Asia Pacific Data Centre Market, Size, Forecast 2023-2028, Industry Trends, Growth, Impact of Inflation, Opportunity Company Analysis
Asia-Pacific Data Centre Market will reach US$ 53.58 Billion in 2028 and expand at a CAGR of 12% from 2023 to 2028, according to Renub Research. A data center is a facility that concentrates organizations shared IT operations and equipment to store, process, and disseminate data and applications. Since they house an organization's most essential and proprietary assets, data centers are crucial to daily operations. Hence, the security and reliability of data centers and their information are among any organization's top priorities.
Further, the shift in traditional on-premises physical servers on the virtual network-based data center, owning to the advancement in multi-cloud computing, is driving the growth of data centers. The modern data center in an enterprise can communicate with multiple sites, both cloud computing and on-premises. As per this research report, Asia Pacific Data Center Industry was US$ 27.15 Billion in 2022.
Recent Trends:
As of 2022, Eastern Asia had the highest number of internet users at 1.2 Billion, for comparison, the Americas had only 807 million.
With colocation and hyper-scale, data centers are rapidly growing their capacity. For example, in Malaysia, the announcements of more than 800 megawatts of IT load in projects over the last year.
The development of data centers is owing to the strong market fundamentals and an increasing trend towards more excellent localization of data center facilities.
Also, emerging markets like Osaka, Melbourne, Jakarta, Manila, Hanoi, Taipei, Hyderabad, New Delhi, and Chennai grew from just under 700 MW 5-years ago to currently over 3,000 MW, registering a whopping 300 percent growth in capacity.
More businesses are speeding up their digital transformations, and the demand for cloud services and lower latency has proliferated, resulting in cloud providers sourcing colocation and self-build facilities in previously overlooked cities.
The demand for data centers will continue with virtual, augmented reality, AI, and the Internet of Things.
IT & Telecom will dominate due to Growth in Data Generation
By end-use, the Asia-Pacific Data Centre Market is segmented into; Retail, BFSI, IT & Telecom, Healthcare, Media & Entertainment, and Others. In the IT infrastructure segment, significant revenue generation is by servers as the growth in data generation is augmenting demand for faster processing and efficient servers.
Furthermore, data generation is Exabyte’s and petabytes due to high internet penetration. Therefore, the data centre operators need a systematic IT infrastructure aided by constant innovations by vendors toward the execution of this infrastructure in the APAC region.
The Asia-Pacific media and entertainment market will grow at an increasing rate during the forecast period. With the ever-expanding requirement for seamless communication, digital entertainment, and the urge for wireless networks, the media and entertainment market is gradually emerging.
Corporate Data Centres held the Highest Market Share in 2022
Based on type, the Asia-Pacific Data Centre Market is categorized into; Corporate Data Centre and Web hosting Data Centre. The corporate data centre category will hold the lion's share of the entire market from 2023 to 2028. The dominance is because many big companies need affordable data centres that are competent in sending, retrieving, storing, and backing up vast amounts of information and data. For instance, Indian data centre providers have invested in technology to provide their customers with top services. Businesses with access to scalable cloud services can compete successfully without worrying about the decreasing returns brought on by growth.
The Growing Demand for High-Density Data Centers by Businesses is Augmenting its Growth
The Asia-Pacific Data Centre Market, based on density, is divided into; High Density, Medium Density, Extreme Density, and Low Density. The need for efficiency coupled with the demand for compact equipment is primarily increasing the adoption of High-Density Data Centres. Further, rising demand for operations related to data centers & increasing investment in data center equipment is the primary factor boosting the growth of the global high-density racks market.
In addition, emerging economies such as India & China will drive the high-density data center market primarily due to increasing investments in several sectors such as banking, Telecom& insurance, and others requiring data centers to support new regional projects. Moreover, owing to regulatory and security reasons, several organizations in India are not allowed to host their data in a data center out of the country. As a result, the data center providers are setting up local data centers in India, indicating the growing mega data center facilities in India.
Wholesale Service will grow at an Increasing Rate and Capture the Majority of Market Share
Based on colocation services, the Asia-Pacific Data Center Market is broken up into; Retail and Wholesale. The wholesale colocation service will register the highest growth rate over the coming years due to several major cloud service providers and hyper scalers moving toward wholesale colocation. Large enterprises have a broad customer base, leading to the generation of substantial volumes of data. The need for ample commercial space for accumulating their servers creates a demand for wholesale colocation. The wholesale colocation providers have also started to lease out retail spaces within their existing facilities, leading to a blurring of lines between these two types of solutions. Enterprises are now considering those solutions for implementation which offer the best of these types, and thus a new form of the hybrid solution is gaining momentum.
Key Players Analysis:
A few major players dominate the Asia-Pacific market are; SUNeVision Holdings Ltd., PCCW Limited, Towngas Telecommunications Company Limited., China Mobile Limited, AT&T Inc., Digital Realty Trust Inc., Equinix Inc., Microsoft, NTT Communications Corporation, and Google.
