By: JC Pelusi, Market Leader, and Managing Director
The accessibility of big data has already revolutionized the way we do business … and it’s only the beginning.
Gartner predicted earlier this year that, “By 2020, information will be used to reinvent, digitalize or eliminate 80% of business processes and products from a decade earlier.”
As businesses become more sophisticated in the way they manage, store and interpret data, corporate norms will continue to shift. It’s not surprising then that data centers have become key economic drivers—creating new jobs, capital investment opportunities and strengthening surrounding business markets.
In the next five years, the data center market is projected to undergo exponential growth, according to JLL’s newly released 2015 Data Center Outlook. As businesses continue to outsource their IT systems, lease third-party data center facilities and incorporate cloud services, this market will continue to thrive.
Read on for trends affecting data centers and how your business can change its current strategy to align with the shifting market conditions ahead.
Factors Impacting Data Center Market Supply & Demand
Technological advancements and subsequent business practices are having a direct impact on data center supply and demand. Here’s what you should know.
What’s driving demand?
Companies in the transportation and utility sectors, as well as local governments, have welcomed the benefits that come with the Internet of Things (IoT). Luckily, the IoT is still in its infancy. According to ABI Research the “Internet of things market will grow significantly from 1.2 billion business-to-business connections in 2013 to 5.4 billion connections in 2020.”
How does it relate to data centers? IoT is dependent on the data center market offering secure network connectivity and cloud storage for various devices and programs. Disaster recovery and the need for improved cyber security are also key focus areas for IT decision makers.