Data Center

Revenue in the Data Center market is projected to reach US$7.74m in 2024.
Network Infrastructure dominates the market with a projected market volume of US$4.23m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 6.27%, resulting in a market volume of US$10.49m by 2029.
In global comparison, most revenue will be generated United States (US$123.20bn in 2024).

Definition:

The Data Center market is a critical segment of the technology industry focusing on supplying and managing physical infrastructure necessary for hosting and operating IT systems, primarily servers, storage, and network equipment. This market spans from traditional in-house data centers to sophisticated facilities offered by specialized providers, covering services like hosting, shared data center facilities, and managed data center solutions. It targets a diverse client base, ranging from small businesses to large enterprises, offering flexible, scalable solutions for their IT infrastructure needs. This sector is integral to the efficient functioning and security of IT operations in various organizations.

Structure:

The Data Center market is structured in three markets based on the services model provided by the companies.

The Server market covers the resources and services related to servers, integral for hosting websites, managing databases, and supporting cloud computing.
The Storage market covers the resources and services related to data storage systems, crucial for archiving, data backup, and ensuring data recovery.
The Network Infrastructure market covers the resources and services related to network hardware essential for ensuring connectivity, data transmission, and network security.

Additional Information:

The Data Center market includes revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Market values represent revenues paid to primary vendors at the manufacturer price level either directly or through distribution channels (excluding VAT). Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the Data Center market include companies such as Dell, HPE, Huawei, and Ericsson.

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Network Infrastructure, such as Cisco Routers and Switches, and Arista Network Ethernet Switches
Infrastructure Firewalls, such as Palo Alto Network Next-Generation Firewall, and Fortinet FortiGate Firewalls
Servers, such as Dell PowerEdge Servers, HPE ProLiant Servers, and IBM Power Systems
Storage, such as Dell EMC Storage Solutions, and NetApp Data Storage Systems

IT Infrastructure for Private Environments, such as VMware vSphere, and Cisco UCS
Software, such as Microsoft Windows Server, and Red Hat Enterprise Linux
Cloud Hosting Services, such as AWS, Microsoft Azure, and GCP
Network Infrastructure Services, such as IT Support Services, and Home Internet Services Providers (ISPs)

The Data Center market in Burundi is experiencing minimal growth due to factors such as limited access to digital technologies, low health awareness among consumers, and inadequate infrastructure for online services. This has led to slower growth in sub-markets such as Servers, Storage, and Network Infrastructure.

Customer preferences: As the demand for data storage and processing continues to grow in Burundi, there has been a noticeable increase in the adoption of cloud-based solutions. This trend is driven by a growing tech-savvy population and an increasing reliance on digital services for work and personal use. Furthermore, the rise of e-commerce and online banking has also contributed to the need for secure and reliable data centers to support these transactions. As a result, there has been a significant shift towards investing in modern and efficient data centers to meet the evolving demands of consumers and businesses alike.

Trends in the market: In Burundi, the Data Center Market is experiencing a rise in demand for cloud computing services, as businesses and government agencies seek to modernize their IT infrastructure. This trend is significant as it allows for more efficient data management and cost savings. Additionally, there is a growing interest in green data centers, as sustainability becomes a key concern for both businesses and consumers. This trend could potentially lead to new opportunities for industry stakeholders, such as renewable energy providers and companies specializing in green technology.

Local special circumstances: In Burundi, the Data Center Market is influenced by the country's small size and landlocked location, which limits its connectivity and access to international markets. Additionally, the country's political instability and high poverty rates also impact the market's growth and investment opportunities. However, the government's efforts to improve internet infrastructure and promote digital transformation are expected to drive the market's growth. Moreover, Burundi's strong agricultural sector and growing adoption of technology in the sector present opportunities for data center providers to cater to the increasing demand for cloud-based solutions in the agriculture industry.

Underlying macroeconomic factors: The Data Center Market in Burundi is heavily influenced by macroeconomic factors such as government investments in digital infrastructure, national economic growth, and global trends in technology. With the growing demand for digital services and data storage, countries with favorable regulatory environments and strong investments in digital infrastructure are experiencing faster market growth. Additionally, the increasing adoption of cloud computing and the rise of e-commerce are driving the demand for data centers in the country. The government's efforts to improve internet connectivity and promote digitalization in various industries are also contributing to the growth of the Data Center Market in Burundi. These factors are expected to continue driving market growth in the coming years.

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Technology market, in a PDF format.

Although data centers may not make front page news, they serve a critical role as the infrastructure powering the most exciting developments in tech. While data centers were once known as small rooms housed on-site by business users, they have increasingly become extensive, centralized facilities managed by multinational operators. Many organizations rent data center capacity from a so-called colocation provider such as Equinix or Digital Realty, while others subscribe to cloud subscription services to take care of their storage and compute requirements. The global market was forecast to bring in 344 billion U.S. dollars in 2024, propelled by the adoption data intensive technologies.