Colocation Market by Type (Retail Colocation and Wholesale Colocation), End-User (Large Enterprises and Small and Medium Enterprises) and Industry Vertical (BFSI, Government & Public sector, Telecom & IT, Healthcare & Life sciences, Energy) - Global Opportunity Analysis and Industry Forecast, 2014 - 2020

July 2015 | 128 pages | ID: W62EE695763EN
Allied Market Research

Abstracts

Colocation facility is the administration that allows small and large organizations to set up their servers (or contract a server on rent) at the location of data center suppliers. This permits the companies to concentrate on their core business activities. The global colocation market is expected to grow at a CAGR of 12.4% during the forecast period, 2015–2020. Colocation facility provides cost effective solutions for organizations as against the installation of servers at their own premises. It eliminates the prerequisite requirements of space and reduces the operating cost incurred for cooling and heating systems. In addition, handling the operation of data centers requires IT expertise for the company, which can be handled by colocation facilities. Moreover, the growing awareness towards reduction of carbon footprints is has boosted the growth of the market. However, due to limited network bandwidths available in colocation, some organizations prefer in-house LAN connected data center facilities to colocation. In any case, high start-up capital expenditure and continually fluctuating operational expenses act as restraints for the market, as these factors do not permit the organizations to keep control over their expenses. Colocation data centers supplemented with cloud computing permits adaptability and enhanced networking capabilities, thus, promoting opportunities for the growth of the market.

The market is segmented on the basis of retail solution and wholesale solution for colocation hosting. The retail solution consists of shared rack space, which is generally preferred by small and medium enterprises (SMEs). The wholesale solution allows companies to have a dedicated rack space or floor space to host their servers. The retail colocation holds the highest market share in the colocation market. However, the wholesale colocation segment would exhibit the highest growth rate during the forecast period.
The end-user market is segmented into SMEs and large organizations. Large organizations are further segmented into Banking, Financial Services and Insurance (BFSI), government and public sector utilities, telecommunication & IT and healthcare and life sciences. The share of large organizations is more as they opt for colocation services on a larger scale. However, it is expected that the SMEs would have a better growth potential as more small businesses would prefer retail colocation services.
Geographically, the market is segmented into North America, Europe, Asia-Pacific and LAMEA. North America is anticipated to be the largest market for colocation. The Asia-Pacific market for colocation had accounted for 24.9% of the overall colocation market and expected to grow at a higher CAGR of 14.3% during 2015–2020. The economic growth rate of the developing countries in the Asia-Pacific region would promote more organizations to opt for colocation hosting. Therefore, this region is likely to have the highest growth rate, whereas LAMEA is expected to grow at a decent pace.
The principal strategies adopted by key companies of the market are partnerships and collaborations. This facilitates the provision of strategic location services to Equinix, Inc, Interxion Holding NV, SunGuard Availability Services, CenturyLINK Technology Solutions, Verizon Communication Ltd, KDDI Telehouse Corporation, NTT data Corporation, American Telephone & Telegraph, Inc., Telecity Group, Global Switch Corporation, DuPont Fabros Technology, Inc., Digital Reality, Rackspace and Navisite, Inc.

POTENTIAL BENEFITS FOR STAKEHOLDERS:

• This report forecast the prospects of the global colocation market based on market trends of 2014.
• The report provides a competitive scenario of the global colocation markets with current and future growth trends, structure, driving factors, scope, opportunities and challenges.
• The report includes comprehensive analysis of market segments to provide insights about market dynamics.
• Porter’s five forces model analysis provides inputs on the buyer and supplier potential and highlights the competitive structure of the market that would enable market players to devise effective plans and facilitate better decision making.
• Value chain analysis provides key inputs on the role of all stakeholders in the market.
• SWOT analysis of key players of market draw out the essential strengths and potential opportunities in the market.

