ‘Asia Pacific Colocation Market - Forecasts from 2016 to 2021,’ estimated the Asia Pacific colocation market to be worth US$4.5 billion in 2015.

On the basis of the colocation model, the Asia Pacific Data Center Colocation market has been segmented into Retail and Wholesale Colocation. The research company says retail colocation accounts for the major market, while wholesale colocation providers have started focusing on short-term deals to remain competitive. In terms of end users, the market has been segmented into small medium and large enterprises.

“Shrinking IT budgets and rising cost of owning large data centers has provided significant impetus to the colocation market, leading to colocation providers offering deals which are client-centric,” states the report.

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