Data Center Colocation Market Size in Europe 2020 Industry Share, Segments, Revenue, and Forecast to 2026

The Europe data center colocation market size provides detailed analysis on this industry including substantial details subject to its overall position in the global landscape and applications across myriad end-user industries. Europe is witnessing rapid increase in the demand for data centers, thanks to the fast growth in the automotive industry. This sector has some of the most renowned auto manufacturers like Audi, Mercedes Benz, BMW and Porsche. The companies are increasingly inventing and implementing automated digital technologies to make their vehicles as efficient and advanced as possible.

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The use of these technologies require intense research and development which leads to analyzing millions of data pieces. Handling these data pieces is not an easy task, which then gives rise to the need to have a strong data center system to store and manage large amounts of data.

The COVID-19 pandemic has created a negative impact on the overall progress of data center colocation projects because of strict lockdowns imposed by the governments across Europe. Several industries were shut down which severely affected construction of data centers.

However, with the relaxation in lockdown restrictions and with several industries gradually opening up, this industry as well is set to pick up speed soon. There is a sudden increase in the number of digital learning platforms which can be useful for online learning and working remotely. This factor will have a positive impact on this data center colocation market in the near future.

Retail data center colocations will increase in demand because of the steady rise in the number of small businesses across Europe. These data centers offer cabinets, rack, cage or private data center suite. As retail businesses do not require large data center infrastructure because of lesser data generated, it is a cost-effective alternative for small businesses as compared to its counterpart, the wholesale data center colocation.

Governments across Europe are introducing policies and initiatives in favor of various small and medium-scale enterprises. Rising number of SMEs are adopting these data centers to integrate their data processes and increase the overall efficiency of their businesses. These factors have resulted in increased demand for data center colocations in this segment.

Italy will significantly contribute towards data center colocation demand in Europe. One of the major reasons is that the country creates a connection between Europe and Africa with the help of submarine cables. The IT and telecom infrastructure in the country is quite strong and it has large data centers with state-of-the-art technologies which ensures flawless network connectivity across as many as 175 service providers. The Iberian Peninsula is an important global connectivity hub because of its geographic location with Mediterranean, Northern Europe and Africa.

Rising digitization across the BFSI sector in Europe will favor the robust growth of data center colocations. For example, Sweden was one of the first nations to adopt digital technologies to handle banking transactions and has even developed advanced infrastructure in this regard.

In 2018, only 13% of the Swedish population was using cash for their banking transactions. The Swedish government announced in August 2018 that it aims to go cashless by 2023. Several countries in the region like Croatia, the Netherlands, Poland, Greece and Denmark already have more than 50% contactless transactions.

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Some of the major data center colocation market players in Europe are Zayo Holdings Inc., Digital Realty Trust Inc., Cyxtera Technologies Inc., CyrusOne Inc. and many others.

Table of Contents (ToC) of the report:

Chapter 3   Europe Data Center Colocation Market Trends

3.1    Industry coverage

3.2    Industry size, 2016 – 2026

3.3    Impact of COVID-19 pandemic

3.4    Value chain analysis

3.4.1    Company product snapshot

3.5    Innovation landscape

3.6    Regulatory norms & directives

3.7    Drivers & restraints

3.7.1    Market drivers

3.7.2    Market restraints

3.8    Industry analysis - Porter's

3.9    Competitive benchmarking, 2019

3.9.1    Strategy dashboard

3.10    PEST analysis

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