How Is The Global Colocation Edge Data Center Market Defined?
A colocation edge data center typically refers to a facility that provides space, power, cooling, and physical security for businesses to deploy their server, storage, and networking equipment. These are strategically positioned at the periphery of a network, closer to where data is generated and consumed, such as in urban areas or near industrial sites. They are primarily used to provide organizations with a cost-effective and scalable solution for housing their IT infrastructure.
Colocation Edge Data Center Global Market Report 2024 provides data on the global colocation edge data center market such as market size, growth forecasts, segments and geographies, competitive landscape including leading competitors’ revenues, profiles and market shares. The colocation edge data center market report identifies opportunities and strategies based on market trends and leading competitors’ approaches.
How Is The Market Size And Growth Rate Of The Global Colocation Edge Data Center Market Projected?
The colocation edge data center market has grown rapidly, increasing from $7.87 billion in 2023 to $9.88 billion in 2024 at a remarkable CAGR of 25.5%. Historical growth has been fueled by rising investments in digital transformation, expanded use cases for cloud-based solutions, growth of IT and telecom sectors, the establishment of new data center facilities, and the increasing use of online services. The market is expected to grow exponentially, reaching $24.67 billion in 2028 at a CAGR of 25.7%. This growth will be driven by the adoption of 5G networks, rising demand for edge data centers as a service, a surge in advanced technologies, increased reliance on cloud services, and expanding data centers and edge computing solutions. Notable trends include improved data handling, innovation in hybrid cloud infrastructure, use of edge solutions, and the application of advanced technologies to existing systems.
What Are The Primary Growth Drivers In The Colocation Edge Data Center Market?
The growing adoption of 5G networks is expected to propel the expansion of the colocation edge data center market. 5G technology, the fifth generation of mobile networks, offers faster data speeds, lower latency, and greater network capacity, which is essential for supporting IoT, streaming services, and technologies like autonomous vehicles and smart cities. Colocation edge data centers provide low-latency, high-performance computing resources at the network's edge, supporting 5G adoption. According to 5G Americas, global 5G connections grew by 76% between 2021 and 2022, reaching 1.05 billion connections. Thus, the increasing use of 5G networks will fuel the colocation edge data center market.
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What Is The Segmentation Of The Global Colocation Edge Data Center Market?
The colocation edge data center market covered in this report is segmented –
1) By Type: Retail Colocation, Wholesale Colocation
2) By Application: Banking, Financial Services And Insurance (BFSI), Energy, Government And Defense, Healthcare, Information Technology And Telecom, Manufacturing, Retail, Other Applications
3) By End-Use: Small And Midsize Enterprise (SMEs), Large Enterprises
What Emerging Trends Are Shaping The Colocation Edge Data Center Market Landscape?
In the collapsible aircraft wings industry, leading companies are forming strategic partnerships to leverage emerging technologies and expand market presence. Strategic partnerships involve companies combining resources and strengths to achieve mutual success. For example, in March 2023, TATA Advanced Systems Ltd., an Indian aerospace company, partnered with Lockheed Martin, a US-based aerospace manufacturer. This collaboration aims to produce advanced aerospace technology in India, focusing on the F-16 Block 70 and C-130 aircraft. In March 2022, Airbus SE, a Netherlands-based aircraft manufacturer, partnered with Spirit AeroSystems, a US-based aero systems manufacturer. Their partnership aims to develop wings for the next generation of Airbus eVTOL aircraft, optimizing flight efficiency and complying with aviation regulations.
Which Region Has The Fastest Expansion In The Colocation Edge Data Center Market?
North America was the largest region in the colocation edge data center market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the colocation edge data center market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