KEY MARKET SEGMENTS:

The global colocation market segmentation is illustrated below:

• Global Colocation Market—By Type
• Retail Colocation
• Wholesale Colocation
• Global Colocation Market—By End User
• Small-Medium Enterprises
• Large Enterprises
• Global Colocation Market—By Industry Vertical
• Banking, Financial and Insurance Sector
• Government & Public sector
• Telecom & IT Sector
• Healthcare & Life sciences Sector
• Energy Sector
• Other Sectors
• Global Colocation Market—By Geography
• North America
• Europe
• Asia-Pacific
• LAMEA
• KEY PLAYERS
• Equinix, Inc
• Interxion Holding NV
• SunGuard Availability Services
• CenturyLINK Technology Solutions
• Verizon Communication Ltd.
• KDDI Telehouse Corporation
• NTT data Corporation
• American Telephone & Telegraph, Inc.
• Telecity Group
• Global Switch Corporation
• DuPont Fabros Technology
• Digital Reality
• Rackspace
• Navisite, Inc.

Contents

CHAPTER 1 INTRODUCTION

1.1 Report Description
1.2 Key Benefits
1.3 Key Market Segments
1.4 Research Methodology
  1.4.1 Secondary Research
  1.4.2 Primary Research
  1.4.3 Analyst Tool and Models

CHAPTER 2 EXCECUTIVE SUMMARY

2.1 CXO Perspective
2.2 Market Beyond: What to Expect By 2025
  2.2.1 Base Case Scenario
  2.2.2 Optimistic Case Scenario
  2.2.3 Critical Case Scenario

CHAPTER 3 MARKET OVERVIEW

3.1 Market Definition and Scope
3.2 Key Findings
  3.2.1 Top Impacting Factors
  3.2.2 Top Investment Pockets
  3.2.3 Top Winning Strategies
3.3 Porter’s Five Forces Analysis
  3.5.1 Lower Switching Cost and Bulk Purchase Lead to Lower Bargaining Power of Suppliers
  3.5.2 Buyers’ Higher Price Sensitivity Coupled With High Switching Cost Leads to Moderate Bargaining Power of The Buyers
  3.5.3 High Initial Investment Coupled With Required Brand Position Maintains Moderate Threat of New Entrants
  3.5.4 Continuing Technological Advancements Indicate High Threat From Substitution
  3.5.5 Large Number of Competitors Coupled With Requirement of Significant Brand Position, Maintains the Moderate Rivalry Among the Competitors
3.4 Value Chain Analysis
3.5 Market Share Analysis
3.6 Case Studies
3.7 Market Dynamics
  3.7.1 Drivers
  3.7.2 Restraints
  3.7.3 Opportunities

CHAPTER 4 GLOBAL COLOCATION MARKET BY TYPE

4.1 Retail Colocation
  4.1.1 Key Market Trends
  4.1.2 Competitive Scenario
  4.1.3 Key Growth Factors and Opportunities
  4.1.4 Market Size and Forecast
4.2 Wholesale Colocation
  4.2.1 Key Market Trends
  4.2.2 Competitive Scenario
  4.2.3 Key Growth Factors and Opportunities
  4.2.4 Market Size and Forecast

CHAPTER 5 GLOBAL COLOCATION MARKET BY END USER

5.1 Small-Medium Business
  5.1.1 Market Size and Forecast
5.2 Large Business
  5.2.1 Market Size and Forecast

CHAPTER 6 GLOBAL COLOCATION MARKET BY INDUSTRY VERTICALS

6.1 Banking, Financial Services and Insurance (BFSI)
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast
6.2 Government and Public Sector
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast
6.3 Telecom and IT Sector
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast
6.4 Energy Sector
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast
6.5 Healthcare and Life Sciences Sector
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast
6.6 Other Sectors
  6.1.1 Key Market Trends
  6.1.2 Key Growth Factors and Opportunities
  6.1.1 Market Size and Forecast

CHAPTER 7 GLOBAL COLOCATION MARKET BY GEOGRAPHY

7.1 North America
  7.1.1 Key Market Trends
  7.1.2 Competitive Scenario
  7.1.3 Key Growth Factors and Opportunities
  7.1.4 Market Size and Forecast
7.2 Europe
  7.2.1 Key Market Trends
  7.2.2 Competitive Scenario
  7.2.3 Key Growth Factors and Opportunities
  7.2.4 Market Size and Forecast
7.3 Asia-Pacific
  7.3.1 Key Market Trends
  7.3.2 Competitive Scenario
  7.3.3 Key Growth Factors and Opportunities
  7.3.4 Market Size and Forecast
7.4 LAMEA
  7.4.1 Key Market Trends
  7.4.2 Competitive Scenario
  7.4.3 Key Growth Factors and Opportunities
  7.4.4 Market Size and Forecast