In June 2022 - Lenovo Group Limited and PCCW Limited jointly announced that they have entered into definitive agreements to establish a strategic partnership to create a technology solutions business in the Asia Pacific region. The partnership, PCCW Lenovo Technology Solutions Limited (""PLTS""), will leverage the combined strengths of Lenovo and PCCW to create compelling value for company’s employees, customers, and shareholders.
In March 2022 - SUNeVision acquired land assigned for a cable landing station (CLS) in Hong Kong. The Lands Department declared this week that the tender for an area in Chung HomKok had been awarded to STT Limited on a 30-year land grant for HK$ 427.88 Million.
Renub Research report titled “Asia-Pacific Data Center Market Forecast by end-use (Retail, BFSI, IT & Telecom, Healthcare, Media & Entertainment, and Others), type (Corporate Data Centre, and Web hosting Data Centre), density (High Density, Medium Density, Extreme Density, and Low Density) colocation (Retail, and Wholesale), Company Analysis (SUNeVision Holdings Ltd., PCCW Limited, Towngas Telecommunications Company Limited., China Mobile Limited, AT&T Inc., Digital Realty Trust Inc., Equinix Inc., Microsoft, NTT Communications Corporation, and Google)"" provides a detailed analysis of Asia-Pacific Data Center Market.
End-Users - Market breakup from 6 Viewpoints:
1. Retail
2. BFSI
3. IT & Telecom
4. Healthcare
5. Media & Entertainment
6. Others
Type – Market breakup from 2 Viewpoints:
1. Corporate Data Centre
2. Webhosting Data Centre
Density - Marketbreakupfrom4 viewpoints:
1. High Density
2. Medium Density
3. Extreme Density
4. Low Density
Colocation Type – Market breakup of 2 Sectors
1. Retail
2. Wholesale
Companies have been covered from 3 Viewpoints:
• Overview
• Recent Development
• Revenue
Company Analysis:
1. SUNeVision Holdings Ltd.
2. PCCW Limited
3. Towngas Telecommunications Company Limited
4. China Mobile Limited
5. AT&T Inc.
6. Digital Realty Trust Inc.
7. Equinix Inc.
8. Microsoft
9. NTT Communications Corporation
10. Google
- 1. Introduction
- 2. Research & Methodology
- 3. Executive Summary
- 4. Market Dynamics
- 4.1 Growth Drivers
- 4.2 Challenge
- 5. Asia Pacific Data Centre Market
- 6. Share Analysis – Asia Pacific Data Centre Market
- 6.1 By End use
- 6.2 By Type
- 6.3 By Density
- 6.4 By Colocation Type
- 7. End use – Asia Pacific Data Centre Market
- 7.1 Retail
- 7.2 BFSI
- 7.3 IT & Telecom
- 7.4 Healthcare
- 7.5 Media & Entertainment
- 7.6 Others
- 8. Type – Asia Pacific Data Centre Market
- 8.1 Corporate data Centre
- 8.2 Webhosting data Centre
- 9. Density – Asia Pacific Data Centre Market
- 9.1 High Density
- 9.2 Medium Density
- 9.3 Extreme Density
- 9.4 Low Density
- 10. Colocation Type – Asia Pacific Data Centre
- 10.1 Retail
- 10.2 Wholesale
- 11. Key Players Analysis
- 11.1 SUNeVision Holdings Ltd
- 11.1.1 Business Overview
- 11.1.2 Sales Analysis
- 11.1.3 Recent Development
- 11.2 PCCW Limited
- 11.2.1 Business Overview
- 11.2.2 Sales Analysis
- 11.2.3 Recent Development
- 11.3 Towngas Telecommunications Company Limited
- 11.3.1 Business Overview
- 11.3.2 Sales Analysis
- 11.3.3 Recent Development
- 11.4 China Mobile Limited
- 11.4.1 Business Overview
- 11.4.2 Sales Analysis
- 11.4.3 Recent Development
- 11.5 AT&T Inc.
- 11.5.1 Business Overview
- 11.5.2 Sales Analysis
- 11.5.3 Recent Development
- 11.6 Digital Realty Trust Inc.
- 11.6.1 Business Overview
- 11.6.2 Sales Analysis
- 11.6.3 Recent Development
- 11.7 Equinix Inc.
