US Data Center Colocation Market Growth and Analysis by 2027

Historic Data: 2017-2018 | Base Year: 2019 | Forecast Period: 2020-2027

US Data Center Colocation Market Forecast to 2027 - COVID-19 Impact and Country Analysis By Type (Retail and Wholesale), by Enterprise Size (SMEs and Large Enterprises), and by Industry (BFSI, Telecom & IT, Healthcare, Retail, and Others)

Report Date : Oct 2020
Report Code : TIPRE00015141

Category : Technology, Media and Telecommunications
Status : Published

Available Report Formats :
No. of Pages : 116

Analysis Strategic Insights Market Drivers Regional Insights Report Scope Recent Developments FAQs

The US data center colocation market is expected to reach US$ 35.10 billion by 2027 from US$ 13.18 billion in 2019. The market is estimated to grow at a CAGR of 13.1% from 2020 to 2027.

On-site management of data center infrastructure requires highly skilled IT employees. It also incurs infrastructure maintenance and server management expenditures. Moreover, constructing a new data center facility needs high initial investments that increase the overall CAPEX of enterprises. Thus, enterprises are becoming more considerate of the CAPEX spent on constructing mission-critical data centers and seeking several methods to improve return on investment (ROI) and reduce cost. The growing focus on reducing the IT costs encourages business owners to explore innovative IT infrastructure options. As a large number of enterprises are shifting their IT infrastructures to the cloud to attain zero downtime and address the need to reduce IT infrastructure expenses, high-power and physical security requirements serve as major elements driving the colocation market. Today, enterprises are switching to data center colocation providers for bandwidth, space, power, and value-added services (VAS), such as internet solutions, interconnection services, and skilled managed IT services depending upon their size and requirement. This, in turn, supports increasing business potential by reducing operational expenditure and thereby maximizes the ability to concentrate on the core business. Thus, growing demand for cost-effective solution from enterprises that saves the cost of cooling and heating and room space requirement as well as the need for IT expertise is propelling the growth of the US data center colocation market

The COVID-19 pandemic situation in the US has forced companies to implement work from home (WFH) process as a contingency for the continuity of the business. As per CBRE's North American Data Center Trends Report 2020, the region’s data center sector was strong in the first half of 2020 because hybrid IT infrastructure is being widely implemented by the organizations to develop remote working capabilities. Data center business have never dealt with a global pandemic Covid-19. Nearly all industries got impacted by the ongoing spread of the virus and are creating potential IT and related business opportunities for data center business.

US Data Center Colocation Market Revenue and Forecast to 2027 (US$ Mn)

This FREE sample will include data analysis, ranging from market trends to estimates and forecasts.

US Data Center Colocation Market Segmentation

US Data Center Colocation Market – By Type

Single Core
Twin Core

US Data Center Colocation Market – By Enterprise Size

SMEs
Large Enterprises

US Data Center Colocation Market – By Industry

BFSI
Telecom & IT
Healthcare
Retail
Others

US Data Center Colocation Market -Companies Mentioned

Equinix Inc.
Cyxtera Technologies, Inc.
Digital Realty Trust LP
CoreSite Realty Corporation
CyrusOne, Inc.
QTS Realty Trust, Inc.
365 Data Centers
UnitedLayer, LLC
Telehouse
NTT Communications Corporation

US Data Center Colocation Report Scope

Report Attribute	Details
Market size in 2019	US$ 13.18 Billion
Market Size by 2027	US$ 35.10 Billion
Global CAGR (2020 - 2027)	13.1%
Historical Data	2017-2018
Forecast period	2020-2027
Segments Covered	By Type Retail Wholesale By Enterprise Size SMEs Large Enterprises By Industry BFSI Telecom & IT Healthcare Retail
Regions and Countries Covered	United State United State
Market leaders and key company profiles	Equinix Inc. Cyxtera Technologies, Inc. Digital Realty Trust LP CoreSite Realty Corporation CyrusOne, Inc. QTS Realty Trust, Inc. 365 Data Centers UnitedLayer, LLC Telehouse

Research Manager

Ankita Mittal

Manager,
Market Research & Consulting

Ankita is a dynamic market research and consulting professional with over 8 years of experience across the technology, media, ICT, and electronics & semiconductor sectors. She has successfully led and delivered 100+ consulting and research assignments for global clients such as Microsoft, Oracle, NEC Corporation, SAP, KPMG, and Expeditors International. Her core competencies include market assessment, data analysis, forecasting, strategy formulation, competitive intelligence, and report writing.

Ankita is adept at handling complete project cycles—from pre-sales proposal design and client discussions to post-sales delivery of actionable insights. She is skilled in managing cross-functional teams, structuring complex research modules, and aligning solutions with client-specific business goals. Her excellent communication, leadership, and presentation abilities have enabled her to consistently deliver value-driven outcomes in fast-paced and evolving market environments.

What are the US Data Center Colocation Market report deliverables?

Historical Analysis (2 Years), Base Year, Forecast (7 Years) with CAGR
PEST and SWOT Analysis
Market Size Value / Volume - Global, Regional, Country
Industry and Competitive Landscape
Excel Dataset

US Data Center Colocation Market Report Snapshots

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