What Fueled The Previous Growth In The Data Center Automation Software And Services Market?
The data center automation software and services market has seen considerable growth due to a variety of factors.
• The market for data center automation software and services has seen swift expansion over the past few years. The market is projected to escalate from $16.02 billion in 2024 to $19.17 billion in 2025, experiencing a compound annual growth rate (CAGR) of 19.7%.
The previous period’s growth is because of increased server virtualization, a rise in data center complexity, compliance necessities, the impact of cost-cutting measures, and early adoption of the cloud.
How Does the Forecast Look for the Data Center Automation Software And Services Market?
The data center automation software and services market is expected to maintain its strong growth trajectory in upcoming years.
• The market for data center automation software and services is anticipated to experience swift expansion in the forthcoming years. The market value is predicted to rise to $39.47 billion in 2029, registering a compound annual growth rate (CAGR) of 19.8%.
The said growth during the predicted period can be ascribed to factors such as the proliferation of data and IoT devices, the incorporation of artificial intelligence and machine learning (AI/ML), the transition towards hybrid and multi-cloud environments, prioritization of security automation, and the changing regulatory environment. Key trends expected during this period consist of the adoption of the cloud As-a-Service (AaS) model, emphasis on user experience, hyper automation, the normalization of automation as code (AaC), and a focus on sustainability.
What Are The Leading Drivers Of Growth In The Data Center Automation Software And Services Market?
The swift expansion of cloud computing is anticipated to drive the rise of the data center automation software and services market. Cloud computing, which provides computing services via the internet and grants access to an array of resources, is gaining prominence due to its cost-efficiency, scalability, and flexibility to cater to a wide variety of computing needs. Cloud computing promotes the smooth integration and scalability of data center automation software and services, enhancing resource management and deployment. As an illustration, the Belgium-based executive body of the European Union (EU), the European Commission, reported a 4.2% increase in the adoption of cloud computing services in the EU in 2023 compared to 2021. It was seen that 45.2% of enterprises were acquiring cloud computing services, with the information and communication sector witnessing a 79% adoption rate and large enterprises depicting a 77.6% rate, signifying a significant upsurge relative to 2021. Thus, the swift expansion of cloud computing is fueling the rise of the data center automation software and services market.
How Are The Segments Defined Within The Global Data Center Automation Software And Services Market?
The data center automation software and services market covered in this report is segmented –
1) By Type: Software, Services
2) By Organization Size: Small And Medium Enterprises (SMEs), Large Enterprise
3) By End-User: Banking Financial Services And Insurance (BFSI), Government, Telecommunication, Manufacturing, Healthcare And entertainment, Other End-Users
Subsegments:
1) By Software: Data Center Management Software, Server And Storage Automation Software, Network Automation Software, Virtualization Automation Software, Security Automation Software, Backup And Recovery Automation Software
2) By Services: Consulting Services, Integration And Deployment Services, Support And Maintenance Services, Managed Services
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What Trends Are Reshaping The Future Of The Data Center Automation Software And Services Market?
Leading enterprises dominating the data center automation software and services market are advancing their technology with innovative solutions like unified API platforms to elevate their profitability. A unified API platform is a complete, unified assortment of tools, protocols, and interfaces that enable developers to uniformly create, administer, and use APIs. For example, in December 2023, Qarbon Technologies, an IT firm based in Singapore, unveiled their LATTICE platform specially designed for data center connectivity. This advanced solution offers a flawless unified API platform, enabling easy integration of assorted data center systems with well-liked SaaS platforms. Qarbon LATTICE resolves industry dilemmas such as distinct data sources and complex manual workflows, by facilitating secure, automated connectivity, management, and reporting.
Who Are the Key Players In The Data Center Automation Software And Services Market?
Major companies operating in the data center automation software and services market are:
• Microsoft Corporation
• Dell Corporation
• Amazon Web Services (AWS)
• International Business Machine (IBM) Corporation
• Cisco Systems Inc.
• Oracle Corporation
• SAP SE
• Fujitsu Limited
• ABB Limited
• Hewlett Packard Enterprise
• VMware Inc.
• Alibaba Cloud
• Equinix Inc.
• ServiceNow Inc.
• Bulk Infrastructure Holding AS
• BMC Software Inc.
• CyrusOne
• Citrix Systems Inc.
• Cyxtera Technologies
• Chindata Group
• Ark Data Centres
• atNorth
• AtlasEdge Data Centres
• CDC Data Centers
• Chayora
• Riverturn Inc.
What Is The Most Dominant Region In The Data Center Automation Software And Services Market?
North America was the largest region in the data center automation software and services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the data center automation software and services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
