Belgium Data Center Physical Security - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

Belgium Data Center Physical Security - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Belgium Data Center Physical Security Market size is estimated at USD 21.14 million in 2024, and is expected to reach USD 41.42 million by 2029, growing at a CAGR of 14.40% during the forecast period (2024-2029).

The security measures can be categorized into four layers: perimeter security, facility controls, computer room controls, and cabinet controls. The first layer of data center security is to discourage, detect, and delay any unauthorized entry of personnel at the perimeter. In case of any breach in the perimeter monitoring, the second layer of defense restricts access. It is an access control system using card swipes or biometrics.

The third layer of physical security further restricts access through diverse verification methods including: monitoring all restricted areas, deploying entry restrictions such as turnstile, providing VCA, providing biometric access control devices to verify finger and thumb prints, irises, or vascular pattern, and using radio frequency identification. The first three layers ensure entry of only authorized personnel. However, further security to restrict access includes cabinet locking mechanisms. This layer addresses the fear of an 'insider threat', such as a malicious employee.

Key Highlights

• IT Load Capacity: The IT load capacity of the Belgium data center market may grow steadily and reach 260 MW by 2029.
• Raised Floor Space: The country's total raised floor area is expected to reach 1.3k sq. ft by 2029.
• Installed Racks: The country's total number of installed racks is expected to reach above 65,000 units by 2029. Brussels may house the maximum number of racks by 2029.
• Planned Submarine Cables: There are close to 5 submarine cable systems connecting Belgium, and many are under construction.

Belgium Data Center Physical Security Market Trends

Video Surveillance is Anticipated to be the Largest Segment

Data centers are home to sensitive and vital data, which makes security their highest priority. Data center operators help ensure that security standards and regulations are respected through video surveillance systems, which monitor access, detect unauthorized entry, and maintain compliance.

In September 2023, the source of the outage was Proximus' data center in the Brussels building in Evere. The fire was discovered around 9 a.m., and staff were briefly evacuated. Such incidents can occur in any data center, damaging the data stored at the facility. Therefore, the use of physical security in data centers will increase during the forecast period.

Further, the growth in the development of new data centers in Austria would trigger market demand. For instance, in July 2023, Google applied to build a new data center campus in Belgium. Farciennes Mayor announced for the first time that the search and cloud company plans to develop three facilities in the Ecopol industrial park in Wallonia. The campus area will be approximately 53,000 square meters (570,500 square feet). Construction is expected to begin at the end of the year and open in 2025. The first phase will cover approximately 7,500 square meters (80,730 square feet).

Further, in October 2023, Belgian data center operator LCL invested EUR 120 million (USD 127.6 million) to expand its facilities in Brussels. The company announced it will invest EUR 100 million (USD 106 million) in two expansion projects in Aalst and Diegem, north of the Belgian capital, and EUR 20 million (USD 21.2 million) in sustainability initiatives. Thus, the growth in data center facilities will increase market demand in the coming years.

IT & Telecommunication is Anticipated to be the Fastest Growing Segment

Belgium's ICT market is bolstered by a solid DSL telecom infrastructure developed by the majority state-owned operator, Proximus, and a pervasive co-axial cable infrastructure (particularly in Flanders) developed by the regions and communities. Effectively, 100% of households have access to the internet.

78% of users have broadband subscriptions at 30 Mbps or more significant. With three mobile operators Proximus, Orange, and Telenet -- 4G has reached 92% penetration countrywide. Proximus and Orange are working on 4.5G and 5G infrastructure to be rolled out in 2020. Proximus is considering implementing Fiber-To-The-Home. Fiber-To-The-Curb is already widespread.

The Belgian government is making significant investments in developing its IT infrastructure. Incentives are available in the Flanders region for fields requiring a lot of research, such as ICT and cloud computing. These include the investment deduction for R&D, which is equal to 20.5% of the depreciated amount or 13.5% of the acquisition value of the qualified asset. Additionally, up to 85% of a firm's net earnings from innovation are tax exempted. Such aspects are expected to drive the demand for data storage and processing facilities.

Sales have recently increased in Belgium, making it one of the fastest-growing economies for the e-commerce market. The COVID-19 pandemic saw consumers and merchants increasingly use e-commerce in Belgium. The population of online buyers between 16 and 70 years of age grew from 49% in 2017 to 66% in 2021. The transaction value of online merchants in Belgium increased from EUR 5.84 billion in 2017 to EUR 8.81 billion in 2021, even though the industry saw a massive setback due to the COVID-19 pandemic.

Belgium Data Center Physical Security Industry Overview

The Belgium data center physical security market is moderately competitive and has gained a competitive edge in recent years. In terms of market share, a few major players, such as ABB Ltd, Bosch Sicherheitssysteme GmbH, Securitas Technology, Schneider Electric, and Johnson Controls. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.

In April 2023, Schneider Electric launched a new services offer, EcoCare for Modular Data Centers services membership. Members of this innovative service plan benefit from specialized expertise to maximize modular data centers' uptime with 24/7 proactive remote monitoring and condition-based maintenance. Members benefit from exclusive support, which includes a dedicated customer success management team, who become their go-to coach, orchestrating remote and on-site services teams and addressing infrastructure and maintenance needs at a system level, rather than a fragmented approach for each asset only when problems arise.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support