CHAPTER 8 COMPANY PROFILE

8.1 Equinix, Inc.
  8.1.1 Company Overview
  8.1.2 Company Snapshot
  8.1.3 Business Performance
  8.1.4 Key Strategies and Developments
  8.1.5 SWOT Analysis of Equinix, Inc.
8.2 Interxion Holding NV
  8.2.1 Company Overview
  8.2.2 Company Snapshot
  8.2.3 Business Performance
  8.2.4 Key Strategies and Developments
  8.2.5 SWOT Analysis of Interxion Holding NV
8.3 SunGard Availability Services
  8.3.1 Company Overview
  8.3.2 Company Snapshot
  8.3.3 Business Performance
  8.3.4 Key Strategies and Developments
  8.3.5 SWOT Analysis of SunGard Availability Services
8.4 CenturyLINK Technology Solutions
  8.4.1 Company Overview
  8.4.2 Company Snapshot
  8.4.3 Business Performance
  8.4.4 Key Strategies and Development
  8.4.5 SWOT Analysis of CenturyLINK Technology Solutions
8.5 Verizon Communication Ltd.
  8.5.1 Company Overview
  8.5.2 Company Snapshot
  8.5.3 Business Performance
  8.5.4 Key Strategies and Developments
  8.5.5 SWOT Analysis of Verizon Communication Ltd.
8.6 KDDI Telehouse Corporation
  8.6.1 Company Overview
  8.6.2 Company Snapshot
  8.6.3 Business Performance
  8.6.4 Key Strategies and Developments
  8.6.5 SWOT Analysis of KDDI Telehouse Corporation
8.7 NTT DATA Corporation
  8.7.1 Company Overview
  8.7.2 Company Snapshot
  8.7.3 Business Performance
  8.7.4 Key Strategies and Developments
  8.7.5 SWOT Analysis of NTT DATA Corporation
8.8 American Telephone & Telegraph Systems, Inc.
  8.8.1 Company Overview
  8.8.2 Company Snapshot
  8.8.3 Business Performance
  8.8.4 Key Strategies and Developments
  8.8.5 SWOT Analysis of American Telephone & Telegraph Systems, Inc.
8.9 Telecity Group
  8.9.1 Company Overview
  8.9.2 Company Snapshot
  8.9.3 Business Performance
  8.9.4 Key Strategies and Developments
  8.9.5 SWOT Analysis of Telecity Group
8.10 Global Switch Corporation
  8.10.1 Company Overview
  8.10.2 Company Snapshot
  8.10.3 Business Performance
  8.10.4 Key Strategies and Developments
  8.10.5 SWOT Analysis of Global Switch Corporation
8.11 DuPont Fabros Technology, Inc.
  8.11.1 Company Overview
  8.11.2 Company Snapshot
  8.11.3 Business Performance
  8.11.4 Key Strategies and Developments
  8.11.5 SWOT Analysis of DuPont Fabros Technology, Inc.
8.12 Digital Realty
  8.12.1 Company Overview
  8.12.2 Company Snapshot
  8.12.3 Business Performance
  8.12.4 Key Strategies and Developments
  8.12.5 SWOT Analysis of Digital Realty
8.13 Rackspace
  8.13.1 Company Overview
  8.13.2 Company Snapshot
  8.13.3 Business Performance
  8.13.4 Key Strategies and Developments
  8.13.5 SWOT Analysis of Rackspace
8.10 NaviSite, Inc.
  8.14.1 Company Overview
  8.14.2 Company Snapshot
  8.14.3 Business Performance
  8.14.4 Key Strategies and Developments
  8.14.5 SWOT Analysis of NaviSite, Inc.

