Data Center Rack Market Size, Share, Opportunities, And Trends By Unit Size (19U-22U, 23U-36U, 37U-48U, Others), By Service (Installation, Consulting, Maintenance And Support), By Enterprise Size (Small, Medium, Large), By Industry Vertical (BFSI, Manufacturing, Communication And Technology, Healthcare, Media And Entertainment, Others), And Geography - Forecasts From 2024 To 2029

  • Published : Feb 2024
  • Report Code : KSI061610008
  • Pages : 135

The data centre rack market is evaluated at US$4.268 billion for the year 2022 growing at a CAGR of 10.2% reaching the market size of US$8.426 billion by the year 2029.

A data centre rack includes switches, servers, and routers that highly comprise a data centre. The increasing number of data centres across the globe is the major driver of the data centre rack market. The growing adoption of cloud networking coupled with the rising volume of big data is pressurizing enterprises to opt for colocation solutions and services. As the volume of big data is rapidly growing across various industries due to the rising adoption of digitization and IoT, the insufficient data centre racks in traditional setups are augmenting their demand.

Since data centre rack servers have inherent high density with power efficiency, the growing focus on environmental sustainability and reducing power consumption is also a driving factor for the market growth of data centre racks. The availability of low-cost rack solutions is further boosting the demand for data centre racks, thus positively impacting the overall market growth. Datacenter rack manufacturers are focusing on improving or enhancing their offerings by way of adding innovative features, which are also expected to fuel the market growth of data centre racks during the next five years.

Growing data traffic due to the increasing use of connected devices and increasing penetration of the internet, along with investments in 5G technology, will continue to propel the market growth of data centre racks during the forecast period. Furthermore, the rising adoption of rack servers on account of advancements in software defines the security market is also going to contribute to the data centre market’s growth during the forecast period. Companies are increasingly shifting towards server-based rack data centres to meet their rapidly evolving business needs while aiming to reduce operational as well as capital expenditure.

The global data centre rack market is segmented by unit size, service, enterprise size, industry vertical, and geography. By unit size, the market is segmented into 19U-22U, 23U-36U, 37U-48U, and others. Based on service, the market is segmented into installation, consulting, and maintenance, as well as support. The market is segmented by enterprise size into small, medium, and large. By industry vertical, the market is segmented into BFSI, manufacturing, communication and technology, healthcare, media and entertainment, and others.

Rising demand for data centre racks of unit sizes 23U-36U and 37U-48U

The 23U-36U and 37U-48U sizes of data centre racks hold significant shares in the market due to their increasing requirements by IT and multinational companies. These sizes are most feasible for medium-sized enterprises making them, a favourable choice for a major sector of the market. Companies are offering various discounts and offers to small and medium-sized enterprises to lure them into buying their products, which is also supporting the market growth of data centre racks of various sizes.

Large enterprises hold a significant market share

Large-size enterprises accounted for a significant market share in 2019 owing to the large volume of data being generated across this enterprise-size segment. Even though large enterprises have their IT infrastructure, it is insufficient to handle rapidly growing data volumes. This, along with the rising cost of land and a skilled workforce to maintain or expand their on-premise data centres, large companies to opt for cost-effective data centre racks of bigger unit sizes, thereby driving the market growth. However, the small enterprise segment will experience a substantial CAGR during the forecast period. Small businesses lack the budget to maintain their IT infrastructure due to which they are moving towards data centre racks, which come in various unit sizes and costs. Hence, small enterprises are using data centre racks for storing computing information at a lower cost, giving them a helping hand for their personal and private usage, thus bolstering the global data centre rack market growth.

North America is projected to grow at a high rate during the forecast period

The need for new data centre infrastructures in the North American region is being driven, in part, by the explosive growth of mobile broadband, the rise in big data analytics, and cloud computing. There are also a good number of data centres in the area. There will likely be a market for data centre installations as more businesses transition from hardware to software-based services.  With the most data centres per capita in the world, the US is also seeing rapid growth in big data volume and traffic as a result of the rise in hyperscale data centre construction.

