Global Data Center Interconnect Market is Expected to Grow at a Robust CAGR

Global Data Center Interconnect Market is expected to grow due to rise in global cloud migration and emergence of industry 4.0 throughout the forecast period.

According to TechSci Research report, “Data Center Interconnect Market - Global Industry Size, Share, Trends, Opportunity, and Forecast 2018-2028”, the Global Data Center Interconnect Market is expected to register robust growth during the forecast period owing to throughput, latency, simplified operations and maintenance, intelligence, and security are becoming significant priorities for data center vendors. This is one of the major factors driving the adoption of Data Center Interconnect (DCI) technology. This is because they can increase bandwidth between data centers, cut down on latency, and stop packet loss.

Disaster recovery is a major concern for data centers users across the world. IT infrastructure facilities are prone to disasters such as earthquakes, security attacks, fire outages, and other unplanned events. For businesses to not suffer from drastic losses owing to such disasters, proper disaster recovery measures must be in place. Data center interconnection facilities are located away from the users’ premises and are less prone to disasters. These facilities can be controlled remotely, adding to their reliability in disaster recovery measures. Therefore, interconnection facilities are anticipated to become an ideal backup and recovery option because they enable businesses to house key data in a remote location. Thus, business continuity can be achieved due to the presence of resilient and safe DCI solution, which is why these solutions are expected to witness growing demand.

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The Global Data Center Interconnect Market is segmented based on type, application, end user and region. Based on type, the market is bifurcated into products, software and services. Based on application, the market is bifurcated into real-time disaster recovery & business continuity, workload & data mobility and shared data & resources. Based on end user, the market is bifurcated into communication service providers, internet content providers, government and enterprises. Based on region, the market is further bifurcated into North America, Asia-Pacific, Europe, South America, Middle East & Africa.

Based on Application, Shared Data & Resources segment is expected to dominate the market during the forecast period. Shared data and resources/server high-availability clusters instantly provide a path to the application on the various systems when hardware or software issues are detected without the need for administrative intervention. Due to the benefits it provides for the security of workloads over globally distributed data centers, the need for the deployment of DCI for the shared data and resources/server high-availability clusters application is growing.

Based on End User, Enterprises segment is expected to dominate the market during the forecast period. Expanded worker flexibility, decision of bring-your-own-gadget, and bring-your-own-application, and huge information blast are affecting the future requirements and requests for big business server farm interconnect arrangements. These include optical WDM solutions with secure, low-latency, and high performance.

Based on region, Europe is expected to dominate the market during the forecast period. The European data center investment in the interconnect market is being driven by the rising number of data centers and rising investments in cloud technologies and expanding end-user markets. The Personal Data Protection Initiative (Gaia-X) and other stringent regional laws boost the region's local data center construction and development even further. Some of the major investors and adopters of data centers include Germany, United Kingdom, Netherlands, and France. Europe's data center industry has been subjected to an increase in both investment and expansion due to cloud technologies usage. For instance, Microsoft has recently doubled the capacity at its European data center. The market is also expected to expand significantly as a result of rising data traffic. For instance, Equinix predicted that London would continue to be the most significant data market in Europe. Another reason is the increasing number of European data compliance regulations, which is anticipated to grow 48% annually and account for nearly 23% of global interconnection bandwidth. For instance, in 2022, Nokia announced DCspine, a subsidiary of Eurofiber Cloud Infra that supplies with digital infrastructure and connectivity services across European data centers, would have access to 7220 IXR data center hardware platforms running SR Linux. DCspine would be able to provide more cloud and interconnection services, simplify network scaling, and automate network operations with this solution. Equinix HH1 International Business Exchange (IBX) subsidiary, Platform Equinix, would get fourth country to its global footprint, Germany, thus driving the market in the region.

Key market players in the Global Data Center Interconnect Market are:-

·         Ciena Corp.

·         Cisco Systems Inc.

·         Juniper Networks Inc.

·         Fujitsu Ltd.

·         Microsemi Corp.

·         Pluribus Networks Inc.

·         Huawei Technologies Co. Ltd.

·         ADVA Optical Networking SE

·         Infinera Corp.

·         ZTE Corporation

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"Enterprises segment is expected to dominate the market during the forecast period. Expanded worker flexibility, decision of bring-your-own-gadget, and bring-your-own-application, and huge information blast are affecting the future requirements and requests for big business server farm interconnect arrangements. These include optical WDM solutions with secure, low-latency, and high performance.” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based global management consulting firm.

“Data Center Interconnect Market – Global Industry Size, Share, Trends, Opportunity, and Forecast 2018-2028 Segmented By Type (Products, Software and Services), By Application (Real-time Disaster Recovery & Business Continuity, Workload & Data Mobility and Shared Data & Resources), By End User (Communication Service Providers, Internet Content Providers, Government and Enterprises), By Region,” has evaluated the future growth potential of Global Data Center Interconnect Market and provides statistics & information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in Global Data Center Interconnect Market.

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