List Of Tables

LIST OF TABLES

TABLE 1 GLOBAL COLOCATION MARKET REVENUE BY GEOGRAPHY, 2014–2020 ($MILLION)
TABLE 2 GLOBAL COLOCATION MARKET REVENUE MODERATE GROWTH SCENARIO, 2020–2025 ($MILLION)
TABLE 3 GLOBAL COLOCATION MARKET REVENUE RAPID GROWTH SCENARIO, 2020–2025 ($MILLION)
TABLE 4 GLOBAL COLOCATION MARKET REVENUE DIMINISHING GROWTH SCENARIO, 2020–2025 ($MILLION)
TABLE 5 GLOBAL COLOCATION MARKET BY TYPE, 2014-2020 ($MILLION)
TABLE 6 RETAIL COLOCATION MARKET BY GEOGRAPHY, 2014-2020 ($MILLION)
TABLE 7 WHOLESALE COLOCATION MARKET BY GEOGRAPHY, 2014-2020 ($MILLION)
TABLE 8 GLOBAL COLOCATION MARKET BY END USER, 2014-2020 ($MILLION)
TABLE 9 GLOBAL SMALL-MEDIUM BUSINESS COLOCATION MARKET BY GEOGRAPHY, 2014-2020 ($MILLION)
TABLE 10 GLOBAL LARGE BUSINESS COLOCATION MARKET BY GEOGRAPHY, 2014-2020 ($ MILLION)
TABLE 11 GLOBAL COLOCATION MARKET BY INDUSTRY VERTICALS, 2014-2020 ($MILLION)
TABLE 12 GLOBAL COLOCATION MARKET FOR BANKING, FINANCIAL AND INSURANCE (BFSI) SECTOR, 2014-2020 ($MILLION)
TABLE 13 GLOBAL COLOCATION MARKET FOR GOVERNMENT AND PUBLIC SECTOR, 2014-2020 ($MILLION)
TABLE 14 GLOBAL COLOCATION MARKET FOR TELECOM & IT SECTOR, 2014-2020 ($MILLION)
TABLE 15 GLOBAL COLOCATION MARKET FOR ENERGY SECTOR, 2014-2020 ($MILLION)
TABLE 16 GLOBAL COLOCATION MARKET FOR HEALTHCARE AND LIFE SCIENCE SECTOR, 2014-2020 ($MILLION)
TABLE 17 GLOBAL COLOCATION MARKET FOR OTHERS SECTORS, 2014-2020 ($MILLION)
TABLE 18 NORTH AMERICA COLOCATION MARKET BY SOLUTION, 2014-2020 ($MILLION)
TABLE 19 EUROPE COLOCATION MARKET BY SOLUTION, 2014-2020 ($MILLION)
TABLE 20 ASIA-PACIFIC COLOCATION MARKET BY SOLUTION, 2014-2020 ($MILLION)
TABLE 21 LAMEA COLOCATION MARKET BY SOLUTION, 2014-2020 ($MILLION)
TABLE 22 EQUINIX, INC. SNAPSHOT
TABLE 23 INTERXION SNAPSHOT
TABLE 24 SUNGARD AVAILABILITY SERVICES SNAPSHOT
TABLE 25 CENTURYLINK TECHNOLOGY SOLUTIONS SNAPSHOT
TABLE 26 VERIZON COMMUNICATION LTD. SNAPSHOT
TABLE 27 KDDI-TELEHOUSE CORPORATION SNAPSHOT
TABLE 28 NTT DATA CORPORATION SNAPSHOT
TABLE 29 AMERICAN TELEPHONE & TELEGRAPH SYSTEMS SNAPSHOT
TABLE 30 TELECITY GROUP SNAPSHOT
TABLE 31 GLOBAL SWITCH CORPORATION SNAPSHOT
TABLE 32 DUPONT FABROS TECHNOLOGY, INC. SNAPSHOT
TABLE 33 DIGITAL REALTY SNAPSHOT
TABLE 34 RACKSPACE SNAPSHOT
TABLE 35 NAVISITE, INC. SNAPSHOT

