Data center rack market size to reach $8.56 bn in 2030

The data center rack market size reached USD 4.08 Billion in 2021 and is expected to register a CAGR of 8.6% during the forecast period, according to latest analysis by Emergen Research. Rising number of data center facilities coupled with increasing implementation of advanced technologies such as Artificial Intelligence (AI), Internet of Things (IoT), and Machine Learning (ML) among others across various end-use industries are a few of the factors driving market revenue growth. Increasing usage of such technologies is leading to a high requirement for storage of vast volumes of data which is boosting the demand for data center racks. High demand for secure and off-site storage, as well as improved connectivity, is driving demand for such data center rack facilities.

Racks consolidate IT equipment, such as servers and network switches, into standardized assemblies that maximize space and other resources. Moreover, helps in increasing power protection, cable management, cooling, device management, mobility, physical security, simplicity of installation, and protection from extreme climatic conditions, which is a few of the factors expected to boost demand for data center racks.

Organizations may use various IT department functions without making huge investments, whereas medium to large organizations can increase data storage capacity while avoiding overhead and resource-intensive maintenance expenses. Furthermore, colocation enhances security by supplying power, bandwidth, and a public IP address to storage devices. Technologies such as virtualization and containerization, blockchains and cryptocurrencies, edge computing, and cloud services are increasing demand for high processing power and high-density racks.

On 16 December 2022, VNG Corporation, which is a well-recognized global standard for classifying data center performance in electromechanical infrastructure, announced the launch of a new data center in Ho Chi Minh City, marking a significant step forward for VNG in offering a full-tier III facility that is carrier neutral. This new world-class data center is now operational, offering excellent uptime infrastructure for all digital service platforms, secure data storage, and innovative cloud solutions, as well as complementing the company’s current cloud services for its Vietnamese clients.

The data center is expected to be critical in delivering strong and secure infrastructure solutions for VNG’s clients as well as internal requirements, with the facility constructed to Tier III Uptime standards and equipped with technology to improve energy efficiency and availability.

CT Bureau