US Hyperscale Data Center Markets 2021-2026 – Deployment of Microgrids / Innovative Technologies / UPS Battery Technologies / Procurement of Renewable Energy / Hyperconverged & Converged Platforms Copyright 2021 PR Newswire. All Rights Reserved 2021-09-21
The US hyperscale data center market by investment is expected to grow at a CAGR of 3.30% during the period 2021-2026. The US is witnessing massive growth in internet usage by people and businesses. The country is the largest market in terms of data center operations, and it is continuing to grow due to the higher consumption of data by end-users. The growing popularity of the Internet of Things (IoT) is a major driver for the U.S. hyperscale data center market, leading to additional facilities that can support exabytes of data generated by both business users and consumers.
The study considers the present scenario of the US hyperscale data center market and its market dynamics for the period 2021-2026. It covers a detailed overview of several market growth enablers, restraints, and trends. The report offers both the demand and supply aspects of the market. It profiles and examines leading companies and other prominent ones operating in the market. SNIPPETS
In 2020, the US was the major contributor in terms of investment to the hyperscale market.
The adoption of high-performance infrastructure supporting high-density workloads will rise during the forecast period.
The price of SSDs will continue to decline. The US will be the major market for high-capacity SSD solutions across the globe.
Submarine cable investments will improve in-land connectivity and reduce latency, thereby boosting the US hyperscale data center market growth.
In terms of electrical infrastructure, UPS systems are likely to dominate the hyperscale data center market with a market share of over 28%, followed by generators and transfer switches & switchgear with around 27% and 21%, respectively.
The US hyperscale data center market share by IT infrastructure will witness a growth of 3.86% during the forecast period. Enterprises are shifting businesses from small server rooms to data centers for high-performance and high-capacity infrastructure. The COVID-19 pandemic grew the infrastructure adoption among internet-related service providers such as e-commerce, online video streaming, and social media in Q1 and Q2 2020. In the IT infrastructure segment, most of the revenue is generated by server systems, followed by storage and network infrastructure.
The US data center market by server infrastructure is expected to reach USD 19.55 billion in 2026. The market for server infrastructure has witnessed growth in the past years. The increase in demand for server shipments will continue to grow moderately as enterprises are likely to move to the cloud or colocation platforms for their IT infrastructure operations.
The US hyperscale cooling market by cooling systems was valued at USD 1.82 billion in 2020. Cooling systems are adopted in data centers to reduce the heat generated by IT infrastructure. The adoption of cooling systems depends on cost and efficiency, which is likely to play a major role in selecting vendors.
In the South-Eastern US, Virginia led the maximum data center investment in 2020, followed by Texas, Alabama, Oregon, and Ohio.
The major investors in Virginia were CyrusOne, COPT Data Center Solutions, Digital Realty, Aligned, Facebook, Microsoft, and QTS Realty Trust.
Virginia distributed over USD 100 million in tax exemptions in 2020, making it an investor-friendly destination for hyperscale data center investment in the US. Amazon Web Services (AWS) plans to invest over USD 200 million to develop a data facility in Virginia to expand its footprint in the region.
In addition to self-built data centers, hyperscale operators are among the region’s largest customers for colocation service providers.
The construction of new facilities in the region will offer new opportunities for Support and IT infrastructure vendors, which will contribute significantly to their revenue growth.
It is expected that the hyperscale investment will continue to grow in the region during the forecast period.
INSIGHTS BY VENDORS
The US hyperscale data center market is witnessing growth in revenue from ODM server manufacturers such as Quanta Cloud Technology (QCT) (Quanta Computer) and Wiwynn (Wistron).
ODM server manufacturers will be significant competitors to other vendors such as Hewlett Packard Enterprise, Dell Technologies, IBM, Inspur, Lenovo, and Cisco Systems. Vendor offerings are concentrated on technologies such as cloud, big data, AI, and IoT-based application workloads.
Every major storage vendor is facing strong competition from all-flash storage offerings. The market for ODM storage systems is rising the demand for OCP design-based storage products used in hyperscale data centers.
