Modular data center infrastructure market: growth will continue, Asia Pacific will lead

The analyst firm Frost & Sullivan has published the results of its Global Data Center Infrastructure Solutions Market report, which shows that growth will progress, despite data center consolidation, high capital expenditure and end-user scepticism towards unfamiliar solutions. The growth is coming from demand in data storage, security and speed, resulting in large data traffic growth and supporting infrastructure.

Leading the way is the Asia Pacific region, with much of the focus on China. “While North America accounts for the highest revenues, emerging markets will grow at a faster rate, and China will lead the Asia-Pacific region,” says Gautham Gnanajothi, energy research analyst.

Gnanajothi says that edge computing and disaster recovery are potential growth areas, “indicating a shift toward bringing data centers closer to end users. This, too, will drive modularity in data centers in the Asia-Pacific region”.

The report It highlights the growth opportunities and trends in the data center infrastructure solutions arena and provides a five-year forecast on the market metrics, covering data center cooling, genset, uninterruptible power supply (UPS), and rack segments.

However modular solutions are being underestimated in the market as users remain focused on traditional technologies. Gnanajothi says this presents challenges for vendors.

“Further, the user base is contracting as data center owners turn to site consolidation to get the best value from IT investments; reducing the number of physical data center locations means fewer management issues and higher cost savings in terms of cooling and power needs,” Gnanajothi continues.

“High user focus on traditional technologies and their tendency to underestimate the potential of modular solutions pose a severe challenge for the vendors,” he notes.


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