Product Code: GVR-4-68038-583-0
Data Center Colocation Market Growth & Trends:
The global data center colocation market size is anticipated to reach USD 165.45 billion in 2030 and is anticipated to grow at a CAGR of 16.0% from 2025 to 2030, according to a recent study by Grand View Research, Inc. Various CSPs and businesses are opting for multi-tenant or colocation data centers, which has been a significant factor driving the growth of the market. Colocation is among the most preferred choices among businesses, owing to cost benefits compared to building and managing a private data center facility. Moreover, a colocation data center offers better operational flexibility when scaling up infrastructure to accommodate large data volumes. Considering the increasing cost of property, land, and IT infrastructure, colocation data centers are the best options for SMEs owing to limited capital expenditure capability.
The increasing use of e-commerce shopping has been anticipated to drive market growth in the coming years. The data centers offer various benefits in the e-commerce industry, including better scalability, data reliability, enhanced security, improved customer experience, and reduced cost. The benefits offered by the data centers in the e-commerce industry have increased the IT expenditure of e-commerce companies. Moreover, opting for data center colocation would help in reducing costs when compared to setting up and maintaining a private data center, which smaller e-commerce companies are highly adopting. Thus, the growth of data center colocation in the e-commerce industry is expected to rise, thereby driving industry growth.
Several countries, such as the U.S., China, and India, have strict data location laws, preventing cross-border data transfer. The EU also implemented the GDPR in 2018, laying the foundation norms for personal data transfer and usage. Implementing such laws has resulted in the increased setting up of data centers within those countries and localized data storage. Furthermore, the colocation data centers offer businesses leasing spaces within data centers at reasonable costs, proximity to the business, and, the best part, the opportunity to scale up to accommodate larger data volumes. These aspects have contributed to the growth of the market and are expected to continue supporting this growth in the years to come.
Data Center Colocation Market Report Highlights:
- The retail colocation segment dominated the data center colocation industry and accounted for a revenue share of nearly 70.0% in 2024
- The tier 3 segment accounted for a largest revenue share of over 58.0% in 2024, driven by enterprises, cloud service providers (CSPs), financial institutions, and technology firms that require high reliability, scalability, and redundancy.
- The large enterprises segment accounted for a largest revenue share of over 49.0% in 2024
- The IT & telecom segment accounted for a largest revenue share of over 29.0% in 2024
- The data center colocation industry in North America held a largest share of 39.0% in 2024
Table of Contents
Chapter 1. Methodology and Scope
- 1.1. Methodology segmentation & scope
- 1.2. Market Definitions
- 1.3. Research Methodology
- 1.3.1. Information Procurement
- 1.3.2. Information or Data Analysis
- 1.3.3. Market Formulation & Data Visualization
- 1.3.4. Data Validation & Publishing
- 1.4. Research Scope and Assumptions
- 1.4.1. List of Data Sources
Chapter 2. Executive Summary
- 2.1. Market Outlook
- 2.2. Segment Outlook
- 2.3. Competitive Insights
Chapter 3. Data Center Colocation Variables, Trends & Scope
- 3.1. Market Introduction/Lineage Outlook
- 3.2. Industry Value Chain Analysis
- 3.3. Market Dynamics
- 3.3.1. Market Drivers Analysis
- 3.3.2. Market Restraints Analysis
- 3.3.3. Industry Opportunities
- 3.4. Data Center Colocation Analysis Tools
- 3.4.1. Porter's Analysis
- 3.4.1.1. Bargaining power of the suppliers
- 3.4.1.2. Bargaining power of the buyers
- 3.4.1.3. Threats of substitution
- 3.4.1.4. Threats from new entrants
- 3.4.2. PESTEL Analysis
- 3.4.2.1. Political landscape
- 3.4.2.2. Economic and Social landscape
- 3.4.2.3. Technological landscape
- 3.4.2.4. Environmental landscape
- 3.4.2.5. Legal landscape
Chapter 4. Data Center Colocation Market: Colocation Type Estimates & Trend Analysis
- 4.1. Segment Dashboard
- 4.2. Data Center Colocation: Colocation Type Movement Analysis, 2024 & 2030 (USD Billion)
- 4.3. Retail Colocation
- 4.3.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 4.4. Wholesale Colocation
- 4.4.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
Chapter 5. Data Center Colocation Market: Tier Level Estimates & Trend Analysis