Key IT Infrastructure Providers
Hewlett Packard Enterprise (HPE)
Quanta Cloud Technology
Super Micro Computer
Key Support Infrastructure Vendors
Airedale International Air Conditioning
Cyber Power Systems
Delta Power Solutions
Generac Power Systems
Green Revolution Cooling (GRC)
HITEC Power Protection
Rolls Royce Power Systems
Trane (Ingersoll Rand)
Key Construction Contractors
Balfour Beatty US
Gilbane Building Company
Holder Construction Group
Jacobs Engineering Group
JE Dunn Construction Group
M+W Group (Exyte)
Structure Tone (STO Building Group)
Syska Hennessy Group
The Walsh Group
Turner Construction Company
Key Data Center Investors
Amazon Web Services (AWS)
COPT Data Center Solutions
EdgeCore Internet Real Estate
fifteenfortyseven Critical Systems Realty
GIGA Data Centers
H5 Data Centers
NTT Global Data Centers
QTS Realty Trust
Vantage Data Centers
Cirrus Data Services
Key Topics Covered: 1 Research Methodology 2 Research Objectives 3 Research Process 4 Scope & Coverage 4.1 Market Definition 4.2 Base Year 4.3 Scope of the Study 4.4 Market Segments 5 Report Assumptions & Caveats 5.1 Key Caveats 5.2 Currency Conversion 5.3 Market Derivation 6 Market at a Glance 7 Introduction 7.1 Internet & Data Growth 7.2 Electricity Pricing in US 7.3 Data Center Site Selection Criteria 8 Market Opportunities & Trends 8.1 Deployment of Microgrids in Hyperscale Data Centers 8.2 Innovative Data Center Technologies 8.3 AI Boosts Liquid Immersion & Direct-To-Chip Cooling Adoption 8.4 Innovative UPS Battery Technologies 8.5 Rising Procurement of Renewable Energy for Hyperscale Data Centers 8.6 Adoption of Hyperconverged & Converged Infrastructure Platforms 9 Market Growth Enablers 9.1 COVID-19 on Hyperscale Data Center Market 9.2 5G Deployment & Hyperscale Data Centers 9.3 Rising Investment in Hyperscale Data Centers 9.4 Cloud & Connectivity Drive Demand for Hyperscale Data Centers 9.5 IoT & Big Data Drive Demand for Hyperscale Data Centers 9.6 M&As to Fuel Hyperscale Data Center Growth 9.7 Tax Incentives to Boost Hyperscale Investment 10 Market Restraints 10.1 Location Constraints for Hyperscale Data Center Construction 10.2 Data Center Security Challenges 10.3 Dearth of Skilled Workforce 10.4 Increased Carbon Emissions from Data Centers 10.5 Increasing Water Consumption by Hyperscale Operators 11 Market Landscape 11.1 Market Overview 11.2 Investment: Market Size & Forecast 11.3 Area: Market Size & Forecast 11.4 Power Capacity: Market Size & Forecast 11.5 IT Infrastructure: Market Size & Forecast 11.6 Support Infrastructure: Market Size & Forecast 11.7 Five Forces Analysis 12 Infrastructure 12.1 Market Snapshot & Growth Engine 12.2 IT Infrastructure 12.3 Electrical Infrastructure 12.4 Mechanical Infrastructure 12.5 General Construction 13 IT Infrastructure 13.1 Market Snapshot & Growth Engine 13.2 Server Infrastructure 13.3 Storage Infrastructure 13.4 Network Infrastructure 14 Electrical Infrastructure 14.1 Market Snapshot & Growth Engine 14.2 UPS Systems 14.3 Generators 14.4 Transfer Switches & Switchgear 14.5 Power Distribution Units 14.6 Other Electrical Infrastructure 15 Mechanical Infrastructure 15.1 Market Snapshot & Growth Engine 15.2 Cooling Systems 15.3 Racks 15.4 Other Infrastructure 16 Cooling Systems 16.1 Market Snapshot & Growth Engine 16.2 CRAC & CRAH Units 16.3 Chiller Units 16.4 Cooling Towers, Condensers & Dry Coolers 16.5 Economizers & Evaporative Coolers 16.6 Other Cooling Units 17 Cooling Technique 17.1 Market Snapshot & Growth Engine 17.2 Air-Based Cooling Techniques 17.3 Liquid-Based Cooling Techniques 18 General Construction 18.1 Market Snapshot & Growth Engine 18.2 Core & Shell Development 18.3 Installation & Commissioning Services 18.4 Building & Engineering Design 18.5 Physical Security 18.6 DCIM/BMS Solutions
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