Product Offerings

  • Rittal IT rack systems (VX IT): All server and network applications can be solved with VX IT. The new VX IT is a platform for fitting a modern IT architecture and its many distinct requirements, whether the demand is for a network rack to house a distributor board or server racks for an edge, colocation, or hyperscale data centre. The new VX IT is built on a modular idea and comes with a user-friendly configurator to help customers choose a solution that is specifically suited to their needs quickly and efficiently.
  • Cisco UCS X-Series Modular System: The Cisco UCS X-Series offers computing capacity, storage capabilities, and expandability in a unified system, encompassing a wide range of applications in data centres and providing functions of both blade and rack servers. The Cisco Intersight cloud-operations platform is used to build the system's modular components into solutions. To provide proactive monitoring, automation, and workload optimization across hybrid cloud systems, Intersight leverages the power of SaaS.

Market key launches

  • In January 2024, Digital Realty, the world's leading provider of carrier- and cloud-neutral data center, colocation, and interconnection solutions, announced the opening of its first data center in India. Situated in the center of Chennai's manufacturing and industrial district, the 10-acre campus can accommodate up to 100 megawatts of critical IT load capacity. As the company grows to fulfill the demands of digital transformation in important global markets, this is a major addition to its global data center platform.
  • In January 2024, a new line of racks made especially for data centers was introduced by Excel Networking Solutions, the infrastructure provider that provides copper and optical fibre, FTTx, racks, PDUs, voice, and a wide range of accessories. With its innovative design and abundance of features, Excel's Environ DCR Rack is perfect for a data center setting. The racks come in 42U, 47U, and 52U heights, 600 or 800-mm wide widths, and 1000 or 1200-mm deep options in grey-white or black finishes.

Data Center Rack Market Scope:

 

Report Metric Details
Market Size Value in 2022 US$4.268 billion
Market Size Value in 2029 US$8.426 billion
Growth Rate CAGR of 10.2% from 2022 to 2029
Base Year 2022
Forecast Period 2024 – 2029
Forecast Unit (Value) USD Billion
Segments Covered
  • Unit Size
  • Service
  • Enterprise Size
  • Industry Vertical
  • Geography
Companies Covered
  • Hewlett Packard Enterprise Development LP
  • Cisco Systems, Inc.
  • Eaton
  • Friedhelm LOH Group
  • Panduit
  • And more
Regions Covered North America, South America, Europe, Middle East and Africa, Asia Pacific
Customization Scope Free report customization with purchase

 

Segmentation:

  • By Unit Size
    • 19U-22U
    • 23U-36U
    • 37U-48U
    • Others
  • By Service
    • Installation
    • Consulting
    • Maintenance and Support
  • By Enterprise Size
    • Small
    • Medium
    • Large
  • By Industry Vertical
    • BFSI
    • Manufacturing
    • Communication and Technology
    • Healthcare
    • Media and Entertainment
    • Others
  • By Geography
    • North America
      • USA
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • Germany
      • France
      • United Kingdom
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • Israel
      • UAE
      • Others
    • Asia Pacific
      • China
      • Japan
      • South Korea
      • India
      • Taiwan
      • Thailand
      • Indonesia
      • Others
 

Frequently Asked Questions (FAQs)

The global data center rack market is projected to reach a market size of US$6.997 billion by 2027.
The increasing number of data centers across the globe is the major driver of the data center rack market.
The data center rack market is projected to grow at a CAGR of 10.07% during the forecast period.
Data Center Rack Market was valued at US$3.575 billion in 2020.
North America is one of the major markets for data center rack players owing to the presence of major market players in the region.

