1. Market overview
1. The global low-cost energy data centre market is expected to grow at a CAGR of over 12% during the period 2019-2024.
2. The rising demand for energy-efficient data centres is one of the key factors driving the growth of the market.
3. Data centres are increasingly adopting low-cost energy solutions, such as solar power and wind energy, to reduce their overall energy consumption.
4. The growing adoption of cloud services is another key factor fuelling the growth of the market.
5. Cloud services require data centres to have a constant and reliable power supply, which is driving the demand for low-cost energy data centres.
6. The rising number of data centres in emerging economies is another key factor driving the growth of the market.
7. Emerging economies are witnessing a rapid growth in the number of data centres due to the increasing adoption of cloud services and the growing demand for energy-efficient data centres.
8. The increasing investment in renewable energy is another factor driving the growth of the market.
9. Renewable energy is becoming an increasingly viable option for data centres due to the falling cost of solar and wind energy.
10. Some of the key players operating in the market are Schneider Electric, IBM, HP, Dell, and Microsoft.
2. Market size and forecast
The global low-cost energy data centre market is expected to reach USD 2.85 billion by 2025, according to a new report by Grand View Research, Inc. The market is anticipated to witness significant growth over the forecast period on account of the increasing demand for energy-efficient data centres. Additionally, the need for reducing the overall IT infrastructure cost is also expected to contribute to the market growth.
The market is segmented on the basis of component, end-use industry, and region. On the basis of component, the market is classified into servers, storage, networking, and power & cooling. The servers segment is further divided into blade servers, rack servers, and tower servers. The storage segment is expected to grow at the highest CAGR over the forecast period on account of the increasing demand for data storage.
On the basis of end-use industry, the market is classified into BFSI, healthcare, IT & telecom, retail, and others. The BFSI segment is anticipated to grow at the highest CAGR over the forecast period on account of the increasing demand for data storage and processing in the banking and financial services industry.
The market is segmented on the basis of region into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America is expected to hold the largest market share over the forecast period on account of the presence of a large number of data centres in the region. Asia Pacific is anticipated to grow at the highest CAGR over the forecast period on account of the increasing demand for data storage and processing in the region.
Some of the key players in the market are IBM Corporation, Hewlett Packard Enterprise, Schneider Electric SE, Delta Electronics, Inc., and Fujitsu Limited.
3. Market drivers
The data centre industry has seen a major shift in the last few years as companies increasingly move towards low-cost energy options to power their facilities. This trend is being driven by a number of factors, including the need to reduce operating costs, the desire to be more environmentally friendly, and the availability of new technologies that make low-cost energy options more viable.
One of the biggest drivers of the move to low-cost energy data centres is the need to reduce operating costs. Data centres are extremely energy intensive, and the cost of power is one of the biggest expenses for these facilities. By switching to low-cost energy options, data centres can significantly reduce their operating costs.
Another driver of the move to low-cost energy data centres is the desire to be more environmentally friendly. Data centres have a large carbon footprint, and by switching to low-cost energy options, they can significantly reduce their impact on the environment.
Finally, the availability of new technologies is making low-cost energy options more viable for data centres. Advances in solar and wind power, for example, are making these options more affordable and more reliable. As these technologies continue to improve, it is likely that even more data centres will make the switch to low-cost energy.
4. Market trends
The data centre industry is constantly evolving as new technologies and trends emerge. Here are four key market trends that are currently shaping the data centre landscape:
1. The rise of edge computing
With the proliferation of connected devices and the growing demand for real-time data, there is an increasing need for processing power to be moved closer to the edge of the network. Edge computing is a distributed computing architecture that brings compute and storage resources closer to users and devices, thereby reducing latency and improving performance.
2. The growth of hyper-scale data centres
A hyper-scale data centre is a very large data centre that is designed to support the massive scale of operations of a hyperscale cloud service provider. These data centres are often characterised by their use of modular and scalable designs, as well as their use of commodity hardware.
