Europe Data Center Construction Market, By Infrastructure Type (Electrical Infrastructure, General Infrastructure, and Mechanical Infrastructure), Offering (Solutions and Services), Tier Standards (Tier I, Tier II, Tier III, and Tier IV), Data Center Type/ Data Center Size (Large Scale DC, Medium Scale DC, and Small Scale DC), Type (Enterprise Data Center, Managed Services Data Centers, Colocation Data Center, Hyperscale Data Center, Cloud Data Center, and Edge Data Center), End-User (Banking, Financial Services and Insurance (BFSI), Pharmaceutical, Government, IT and Telecommunication, Healthcare, Energy and Utility, Retail & E-Commerce, Research & Academic, Manufacturing, Media and Entertainment, and Others) - Industry Trends and Forecast to 2030.
Europe Data Center Construction Market Analysis and Insights
A data center is a physical or virtual facility businesses use to store critical applications and data. Businesses of various natures prefer it as it provides a highly reliable, secure environment with redundant mechanical, cooling, electrical power systems, and network communication connections. Data center construction is the combined set of processes used to construct a data center facility physically or virtually. The construction process refers to activities involved in the designing, planning, and construction of a facility, and the critical components of a data center design include routers, switches, firewalls, storage systems, servers, and application-delivery controllers. With the advancement in cloud technologies, rapid research and development in data centric services, and the entrance of new market players in the region, the Europe data center construction market is expected to boom in the future.
Currently, the importance of data center construction has grown drastically, and the growth of cloud technology and the popularity of AI/ML-based services across the globe. In addition, the growing demand for data center infrastructure from different industries, data storage, and management capabilities in various sectors has fuelled the market boom. Data Bridge Market Research analyses that the Europe data center construction market will grow at a CAGR of 24.7% from 2023 to 2030.
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Report Metric
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Details
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Forecast Period
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2023 to 2030
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Base Year
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2022
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Historic Years
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2021 (Customizable to 2015 - 2020)
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Quantitative Units
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Revenue in USD Million
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Segments Covered
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Infrastructure Type (Electrical Infrastructure, General Infrastructure, and Mechanical Infrastructure), Offering (Solutions and Services), Tier Standards (Tier I, Tier II, Tier III, and Tier IV), Data Center Type/ Data Center Size (Large Scale DC, Medium Scale DC, and Small Scale DC), Type (Enterprise Data Center, Managed Services Data Centers, Colocation Data Center, Hyperscale Data Center, Cloud Data Center, and Edge Data Center), End-User (Banking, Financial Services and Insurance (BFSI), Pharmaceutical, Government, IT and Telecommunication, Healthcare, Energy and Utility, Retail & E-Commerce, Research & Academic, Manufacturing, Media and Entertainment, and Others)
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Countries Covered
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Germany, France, U.K., Italy, Spain, Russia, Turkey, Belgium, Netherlands, Switzerland, Ireland, and Rest of Europe
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Market Players Covered
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IBM Corporation (U.S.), Cisco Systems, Inc. (U.S.), Lenovo (China), Schneider Electric (France), Dell Inc. (U.S.), Juniper Networks, Inc. (U.S.), Rittal GmbH & Co. KG (Germany), Oracle ((U.S.)), Hewlett Packard Enterprise Development LP (U.S.), Equinix, Inc. (U.S.), FUJITSU (Japan) and Hitachi Vantara, (A brand of Hitachi, Ltd.)(Japan)
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Market Definition
A data center is a physical or virtual facility that businesses use to store critical applications and data. It is designed upon a network of computing and storage resources that enable the delivery of shared applications and data. Businesses of various natures prefer it as it provides a highly reliable, secure environment with redundant mechanical, cooling, and electrical power systems and network communication connections. Data center construction is the combined set of processes used to construct a data center facility, physically or virtually. The construction process refers to activities involved in designing, planning, and constructing a facility. The key components of a data center design include routers, switches, firewalls, storage systems, servers, and application-delivery controllers. Data center costs comprise IT infrastructure, power distribution, cooling solutions, and several miscellaneous expenses. With the rapid increase in data consumption for business solutions and technological advancements with product innovations, many companies are increasing their presence in the market, which in return is boosting the growth of the data center construction market.
Europe Data Center Construction Market Dynamics
This section deals with understanding the market drivers, advantages, opportunities, restraints, and challenges. All of this is discussed in detail below:
Drivers
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Rapid growth in cloud, AI/ML-based services
Rapid growth in cloud technology and AI/ML based services has positively impacted the market. As it has allowed the data center service provider and companies to drive more and more business solution and bring efficiency in business by applying different model with help of cloud technology and Artificial intelligence proving major boost for market.
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Increase in demand for storing unstructured data
In current times, the unstructured data act as crude oil for many digital giants such as Facebook, Google, Instagram as this particular set of data when structured can enhance the user experience of user and digital giants can sell products, service via platform and charge for advertisement form different service providers. The data center is used to store vast amount of data and is hoisting the market growth.