- 5.1. Segment Dashboard
- 5.2. Data Center Colocation: Tier Level Movement Analysis, 2024 & 2030 (USD Billion)
- 5.3. Tier 1
- 5.3.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 5.4. Tier 2
- 5.4.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 5.5. Tier 3
- 5.5.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 5.6. Tier 4
- 5.6.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
Chapter 6. Data Center Colocation Market: Enterprise Size Estimates & Trend Analysis
- 6.1. Segment Dashboard
- 6.2. Data Center Colocation: Data Center Types Movement Analysis, 2024 & 2030 (USD Billion)
- 6.3. Large Enterprises
- 6.3.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 6.4. SMEs
- 6.4.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
Chapter 7. Data Center Colocation Market: End Use Estimates & Trend Analysis
- 7.1. Segment Dashboard
- 7.2. Data Center Colocation: End Use Movement Analysis, 2024 & 2030 (USD Billion)
- 7.3. Retail
- 7.3.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 7.4. BFSI
- 7.4.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 7.5. IT & Telecom
- 7.5.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 7.6. Healthcare
- 7.6.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 7.7. Media & Entertainment
- 7.7.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 7.8. Others
- 7.8.1. Market Size Estimates and Forecasts, 2018 - 2030 (USD Billion)
Chapter 8. Data Center Colocation Market: Regional Estimates & Trend Analysis
- 8.1. Data Center Colocation Share, By Region, 2024 & 2030 (USD Billion)
- 8.2. North America
- 8.2.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.2.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.2.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.2.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.2.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.2.6. U.S.
- 8.2.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.2.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.2.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.2.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.2.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.2.7. Canada
- 8.2.7.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.2.7.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.2.7.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.2.7.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.2.7.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.2.8. Mexico
- 8.2.8.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.2.8.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.2.8.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.2.8.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.2.8.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.3. Europe
- 8.3.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.3.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.3.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.3.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.3.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.3.6. France
- 8.3.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.3.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.3.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.3.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.3.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4. Asia Pacific
- 8.4.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4.6. China
- 8.4.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4.7. India
- 8.4.7.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.7.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.7.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.7.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.7.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4.8. Japan
- 8.4.8.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.8.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.8.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.8.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.8.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4.9. Australia
- 8.4.9.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.9.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.9.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.9.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.9.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.4.10. South Korea
- 8.4.10.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.4.10.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.4.10.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.4.10.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.4.10.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.5. Latin America
