Data Center - Netherlands

Netherlands

Revenue in the Data Center market is projected to reach US$5.25bn in 2024.
Network Infrastructure dominates the market with a projected market volume of US$2.88bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 7.93%, resulting in a market volume of US$7.69bn 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.

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Market

Region

Region comparison

Currency

Analyst Opinion

The Netherlands Data Center market is facing subdued growth due to factors such as increasing adoption of cloud technologies, rising energy costs, and strict data privacy regulations. Despite this, the market is expected to continue growing, driven by the demand for servers, storage, and network infrastructure in various sub-markets. Convenience and security offered by online services are also contributing to the market's expansion.

Customer preferences: The Netherlands is seeing a rise in demand for sustainable and energy-efficient data centers, as consumers become more environmentally conscious. This trend is driven by the country's goal to become carbon-neutral by 2050, and the increasing use of renewable energy sources. Additionally, the adoption of smart city technologies and the growth of the Internet of Things (IoT) are also contributing to the demand for data centers, as these require a vast amount of data processing and storage. This shift towards sustainability and smart technologies is expected to continue to shape the Data Center Market in the Netherlands.

Trends in the market: In the Netherlands, the Data Center Market is experiencing a surge in demand for cloud-based services, as more businesses move towards digital transformation. This trend is expected to continue, with the adoption of 5G technology and the Internet of Things (IoT) driving the need for more robust and scalable data storage solutions. Additionally, there is a growing emphasis on sustainability, with data centers implementing energy-efficient practices and renewable energy sources. These trends present opportunities for industry stakeholders to innovate and stay competitive, while also addressing environmental concerns.

Local special circumstances: In the Netherlands, the Data Center Market is thriving due to the country's strategic location and well-developed infrastructure, making it a hub for international data traffic. Additionally, the Dutch government has implemented favorable policies to encourage investment in data centers, leading to a surge in demand for data storage and processing services. Furthermore, the country's progressive and tech-savvy culture has also contributed to the growth of cloud computing and digital transformation, driving the demand for data centers in the market.

Underlying macroeconomic factors: The Data Center Market in the Netherlands is heavily impacted by macroeconomic factors such as government policies, national economic health, and global economic trends. The country's stable political climate, favorable regulatory environment, and investments in technological advancements have contributed to the growth of the data center market. Additionally, the increasing demand for digital transformation and data-driven decision making across various industries is driving the need for data center services. The country's strong digital infrastructure and skilled workforce also attract international companies to establish their data centers in the Netherlands, further boosting the market's growth.

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.