- 11.7.1 Business Overview
- 11.7.2 Sales Analysis
- 11.7.3 Recent Development
- 11.8 Microsoft
- 11.8.1 Business Overview
- 11.8.2 Sales Analysis
- 11.8.3 Recent Development
- 11.9 NTT Communications Corporation
- 11.9.1 Business Overview
- 11.9.2 Sales Analysis
- 11.9.3 Recent Development
- 11.10 Google
- 11.10.1 Business Overview
- 11.10.2 Sales Analysis
- 11.10.3 Recent Development
- List of Figures:
- Figure-01: Asia Pacific – Data Centre Market (Billion US$), 2018 – 2022
- Figure-02: Asia Pacific – Forecast for Data Centre Market (Billion US$), 2023 – 2028
- Figure-03: End Use – Retail Market (Billion US$), 2018 – 2022
- Figure-04: End Use – Forecast for Retail Market (Billion US$), 2023 – 2028
- Figure-05: End Use – BFSI Market (Billion US$), 2018 – 2022
- Figure-06: End Use – Forecast for BFSI Market (Billion US$), 2023 – 2028
- Figure-07: End Use – IT & Telecom Market (Billion US$), 2018 – 2022
- Figure-08: End Use – Forecast for IT & Telecom Market (Billion US$), 2023 – 2028
- Figure-09: End Use – Healthcare Market (Billion US$), 2018 – 2022
- Figure-10: End Use – Forecast for Healthcare Market (Billion US$), 2023 – 2028
- Figure-11: End Use – Media & Entertainment Market (Billion US$), 2018 – 2022
- Figure-12: End Use – Forecast for Media & Entertainment Market (Billion US$), 2023 – 2028
- Figure-13: End Use – Others Market (Billion US$), 2018 – 2022
- Figure-14: End Use – Forecast for Others Market (Billion US$), 2023 – 2028
- Figure-15: Type – Corporate data Centre Market (Billion US$), 2018 – 2022
- Figure-16: Type – Forecast for Corporate data Centre Market (Billion US$), 2023 – 2028
- Figure-17: Type – Webhosting data Centre Market (Billion US$), 2018 – 2022
- Figure-18: Type – Forecast for Webhosting data Centre Market (Billion US$), 2023 – 2028
- Figure-19: Density – High Density Market (Billion US$), 2018 – 2022
- Figure-20: Density – Forecast for High Density Market (Billion US$), 2023 – 2028
- Figure-21: Density – Medium Density Market (Billion US$), 2018 – 2022
- Figure-22: Density – Forecast for Medium Density Market (Billion US$), 2023 – 2028
- Figure-23: Density – Extreme Density Market (Billion US$), 2018 – 2022
- Figure-24: Density – Forecast for Extreme Density Market (Billion US$), 2023 – 2028
- Figure-25: Density – Low Density Market (Billion US$), 2018 – 2022
- Figure-26: Density – Forecast for Low Density Market (Billion US$), 2023 – 2028
- Figure-27: Colocation Type – Retail Market (Billion US$), 2018 – 2022
- Figure-28: Colocation Type – Forecast for Retail Market (Billion US$), 2023 – 2028
- Figure-29: Colocation Type – Wholesale Market (Billion US$), 2018 – 2022
- Figure-30: Colocation Type – Forecast for Wholesale Market (Billion US$), 2023 – 2028
- Figure-31: SUNeVision Holdings Ltd – Global Revenue (Million US$), 2018 – 2022
- Figure-32: SUNeVision Holdings Ltd – Forecast for Global Revenue (Million US$), 2023 – 2028
- Figure-33: PCCW Limited – Global Revenue (Billion US$), 2018 – 2022
- Figure-34: PCCW Limited – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-35: Towngas Telecommunications Company Limited – Global Revenue (Billion US$), 2018 – 2022
- Figure-36: Towngas Telecommunications Company Limited – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-37: China Mobile Limited – Global Revenue (Billion US$), 2018 – 2022
- Figure-38: China Mobile Limited – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-39: AT&T Inc. – Global Revenue (Billion US$), 2018 – 2022
- Figure-40: AT&T Inc. – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-41: Digital Realty Trust Inc. – Global Revenue (Billion US$), 2018 – 2022
- Figure-42: Digital Realty Trust Inc. – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-43: Equinix Inc. – Global Revenue (Billion US$), 2018 – 2022
- Figure-44: Equinix Inc. – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-45: Microsoft – Global Revenue (Billion US$), 2018 – 2022
- Figure-46: Microsoft – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-47: NTT Communications Corporation – Global Revenue (Billion US$), 2018 – 2022
- Figure-48: NTT Communications Corporation – Forecast for Global Revenue (Billion US$), 2023 – 2028
- Figure-49: Google – Global Revenue (Billion US$), 2018 – 2022
- Figure-50: Google – Forecast for Global Revenue (Billion US$), 2023 – 2028
- List of Tables:
- Table-01: Asia Pacific – Data Centre Market Share by End Use (Percent), 2018 – 2022
- Table-02: Asia Pacific – Forecast for Data Centre Market Share by End Use (Percent), 2023 – 2028
- Table-03: Asia Pacific – Data Centre Market Share by Type (Percent), 2018 – 2022
- Table-04: Asia Pacific – Forecast for Data Centre Market Share by Type (Percent), 2023 – 2028
- Table-05: Asia Pacific – Data Centre Market Share by Density (Percent), 2018 – 2022
- Table-06: Asia Pacific – Forecast for Data Centre Market Share by Density (Percent), 2023 – 2028
- Table-07: Asia Pacific – Data Centre Market Share by Colocation Type (Percent), 2018 – 2022
- Table-08: Asia Pacific – Forecast for Data Centre Market Share by Colocation Type (Percent), 2023 – 2028
Research Assistance
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.
Download eBook