Green Data Center Market

Green Data Center Market Size, Share, Growth Analysis, By Component (Software, Service), By Data Center Size (Small & Medium-sized Data Centers, Large Data Centers), By Vertical (BFSI, IT & Telecom), By Region - Industry Forecast 2025-2032


Report ID: SQMIG45B2138 | Region: Global | Published Date: September, 2024
Pages: 197 | Tables: 99 | Figures: 78

Green Data Center Market Regional Insights

In 2023, North America held the largest market share in the global green data center market and is expected to grow during the forecast period. The dominance of this region is attributed due to the presence of large number of data centers in United States which is approximately 5,381 as of 2024. The growing number of data center in United States creates potential market opportunity for green data center market. The increasing usage of mobile broadband, the development of big data analytics, and cloud computing services are the motives for the modernization of data center infrastructures. Major key players including Dell, HPE and IBM have started providing green data center solutions, reflecting the dominance of this region.

On the other hand, the Asia-Pacific region is emerging as the fastest growing region and it is projected to grow at a CAGR of approximately 19% in the coming years. This growth is driven by the high usage of power and the rising awareness on energy efficiency and conservation in order to reduce energy costs. Many of the countries in the region are increasingly adopting measures that regulate energy consumption and emissions imperative for the green data centers as firms seek to adhere to such regulations and avoid penalties. The use of energy efficiency solutions reflects the region’s focus on sustainable development and compliance with standards.

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Global Green Data Center Market size was valued at USD 70.82 billion in 2022 and is poised to grow from USD 84.21 billion in 2023 to USD 336.37 billion by 2031, growing at a CAGR of 19% during the forecast period (2024-2031).

The structure of the global green data center market is highly competitive, and it is dominated by a number of key players who offer a range of products and compete on several fronts such as on the fronts of product differentiation, technological differentiation, differentiation in prices, and market coverage. It is triggered by continuous technological advancements towards achieving efficiency, utilizing renewable power, and employing sophisticated techniques in cooling. Companies like DELL, HPE, and IBM form strategic partnerships, collaborations, and carry out mergers and acquisitions to enrich their market standing and to provide better green data center solutions. However, investment has been made in technology infrastructure, as well as on compliance with sustainable solutions across all platforms. 'Dell Technologies (USA) ', 'HPE (USA) ', 'Eaton (Ireland) ', 'Schneider Electric (France) ', 'Vertiv (USA) ', 'Green Revolution Cooling (USA) ', 'Midas Green Technologies (USA) ', 'Delta Electronics (Taiwan) ', 'Rittal (Germany) ', 'Cisco (USA) ', 'Nortek Air Solutions (USA) ', 'Airedale (UK) ', 'Lenovo (China) ', 'Fujitsu (Japan) ', 'Cyber Power (Taiwan) ', 'Supermicro (USA) ', 'Inspur (China) ', 'IBM (USA) ', 'Alibaba Cloud (China) ', 'Digital Realty (USA) ', 'Equinix (USA) ', 'Huawei (China)'

Our analysis reveals that factors such as increasing awareness related to energy demand and supply and hence the increased demand for energy efficient green data centers are the major factors for the growth of the Green Data Centre market. In recent years, as the role of data centers has enhanced, worries related to its carbon footprint and energy consumption have also emerged. This shift towards green data centers is due to the demand in renewable energy use, better cooling techniques, along with artificial intelligence integrating an improved power management system. Many large corporations such as IBM and Dell are following this trend of incorporating ESG and striving for lower PUE figures.

Integration of Renewable Energy Sources: Our analysis indicates, the growing integration of renewable energy sources in green data centers as a significant trend. Data centers are increasingly adopting solar, wind, and other renewable energy sources to reduce their reliance on traditional power grids and lower their carbon footprints. This trend is fueled by stringent regulatory pressures and corporate sustainability goals. Companies are investing in on-site renewable energy installations and power purchase agreements (PPAs) to ensure a steady supply of green energy. The adoption of renewable energy is becoming a key component of green data center strategies, aligning with broader sustainability objectives.

In 2023, North America held the largest market share in the global green data center market and is expected to grow during the forecast period. The dominance of this region is attributed due to the presence of large number of data centers in United States which is approximately 5,381 as of 2024. The growing number of data center in United States creates potential market opportunity for green data center market. The increasing usage of mobile broadband, the development of big data analytics, and cloud computing services are the motives for the modernization of data center infrastructures. Major key players including Dell, HPE and IBM have started providing green data center solutions, reflecting the dominance of this region.

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Green Data Center Market

Report ID: SQMIG45B2138

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