Datacenter colocation plays a major role in providing much-needed benefit to companies willing to reduce their operating costs and remain competitive.
This has led to a movement towards leasing of colocation facilities which was traditionally dominated by owning data centers and having a dedicated team of IT professionals for maintaining and troubleshooting the issues.
The global data center colocation market is estimated to witness a compound annual growth rate of 15.81% over the period to reach US$85,605.260 million in 2024 from US$35,481.250 million in 2018.
The demand for data center colocation is being mainly driven by North America and Europe on account of the early adoption of technology and the presence of major market players.
The Asia Pacific region is projected to witness impressive growth in the coming years owing to favorable government policies promoting SME businesses and technological upgradation by businesses over the forecast period.
By the colocation model, the global data center colocation market is segmented as wholesale and retail.