Opportunities
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Upsurge in demand for data storage and management capabilities in financial sectors
The role of the data center in financial services sector has changed drastically when compared to the traditional data centers approach, due to drastic change in revenues from financial service units has forced the requirement to change the IT infrastructure in order to meet the growing changes. This is expected to provide lucrative opportunity for the growth of the market.
Restraints/Challenge
- Lack of skilled workforce and expertise for data center construction
High initial and maintenance cost for data centers and high carbon footprint of data centers the major restraint factors affecting the growth of the market. Further, lack of skilled workforce and expertise for data center construction with high complexity involvement in data center construction are impeding the Europe data center construction market. Thus, above mentioned reasons is hampering the growth of satellite launch services market.
Covid-19 Impact on Europe Data Center Construction Market
The COVID-19 has positively affected Europe data center construction market. As production of data was unaffected by the lockdowns and businesses and institution were constantly working on these data to enhance their products. The demand for more data center has been seen in that phase as well but the construction of data center were impacted which has catch the required phase post pandemic. There is no denial that data center construction market has progressed positively during and after COVID-19.
Recent Developments
- In March 2022, Hewlett Packard Enterprise announced its partnership with Cheops Technology. Through this partnership the company is set to provide its HPE GreenLake edge-to-cloud platform to France customers, this will boost company presence in Europe and is going to Support Company’s mission of critical data growth.
- In December 2021, Equinix, Inc. announced its partnership with NASDAQ, Inc Through this partnership the company is to build out of NASDAQ’s cloud infrastructure and scale the data produced at Equinix NY11 data center. This will allow company to deliver ultra-low latency edge compute capabilities directly from its data center to NASDAQ, Inc, proving it strength in data center market.
Europe Data Center Construction Market Scope
Europe data center construction market is segmented on the basis of the infrastructure type, offering, tier standards, data center type/ data center size, type, and end-user. The growth amongst these segments will help you analyse meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Infrastructure Type
- Electrical Infrastructure
- General Infrastructure
- Mechanical Infrastructure
On the basis of the infrastructure type, Europe data center construction market is segmented into electrical infrastructure, general infrastructure and mechanical infrastructure.
Offering
- Solutions
- Services
On the basis of the offering, Europe data center construction market is segmented into solutions and services.
Tier Standards
- Tier I
- Tier II
- Tier III
- Tier IV
On the basis of the tier standards, Europe data center construction market is segmented into tier I, tier II, tier III and tier IV.
Data Center Type/ Data Center Size
- Large Scale DC
- Medium Scale DC
- Small Scale DC
On the basis of the data center type/ data center size, Europe data center construction market is segmented into large data dc, medium data dc and small data dc.
Type
- Enterprise Data Center
- Managed Services Data Centers
- Colocation Data Centers
- Hyperscale Data Center
- Cloud Data Center
- Edge Data Center
On the basis of the type, Europe data center construction market is segmented into enterprise data center, managed services data center, colocation data center, hyperscale data center, cloud data center and edge data center.
End-User
- Banking, Financial Services and Insurance (BFSI)
- Pharmaceutical
- Government
- IT and Telecommunication
- Healthcare
- Energy and Utility
- Retail & E-Commerce
- Research & Academic
- Manufacturing
- Media and Entertainment
- Others
On the basis of the end-user, Europe data center construction market is segmented into banking, financial services and insurance (BFSI), pharmaceutical, government, IT and telecommunication, healthcare, energy and utility, retail & e-commerce, research & academic, manufacturing, media and entertainment and others.
Europe Data Center Construction Market Country Analysis/Insights
The data center construction market is analysed and market size insights and trends are provided by infrastructure type, offering, tier standards, data center type/ data center size, type, and end-user as referenced above.
Europe data center construction market is comprises of Germany, France, U.K., Italy, Spain, Russia, Turkey, Belgium, Netherlands, Switzerland, Ireland, and Rest of Europe.
Germany is expected to dominate the Europe data center construction market due to growing demand of data storage facilities.
The country section of the report also provides individual market impacting factors and changes in regulations in the market domestically that impacts the current and future trends of the market. Data points such as new sales, replacement sales, country demographics, disease epidemiology and import-export tariffs are some of the major pointers used to forecast the market scenario for individual countries. Also, presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of sales channels are considered while providing forecast analysis of the country data.
Competitive Landscape and Europe Data Center Construction Market Share Analysis
The data center construction market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, Europe presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to data center construction market.
Some of the major players operating in the data center construction market are IBM Corporation, Cisco Systems, Inc., Lenovo, Schneider Electric, Dell Inc., Juniper Networks, Inc., Rittal GmbH & Co. KG, Oracle, Hewlett Packard Enterprise Development LP, Equinix, Inc., FUJITSU and Hitachi Vantara, (A brand of Hitachi, Ltd.), among others.
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