- 8.5.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.5.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.5.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.5.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.5.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.5.6. Brazil
- 8.5.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.5.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.5.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.5.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.5.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.6. Middle East & Africa
- 8.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.6.6. Saudi Arabia
- 8.6.6.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.6.6.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.6.6.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.6.6.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.6.6.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.6.7. UAE
- 8.6.7.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.6.7.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.6.7.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.6.7.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.6.7.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
- 8.6.8. South Africa
- 8.6.8.1. Market Estimates and Forecasts, 2018 - 2030 (USD Billion)
- 8.6.8.2. Market estimates and forecast by colocation type, 2018 - 2030 (Revenue, USD Billion)
- 8.6.8.3. Market estimates and forecast by tier level, 2018 - 2030 (Revenue, USD Billion)
- 8.6.8.4. Market estimates and forecast by enterprise size, 2018 - 2030 (Revenue, USD Billion)
- 8.6.8.5. Market estimates and forecast by end use, 2018 - 2030 (Revenue, USD Billion)
Chapter 9. Competitive Landscape
- 9.1. Recent Developments & Impact Analysis by Key Market Participants
- 9.2. Company Categorization
- 9.3. Company Market Share Analysis
- 9.4. Company Heat Map Analysis
- 9.5. Strategy Mapping
- 9.5.1. Expansion
- 9.5.2. Mergers & Acquisition
- 9.5.3. Partnerships & Collaborations
- 9.5.4. New Product Launches
- 9.5.5. Research And Development
- 9.6. Company Profiles
- 9.6.1. China Telecom Corporation Limited
- 9.6.1.1. Participant's Overview
- 9.6.1.2. Financial Performance
- 9.6.1.3. Product Benchmarking
- 9.6.1.4. Recent Developments
- 9.6.2. Cologix
- 9.6.2.1. Participant's Overview
- 9.6.2.2. Financial Performance
- 9.6.2.3. Product Benchmarking
- 9.6.2.4. Recent Developments
- 9.6.3. Colt Technology Services Group Limited
- 9.6.3.1. Participant's Overview
- 9.6.3.2. Financial Performance
- 9.6.3.3. Product Benchmarking
- 9.6.3.4. Recent Developments
- 9.6.4. CoreSite
- 9.6.4.1. Participant's Overview
- 9.6.4.2. Financial Performance
- 9.6.4.3. Product Benchmarking
- 9.6.4.4. Recent Developments
- 9.6.5. CyrusOne
- 9.6.5.1. Participant's Overview
- 9.6.5.2. Financial Performance
- 9.6.5.3. Product Benchmarking
- 9.6.5.4. Recent Developments
- 9.6.6. Centersquare
- 9.6.6.1. Participant's Overview
- 9.6.6.2. Financial Performance
- 9.6.6.3. Product Benchmarking
- 9.6.6.4. Recent Developments
- 9.6.7. Digital Realty Trust
- 9.6.7.1. Participant's Overview
- 9.6.7.2. Financial Performance
- 9.6.7.3. Product Benchmarking
- 9.6.7.4. Recent Developments
- 9.6.8. Equinix, Inc.
- 9.6.8.1. Participant's Overview
- 9.6.8.2. Financial Performance
- 9.6.8.3. Product Benchmarking
- 9.6.8.4. Recent Developments
- 9.6.9. Flexential
- 9.6.9.1. Participant's Overview
- 9.6.9.2. Financial Performance
- 9.6.9.3. Product Benchmarking
- 9.6.9.4. Recent Developments
- 9.6.10. Iron Mountain, Inc.
- 9.6.10.1. Participant's Overview
- 9.6.10.2. Financial Performance
- 9.6.10.3. Product Benchmarking
- 9.6.10.4. Recent Developments
- 9.6.11. NTT Ltd. (NTT DATA)
- 9.6.11.1. Participant's Overview
- 9.6.11.2. Financial Performance
- 9.6.11.3. Product Benchmarking
- 9.6.11.4. Recent Developments
- 9.6.12. QTS Realty Trust, LLC
- 9.6.12.1. Participant's Overview
- 9.6.12.2. Financial Performance
- 9.6.12.3. Product Benchmarking
- 9.6.12.4. Recent Developments
- 9.6.13. Rackspace Technology
- 9.6.13.1. Participant's Overview
- 9.6.13.2. Financial Performance
- 9.6.13.3. Product Benchmarking
- 9.6.13.4. Recent Developments
- 9.6.14. Telehouse (KDDI CORPORATION)
- 9.6.14.1. Participant's Overview
- 9.6.14.2. Financial Performance
- 9.6.14.3. Product Benchmarking
- 9.6.14.4. Recent Developments
- 9.6.15. Zayo Group, LLC.
- 9.6.15.1. Participant's Overview
- 9.6.15.2. Financial Performance
- 9.6.15.3. Product Benchmarking
- 9.6.15.4. Recent Developments