Dublin, Feb. 19, 2024 (GLOBE NEWSWIRE) -- The "Germany Data Center Market Size & Share Analysis - Growth Trends & Forecasts (2023-2028)" report has been added to ResearchAndMarkets.com's offering.
The Germany Data Center Market is currently under a significant evolution phase, showcasing an impressive surge in market size from USD 6.19 billion in 2023 to an expected USD 7.7 billion by 2028, progressing at a Compound Annual Growth Rate (CAGR) of 4.45% during the forecast period.
The robust growth is underpinned by the escalated demand for data processing power in Germany, driving the need for advanced data infrastructure. This demand has been particularly heightened by the rapid digital transformation observed across various sectors in light of the COVID-19 pandemic. Initiatives aimed at digitizing key segments such as education, healthcare, public safety, and manufacturing are vital in spurring economic growth and skills development.
Key Highlights:
- Data centers in Germany abide by stringent European data protection regulations, which guarantees backups and data protection compliance as per the German Bundesdatenschutzgesetz (BDSG).
- High investment attractiveness in cities like Berlin, Hamburg, and Frankfurt is evident with expansions from companies like Alibaba Cloud, focusing on AI and machine learning applications.
- Major cloud providers such as AWS, Microsoft Azure, and Google are structuring large-scale investments within the region, cementing Germany's status as a pivotal data hub.
- However, challenges such as intricate tax protocols and bureaucracy in IT hardware importation remain hurdles to the market's seamless expansion.
- Positive trends following the pandemic showcase a shift towards cloud services and remote working infrastructures, further bolstering market trajectories.
Tier 3 Data Centers Dominate the Market Share
The surge in adoption of internet devices and the rollout of 5G technology prompt a migration from Tier 1 & 2 data centers to more advanced facilities, leading to a projection where tier 4 data center market share is expected to escalate dramatically. The transformation of urban environments into smart cities further fuels the advancement of Tier 3 and Tier 4 data center facilities.
The Germany Data Center industry landscape is relatively consolidated, with significant market occupancy held by major entities. These powerhouse companies are at the forefront of the digital infrastructure revolution, underpinning the market's solid growth trajectory.
As Germany continues to spearhead technological innovations, its data center market remains a key area of interest for businesses, investors, and technology professionals eager to grasp the potential and capitalize on emerging opportunities.
A selection of companies mentioned in this report includes:
- CyrusOne Inc.
- Digital Realty Trust, Inc.
- Equinix, Inc.
- Global Switch Holdings Limited
- GlobalConnect AB
- Iron Mountain Incorporated
- Leaseweb Global B.V.
- Lumen Technologies, Inc.
- Noris Network AG
- NTT Ltd.
- Telehouse (KDDI Corporation)
- Vantage Data Centers, LLC
For more information about this report visit https://www.researchandmarkets.com/r/d58kz6
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