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Green IT Services Market Is Anticipated To Witness High Growth Owing To Increasing Need For Energy Efficient Solutions

Leena Shedmake
Green IT Services Market Is Anticipated To Witness High Growth Owing To Increasing Need For Energy Efficient Solutions

Green IT services comprise a set of policies and practices of electronics, servers and data centers that help in minimizing carbon footprint and environmental impact. Rapid digitization and growing deployment of cloud and data center solutions has increased energy consumption in recent times. Green IT services aim to provide solutions and services to reduce carbon footprint by monitoring and optimizing energy usage in IT infrastructure. The solutions involve server virtualization, energy efficient storage, use of renewable energy in data centers and cloud computing amongst others.

The Global Green IT Services Market is estimated to be valued at US$ 16.14 Mn in 2024 and is expected to exhibit a CAGR of 4.9% over the forecast period 2024 to 2030. Increasing awareness about environmental sustainability and government regulations promoting use of renewable energy sources are the key factors spurring market growth. Growing need for energy efficient infrastructure from organizations across industries is also propelling demand for green IT services.

Key Takeaways

Key players: The key players operating in the Green IT Services Market are Imerys Group, Milliken & Company Inc., PCI Augsburg GmbH, Rocla, Wagners, Universal Enterprise, Schlumberger Ltd, Murray & Roberts Cementation Co. Ltd, Banah UK Ltd, Zeobond Pty Ltd and Uretek.

Key opportunities: Growing need for carbon neutral operations and stringent emission norms present significant growth opportunities for green IT service providers. Increasing traction towards sustainability goals also opens up opportunities for providers to offer integrated energy optimization solutions.

Global Expansion: Major players are focusing on global expansions to tap into opportunities across regions. For instance, Imerys recently expanded its green services portfolio in Asia Pacific and North America. Wagners acquired U.K. based Banah to strengthen its presence in the European market.

Market drivers: Increasing awareness about environmental protection is a key driver as it is prompting organizations across industries to opt for energy efficient and eco-friendly IT solutions. Stringent government regulations regarding carbon emissions from data centers is another major factor propelling the market growth.

Market restraints: High initial costs of upgrading and replacing existing infrastructure with green alternatives can hamper the large scale adoption of green IT services. Technical complexities related to integration of renewable energy systems is another challenge restraining the market growth.

Segment Analysis

The Green IT Services Market Demand can be segmented based on service type and end user. The service type segment comprises reduction in greenhouse gas emissions, hardware virtualization, desktop virtualization, thin client services, print services (imaging and document solutions), and managed print services. Among these, hardware virtualization holds the dominant market share as it helps reduce energy consumption and extend the life of existing servers without compromising on performance. It improves resource utilization while minimizing hardware and operational costs.

The end user segment includes government, telecom and IT, energy (utilities), media and entertainment, transportation, and other end users. The government segment is currently dominating the market as governments across various countries are implementing stringent regulations to promote eco-friendly practices. Several government initiatives to replace aging IT infrastructure and optimize resource usage through green IT practices are fueling market growth of this segment.

Global Analysis

The North America region dominates the global green IT services market and holds the largest market share. Stringent laws and regulations to reduce carbon footprint and growing focus on sustainable development are driving the market in this region. Europe holds the second position in terms of market share due to rising environmental concerns and government efforts to promote energy-efficient practices. The Asia Pacific region is anticipated to grow at the fastest rate during the forecast period due to rapid industrialization and urbanization in developing nations like China and India. Additionally, shifting preference towards green technologies is boosting the green IT services demand in the region.


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Leena Shedmake
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