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Datacentres – The Global Growth Story

Blog: NASSCOM Official Blog

In my last blog “Datacentres – The New Growth Opportunity”, I had highlighted how the demand for datacentres is expected to increase in the coming years, and it is one segment that has seen strong uptake in the new normal.

The next question that comes to the fore is which are the major countries that are driving majority of these investments? And what is driving this growth?

In terms of countries, US led the race accounting for 41% of the global datacentre investments in 2019, followed by China which was a far second with a share of 12%. While India and Indonesia though currently small markets are well-positioned to witness significant growth in the coming years.

                                          Source: NASSCOM’s Report “India – The next datacentre hub

This growth in the datacentre market is primarily driven by the increasing internet penetration, increased cloud adoption, rising use of big data analytics and IoT, and the increased thrust on data localization. Covid-19 has also played a catalyst role for the industry as it has accelerated the demand for cloud and digital transformation which in-turn has pushed the demand for datacentres.

Increasing efficiency of datacenters remains a key focus area for operators and developers resulting in an increase in the use of renewable sources and other energy-efficient innovations across datacentre operations. A shift towards advanced IT Infrastructure, the emergence of edge datacenters, and market consolidation are the other key trends shaping up the market as it gains traction in the new normal.

Location constraints including skills availability, government approvals, availability of power; Carbon emissions, and Security remains the key challenges preventing the market to reach its full growth potential.

To read more about the key global datacentre hubs, the market drivers, key trends and challenges, and what’s in store for the India datacentre market read our recently released report “India – The Next Datacentre Hub”.


The post Datacentres – The Global Growth Story appeared first on NASSCOM Community |The Official Community of Indian IT Industry.

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