List Of Figures

LIST OF FIGURES

FIG. 1 TOP IMPACTING FACTORS, MODERATE GROWTH SCENARIO (2020–2025)
FIG. 2 TOP IMPACTING FACTORS, RAPID GROWTH SCENARIO (2020–2025)
FIG. 3 TOP IMPACTING FACTORS, DIMINISHING GROWTH SCENARIO (2020–2025)
FIG. 4 TOP IMPACTING FACTORS
FIG. 5 TOP INVESTMENT POCKETS
FIG. 6 TOP WINNING STRATEGIES, 2014
FIG. 7 PORTER’S FIVE FORCES ANALYSIS
FIG. 8 VALUE CHAIN ANALYSIS
FIG. 9 MARKET SHARE ANALYSIS, 2014
FIG. 10 RETAIL MARKET SHARE BY GEOGRAPHY, 2014
FIG. 11 US RETAIL COLOCATION MARKET, 2014
FIG. 12 NORTH AMERICA- DATA CENTER STATISTICS
FIG. 13 NORTH AMERICA-WHITE SPACE STATISTICS IN THOUSANDS SQUARE METERS
FIG. 14 NORTH AMERICA-COLOCATION-MARKET SHARE ANALYSIS, Q3-2013
FIG. 15 WESTERN EUROPE-DATA CENTER STATISTICS
FIG. 16 ASIA-PACIFIC- DATA CENTER STATISTICS
FIG. 17 LAMEA-DATA CENTER STATISTICS
FIG. 18 REVENUE OF EQUINIX, INC., ($MILLION, 2012-2014)
FIG. 19 REVENUE OF EQUINIX, INC. IN PERCENT, BY GEOGRAPHY, 2014
FIG. 20 SWOT ANALYSIS OF EQUINIX, INC.
FIG. 21 REVENUE OF INTERXION, ($MILLION, 2012-2014)
FIG. 22 REVENUE OF INTERXION IN PERCENTAGE BY GEOGRAPHY, 2013
FIG. 23 SWOT ANALYSIS OF INTERXION
FIG. 24 SWOT ANALYSIS OF SUNGARD AVAILABILITY SERVICES
FIG. 25 REVENUE OF CENTURYLINK TECHNOLOGY SOLUTIONS, ($MILLION, 2012-2014)
FIG. 26 REVENUE OF CENTURYLINK TECHNOLOGY SOLUTIONS IN PERCENT, BY BUSINESS SEGMENT, 2014
FIG. 27 SWOT ANALYSIS OF CENTURYLINK TECHNOLOGY SOLUTIONS
FIG. 28 REVENUE OF VERIZON COMMUNICATION LTD ($MILLION, 2012-2014)
FIG. 29 SWOT ANALYSIS OF VERIZON COMMUNICATION LTD.
FIG. 30 REVENUE OF KDDI TELEHOUSE CORPORATION ($MILLION, 2012-2014)
FIG. 31 REVENUE OF KDDI IN PERCENT BY BUSINESS SEGMENT, 2014
FIG. 32 SWOT ANALYSIS OF KDDI TELEHOUSE CORPORATION
FIG. 33 REVENUE OF NTT DATA CORPORATION ($MILLION, 2012–2014)
FIG. 34 SWOT ANALYSIS OF NTT DATA CORPORATION
FIG. 35 REVENUE OF AMERICAN TELEPHONE & TELEGRAPH SYSTEMS ($MILLION, 2012–2014)
FIG. 36 SWOT ANALYSIS OF AMERICAN TELEPHONE & TELEGRAPH SYSTEMS
FIG. 37 REVENUE OF TELECITY GROUP ($MILLION, 2012–2014)
FIG. 38 SWOT ANALYSIS OF TELECITY GROUP
FIG. 39 REVENUE OF GLOBAL SWITCH CORPORATION ($MILLION, 2012–2014)
FIG. 40 REVENUE OF GLOBAL SWITCH CORPORATION IN PERCENT BY OPERATING SEGMENT, 2013
FIG. 41 SWOT ANALYSIS OF GLOBAL SWITCH CORPORATION
FIG. 42 REVENUE OF DUPONT FABROS TECHNOLOGY, INC ($MILLION, 2012-2014)
FIG. 43 SWOT ANALYSIS OF DUPONT FABROS TECHNOLOGY, INC
FIG. 44 REVENUE OF DIGITAL REALTY ($MILLION, 2011-2013)
FIG. 45 SWOT ANALYSIS OF DIGITAL REALTY
FIG. 46 REVENUE OF RACKSPACE ($MILLION, 2012-2014)
FIG. 47 REVENUE OF RACKSPACE IN PERCENT BY OPERATING SEGMENT, 2014
FIG. 48 SWOT ANALYSIS OF RACKSPACE
FIG. 49 SWOT ANALYSIS OF NAVISITE, INC.