Global Colocation Market Worth $25bn

Digital Marketing Agency, Based on the latest release of 451 Research’s Datacenter KnowledgeBase, the global colocation market has surpassed a run rate of $25bn in revenue with six percent of datacenter firms accounting for more than half of global revenue.

Greg Zwakman, 451 Research Director, Quantitative Services said:  “At its heart, the multi-tenant datacenter business is a regional business. So despite active consolidation and some concentration at the top, much of the market remains highly fragmented, with a mix of national and local players.”

According to Kelly Morgan, 451 Research Director for Multi-tenant Datacenters in North America, “We are seeing growing interest in markets outside of those top few cities, however. This is for several reasons, such as to reduce latency, to target medium-sized local businesses, or because operating costs are lower. 

We expect to see strong growth in several of these secondary markets over the next few years.”