The Netherlands data center colocation market is projected to grow at a CAGR of 16.41% during the forecast period, reaching a total market size of US$2,224.817 million in 2027 from US$767.905 million in 2020.
More businesses are turning to data centres to solve their storage problems without incurring large upfront costs. The growing amount of big data across various industries are significantly propelling the Netherlands Data Center Colocation market growth. As digitalization spreads across end-use industries, the amount of data that businesses must store grows. A surge in demand for high-power density for cutting-edge IT infrastructure is encouraging businesses to shift to colocation. Growing virtualization and continued drive to handle more workload within the same purpose-built data centers are pressurizing companies to opt for colocation services. The cost of retrofitting an older facility is much higher than the cost of modern colocation facilities. Therefore, the market’s growth of data center colocation in the Netherlands is witnessing a sharp rise. The rising number of cloud services providers and the booming information technology industry are further spurring the growth of the data center colocation market in the Netherlands. Another major driver of the data center colocation market is the growing concerns regarding data safety and security. Global market players are expanding their data center facilities in this country, which also supports the market growth of data center colocation. For example, in 2019, Google announced it would invest US$1.1 billion to further expand its data center capacity in the Netherlands by building a new data center in Airport in addition to expanding its existing data centre in Eemshaven.
The colocation market in the Netherlands has been segmented based on the colocation model, enterprise size, and industry vertical. The market has been divided into retail and wholesale by colocation. The market has been segmented by industry verticals as follows: communication and technology, BFSI, government, healthcare, manufacturing, media and entertainment, and others. The prominent market players in the Netherlands Data Center Colocation market are Equinix, Inc., Digital Realty, Interxion, Cellnex Telecom, and NorthC.
Recent development and expansions
COVID-19 impact
The COVID-19 pandemic has significantly influenced cloud adoption in the Netherlands, with many people working from home due to the lockdown and restrictions, driving cloud adoption. COVID-19, on the other hand, will have a greater impact on future projects.
Market Segmentation