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USA Hyperscale Data Center Market Is In Growing Stage, Being Driven By Demand From Cloud Service, Saas, Paas, Providers And From Incubation Of Iot, 5G Wireless Network - Ken Research

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Ken Research
USA Hyperscale Data Center Market Is In Growing Stage, Being Driven By Demand From Cloud Service, Saas, Paas, Providers And From Incubation Of Iot, 5G Wireless Network - Ken Research

1. Hyperscale data center market in USA expanded at a CAGR of ~14% in between 2017 and 2022 on the basis of Volume of Data Centers

USA Hyperscale Data Center Market

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The increasing digital/online usage contributed in the growing demand for data storage capability, server hostage and enhanced IT network of enterprises. Increasing internet penetration rate in between 2017 and 2022, along with surge in use of the internet since the onset of COVID-19 pandemic is positively impacting the hyperscale data center market. Businesses accelerating their digital transformation strategies to adapt to the shifting culture of online & digital domination contributed in the enhanced demand for cloud computing solutions post COVID-19.

2. Key mergers and acquisitions in USA Hyperscale Data Center Market

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In March 2022, CyrusOne was completely acquired by global investment firm KKR and Global Infrastructure Partners in an all-cash transaction. Digital Bridge Group Inc. has agreed to buy data centre operator Switch Inc. for $11 billion, including a debt. That represents a premium of 15% to Switch’s share prices in May 2022. Blackstone Infrastructure Partners and Blackstone Real Estate Income Trust (BREIT) acquired QTS Realty Trust announced a $10 billion deal in September 2021. One of the largest REITs, American Tower has acquired CoreSite for $170.00 per share. The total consideration for the transaction, including the assumption and/or repayment of CoreSite’s existing debt at closing.

3. Impact of Covid-19 on Hyperscale data centers

USA Hyperscale Data Center End Users Industry

COVID-19 has altered the way people use technology and network services.

Wide increase in demand for Online Communications Platforms (Google, Zoom, etc.), Cloud Services and Streaming services has given rise to a larger demand for better digital infrastructure and data centers’ network services. Data centers have stepped up to meet these demands by adopting sophisticated DCIM software for remote management, triggering a substantial wave of investment in automation and remote monitoring in the data center industry. The pandemic also showed the need for some additional services in data center facilities management with lesser number of onsite technicians reporting to duty. Two main requirements for hyper scale data centers are speed and scalability. Since the initial shock of the pandemic, operators have worked quickly to build resilience to negate the risk of downtime and service interruption to their different user groups.

For more insights on the market intelligence, refer to the link below:-

USA Hyperscale Data Center Industry

Related Reports By Ken Research:

Global Modular Data Centers Market 2020

Global Modular Data Centers Market 2018

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