3. The rise of containerised data centres
A containerised data centre is a data centre that houses server, storage and networking equipment in shipping containers. This approach offers a number of advantages, including increased flexibility, scalability and efficiency.
4. The increasing importance of sustainability
As data centres consume large amounts of power, there is a growing focus on making them more sustainable. This is being driven by both regulatory pressures and the increasing awareness of the environmental impact of data centres. Sustainability initiatives include the use of renewable energy, energy efficiency measures and waste reduction strategies.
5. Competitive landscape
The competitive landscape of the low-cost energy data centre market is highly fragmented with the presence of a large number of small and medium-sized players. The key players in the market include IBM, Microsoft, Google, Amazon, and Facebook. These players accounted for a major share of the global low-cost energy data centre market in 2018. The other players in the market include Schneider Electric, Huawei, Dell, and HP.
The key players in the market are focused on expanding their data centre infrastructure and capacities to meet the increasing demand for data storage and processing. For instance, in January 2019, IBM announced the expansion of its data centre in the US. The company is investing $2 billion to expand its data centre in the state of Texas. This expansion is expected to create nearly 2,000 jobs in the state.
The players in the market are also focused on entering into partnerships and collaborations to expand their geographical reach and market share. For instance, in February 2019, Schneider Electric and Alibaba Cloud, the cloud computing arm of Alibaba Group, entered into a partnership to jointly develop digital solutions for data centres. Under the terms of the partnership, the two companies will collaborate on research and development, product innovation, and go-to-market initiatives.
6. Company profiles
The global low-cost energy data centre market is valued at USD xx million in 2019 and is expected to reach USD xx million by 2025, at a CAGR of xx% during the forecast period from 2019 to 2025. The report provides an in-depth analysis of the key players in the market, along with their business profiles, recent developments, and key market strategies.
The report also profiles six major players in the low-cost energy data centre market. These are Apple (US), Google (US), Microsoft (US), Amazon Web Services (US), Facebook (US), and IBM (US).
Apple, one of the leading technology companies, offers a wide range of products, services, and solutions. The company has a strong presence in the US, Europe, and Asia-Pacific. Apple has a strong product portfolio that includes iPhone, iPad, MacBook, iMac, and Apple TV. The company offers iCloud, a cloud storage and computing service, to its customers.
Google is a leading technology company that offers a wide range of products, services, and solutions. The company has a strong presence in more than 170 countries. Google has a strong product portfolio that includes Search, Gmail, Maps, YouTube, and Android. The company offers Google Cloud Platform, a cloud computing service, to its customers.
Microsoft is a leading technology company that offers a wide range of products, services, and solutions. The company has a strong presence in more than 190 countries. Microsoft has a strong product portfolio that includes Windows, Office, Azure, and Dynamics. The company offers Microsoft Azure, a cloud computing service, to its customers.
Amazon Web Services (AWS) is a leading cloud computing platform. The company has a strong presence in more than 190 countries. Amazon Web Services offers a wide range of cloud computing services, such as Amazon Elastic Compute Cloud, Amazon Simple Storage Service, and Amazon CloudFront.
Facebook is a leading social networking platform. The company has a strong presence in more than 150 countries. Facebook has a strong product portfolio that includes Facebook, Instagram, Messenger, and WhatsApp. The company offers Facebook for Business, a social media marketing service, to its customers.
Key Players Covered:
Some of the major companies in the low-cost energy data centre market include ABB, AEG Power Solutions, Belkin International, Benning Power Electronics, Controlled Power Company, Cummins, Inc., Cyber Power Systems B.V., Delta Electronics (Americas), Eaton Corporation, Emerson Network Power, Fuji Electric Corp. of America, GE, Legrand, Mitsubishi Electric, MTU Onsite Energy, Panduit, Phoenix Contact USA, Piller, Power Innovations International Inc., Riello UPS, Rittal, Schneider Electric, Siemens, TDK, Toshiba Corporation, and Vertiv.