Data Center - Lithuania

Lithuania

Revenue in the Data Center market is projected to reach US$470.00m in 2024.
Network Infrastructure dominates the market with a projected market volume of US$413.50m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 3.56%, resulting in a market volume of US$559.70m by 2029.
In global comparison, most revenue will be generated in the United States (US$123.20bn in 2024).

Key regions: United States, Germany, India, Japan, China

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.

For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The Data Center Market in Lithuania is experiencing minimal growth, influenced by factors such as increasing adoption of digital technologies, rising demand for storage and network infrastructure, and the convenience of online services. However, the slow growth rate may be impacted by factors like limited investment and competition from neighboring countries.

Customer preferences: The rise of remote work and the increasing reliance on digital platforms has accelerated the demand for secure and reliable data centers in Lithuania. This trend is driven by the need for seamless connectivity and data storage solutions, as businesses and individuals alike are becoming more dependent on technology for work, education, and entertainment. Additionally, the growing emphasis on data privacy and protection has led to a heightened focus on robust data center infrastructure and cybersecurity measures.

Trends in the market: In Lithuania, the Data Center Market is experiencing a surge in demand due to the increasing adoption of cloud computing and digital transformation initiatives by businesses. This trend is expected to continue as more companies recognize the benefits of outsourcing their data storage and management to specialized data centers. Additionally, there is a growing focus on energy efficiency and sustainability, with data centers implementing green initiatives to reduce their carbon footprint. These trends are significant as they drive the growth of the data center market and present opportunities for industry stakeholders. However, with the rapid expansion of data center infrastructure, there may be concerns about data security and regulatory compliance. Therefore, it is crucial for data center providers to prioritize security measures and stay updated with regulations to maintain trust and credibility with their clients.

Local special circumstances: In Lithuania, the Data Center Market is experiencing rapid growth due to its strategic location between Western and Eastern Europe, making it a hub for international data traffic. Additionally, the country's favorable business climate, low energy costs, and skilled workforce contribute to its attractiveness for data center investments. The government's support for digital infrastructure development and initiatives to attract foreign investments further enhance the market's potential. This unique combination of factors has positioned Lithuania as a leading data center market in the region, attracting both domestic and international players.

Underlying macroeconomic factors: The Data Center Market in Lithuania is heavily influenced by macroeconomic factors such as economic stability, government policies, and investment in ICT infrastructure. Countries with a stable economy and favorable government policies towards the ICT sector are experiencing significant growth in the data center market. Additionally, the increasing demand for cloud services, big data analytics, and the rise of IoT devices are driving the growth of the market. Furthermore, the government's initiatives to develop a knowledge-based economy and attract foreign investment in the ICT sector are also contributing to the growth of the data center market in Lithuania.

Methodology

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.