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline

1.8. Key Benefits to the Stakeholder

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Processes

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. CXO Perspective

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

4.5. Russia-Ukraine War Impact Analysis

5. DATA CENTER RACK MARKET, BY UNIT SIZE

5.1. Introduction

5.2. 19U-22U

5.2.1. Market Trends and Opportunities

5.2.2. Growth Prospects

5.2.3. Geographic Lucrativeness

5.3. 23U-36U 

5.3.1. Market Trends and Opportunities

5.3.2. Growth Prospects

5.3.3. Geographic Lucrativeness

5.4. 37U-48U

5.4.1. Market Trends and Opportunities

5.4.2. Growth Prospects

5.4.3. Geographic Lucrativeness

5.5. Others

5.5.1. Market Trends and Opportunities

5.5.2. Growth Prospects

5.5.3. Geographic Lucrativeness

6. DATA CENTER RACK MARKET, BY SERVICE

6.1. Introduction

6.2. Installation

6.2.1. Market Trends and Opportunities

6.2.2. Growth Prospects

6.2.3. Geographic Lucrativeness

6.3. Consulting

6.3.1. Market Trends and Opportunities

6.3.2. Growth Prospects

6.3.3. Geographic Lucrativeness

6.4. Maintenance and Support

6.4.1. Market Trends and Opportunities

6.4.2. Growth Prospects

6.4.3. Geographic Lucrativeness

7. DATA CENTER RACK MARKET, BY ENTERPRISE SIZE

7.1. Introduction

7.2. Small

7.2.1. Market Trends and Opportunities

7.2.2. Growth Prospects

7.2.3. Geographic Lucrativeness

7.3. Media

7.3.1. Market Trends and Opportunities

7.3.2. Growth Prospects

7.3.3. Geographic Lucrativeness

7.4. Large

7.4.1. Market Trends and Opportunities

7.4.2. Growth Prospects

7.4.3. Geographic Lucrativeness

8. DATA CENTER RACK MARKET, BY INDUSTRY VERTICAL

8.1. Introduction

8.2. BSFI

8.2.1. Market Trends and Opportunities

8.2.2. Growth Prospects

8.2.3. Geographic Lucrativeness

8.3. Manufacturing

8.3.1. Market Trends and Opportunities

8.3.2. Growth Prospects

8.3.3. Geographic Lucrativeness

8.4. Communication and Technology

8.4.1. Market Trends and Opportunities

8.4.2. Growth Prospects

8.4.3. Geographic Lucrativeness

8.5. Healthcare

8.5.1. Market Trends and Opportunities

8.5.2. Growth Prospects

8.5.3. Geographic Lucrativeness

8.6. Media and Entertainment

8.6.1. Market Trends and Opportunities

8.6.2. Growth Prospects

8.6.3. Geographic Lucrativeness

8.7. Others

8.7.1. Market Trends and Opportunities

8.7.2. Growth Prospects

8.7.3. Geographic Lucrativeness

9. DATA CENTER RACK MARKET, BY GEOGRAPHY

9.1. Introduction

9.2. North America

9.2.1. By Unit Size

9.2.2. By Service

9.2.3. By Enterprise Size

9.2.4. By Industry Vertical

9.2.5. By Country

9.2.5.1. USA

9.2.5.1.1. Market Trends and Opportunities

9.2.5.1.2. Growth Prospects

9.2.5.2. Canada

9.2.5.2.1. Market Trends and Opportunities

9.2.5.2.2. Growth Prospects

9.2.5.3. Mexico

9.2.5.3.1. Market Trends and Opportunities

9.2.5.3.2. Growth Prospects

9.3. South America

9.3.1. By Unit Size

9.3.2. By Service

9.3.3. By Enterprise Size

