Data Center Security Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)


Posted May 10, 2021 by Statzyreports

The data center security market was valued at USD 11.67 billion in 2020, and it is expected to reach a value of USD 26.61 billion by 2026, registering a CAGR of 14.91%, during the forecast period (2021-2026).
 
2019 is expected to see the largest data center users, including hyperscale cloud companies and enterprises, optimizing their data centers on a worldwide basis. As part of NTT, RagingWire data centers have spent years developing a global data center platform that currently extends to 20 countries.

- Increasing data traffic arising from a multitude of devices is driving the growth of data centers. This also implies the need for secured connectivity for critical data and confidential information. According to Cisco, global cloud data center traffic is likely to reach 20.6 zettabytes (ZB) per year by 2021, up from 6.0ZB per year in 2016. They expect to see 628 hyperscale data centers, globally, in 2021, compared to 338, in 2016.

- According to the US Securities and Exchange Commission, the average cost of a cyber-data breach has risen from USD 4.9 million in 2017 to USD 7.5 million in 2018. Risks have grown significantly around cyber-attacks, information breaches from third-party vendors, and information theft. This called for complete data security so that any function of an organization is not compromised and no damage is done when it comes to revenue generation.

- Planning a data center budget seems to be getting harder for the companies because a lot of variables should be taken into account and not just some form of growth by resource, volume, or power usage. Old-style license plus maintenance software agreements are running out of steam. More vendors are responding to customer needs by providing subscription-based pricing. Some of these are via software as a service, which removes underlying stack costs from the data center budget.

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Key Market Trends

Monitoring Solutions and Capabilities are Driving the Adoption of Data Center Security Solutions

- Rising power density and dynamic power variations are the two major factors that are forcing conventional personnel based monitoring systems to be replaced. Physical threats to the data center include power, cooling, human error, malice, fire, leaks, and air quality.

- Power, cooling, and fire-related threats are monitored by built-in capabilities of power, fire suppression, and cooling devices.

- UPS systems are being employed extensively to monitor the power quality and to load on battery health, while PDUs are being employed for monitoring circuit loads.

- Temperature sensors and humidity sensors are being used for monitoring the air temperature and humidity within the data center.

- Rope and spot leak sensors are being employed for monitoring liquid leaks that can damage the floors, cabling, and CRAC related structures.

Asia Pacific is Estimated to Grow the Fastest among all Regions

- In January 2019, Alibaba Cloud, the cloud computing arm of Alibaba Group, announced the launch of a second data center in Indonesia, within ten months after the inauguration of its first one in the country.

- MNCs, such as Google, Amazon, Microsoft, and Equinix, are all making the region a favorite destination for the location of their data centers.

- More brands and businesses are expanding their market to the Asia-Pacific region. Hence, there is a need for data center providers in this region. The key segments that make Southeast Asia such an attractive market for data center relocation, currently, are IT infrastructure, server market, and uninterruptible power supplies (UPSs).

Competitive Landscape

The market is highly fragmented due to the presence of players, like McAfee Inc., Juniper Networks Inc., Schneider Electric SE, Citrix Systems Inc., and other giants, which play a vital role to upscale the capabilities of enterprises. Market orientation leads to a highly competitive environment. The biggest companies in retail and wholesale data center markets have further secured their dominance by acquiring hefty rivals, and there’ has been a wave of consolidation in the secondary markets as smaller players seek to scale in order to compete.

- April 2019 - McAfee announced its support for Google Cloud Platform (GCP) and Cloud Security Command Center (Cloud SCC) to help security professionals gain visibility and control over their cloud resources and to detect and respond to threats.

- January 2019 - Juniper Networks announced that BroadBand Tower, one of Japan’s largest data center providers, selected Juniper Network’s solutions to power it's Next-Gen 5G data center, situated in Tokyo, which may support the rapidly accelerating 5G mobile and next-generation ICT infrastructure demands of the densely-populated urban capital.

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Issued By Statzy Market Research
Country India
Categories Technology
Tags data center security market , data center security market forecast , data center security market share , data center security market size
Last Updated May 10, 2021