9.3.4. By Industry Vertical

9.3.5. By Country

9.3.5.1. Brazil

9.3.5.1.1. Market Trends and Opportunities

9.3.5.1.2. Growth Prospects

9.3.5.2. Argentina

9.3.5.2.1. Market Trends and Opportunities

9.3.5.2.2. Growth Prospects

9.3.5.3. Others

9.3.5.3.1. Market Trends and Opportunities

9.3.5.3.2. Growth Prospects

9.4. Europe

9.4.1. By Unit Size

9.4.2. By Service

9.4.3. By Enterprise Size

9.4.4. By Industry Vertical

9.4.5. By Country

9.4.5.1. Germany

9.4.5.1.1. Market Trends and Opportunities

9.4.5.1.2. Growth Prospects

9.4.5.2. France

9.4.5.2.1. Market Trends and Opportunities

9.4.5.2.2. Growth Prospects

9.4.5.3. United Kingdom

9.4.5.3.1. Market Trends and Opportunities

9.4.5.3.2. Growth Prospects

9.4.5.4. Spain

9.4.5.4.1. Market Trends and Opportunities

9.4.5.4.2. Growth Prospects

9.4.5.5. Others

9.4.5.5.1. Market Trends and Opportunities

9.4.5.5.2. Growth Prospects

9.5. Middle East and Africa

9.5.1. By Unit Size

9.5.2. By Service

9.5.3. By Enterprise Size

9.5.4. By Industry Vertical

9.5.5. By Country

9.5.5.1. Saudi Arabia

9.5.5.1.1. Market Trends and Opportunities

9.5.5.1.2. Growth Prospects

9.5.5.2. Israel

9.5.5.2.1. Market Trends and Opportunities

9.5.5.2.2. Growth Prospects

9.5.5.3. UAE

9.5.5.3.1. Market Trends and Opportunities

9.5.5.3.2. Growth Prospects

9.5.5.4. Others

9.5.5.4.1. Market Trends and Opportunities

9.5.5.4.2. Growth Prospects

9.6. Asia Pacific

9.6.1. By Unit Size

9.6.2. By Service

9.6.3. By Enterprise Size

9.6.4. By Industry Vertical

9.6.5. By Country

9.6.5.1. China

9.6.5.1.1. Market Trends and Opportunities

9.6.5.1.2. Growth Prospects

9.6.5.2. Japan

9.6.5.2.1. Market Trends and Opportunities

9.6.5.2.2. Growth Prospects

9.6.5.3. South Korea

9.6.5.3.1. Market Trends and Opportunities

9.6.5.3.2. Growth Prospects

9.6.5.4. India

9.6.5.4.1. Market Trends and Opportunities

9.6.5.4.2. Growth Prospects

9.6.5.5. Taiwan

9.6.5.5.1. Market Trends and Opportunities

9.6.5.5.2. Growth Prospects

9.6.5.6. Thailand

9.6.5.6.1. Market Trends and Opportunities

9.6.5.6.2. Growth Prospects

9.6.5.7. Indonesia

9.6.5.7.1. Market Trends and Opportunities

9.6.5.7.2. Growth Prospects

9.6.5.8. Others

9.6.5.8.1. Market Trends and Opportunities

9.6.5.8.2. Growth Prospects

10. COMPETITIVE ENVIRONMENT AND ANALYSIS

10.1. Major Players and Strategy Analysis

10.2. Market Share Analysis

10.3. Mergers, Acquisitions, Agreements, and Collaborations

10.4. Competitive Dashboard

11. COMPANY PROFILES

11.1. Hewlett Packard Enterprise Development LP

11.2. Cisco Systems, Inc.

11.3. Eaton

11.4. Friedhelm LOH Group

11.5. Panduit

11.6. AGC Networks (Black Box)

11.7. Schneider Electric

11.8. Vertiv Group Corp.

11.9. FUJITSU

11.10. Huawei Technologies Co., Ltd.


Hewlett Packard Enterprise Development LP

Cisco Systems, Inc.

Eaton

Friedhelm LOH Group

Panduit

AGC Networks (Black Box)

Schneider Electric

Vertiv Group Corp.

FUJITSU

Huawei Technologies Co., Ltd.