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Rising Cost Pressures in Existing Data Center Hubs Shifts Spotlight to New Markets Finds Frost & Sullivan - Asia Pacific market experiences renewed demand as organizations seek cost effective ways to meet increasing data center requirements - IPCommunications.Frost.com
Rising Cost Pressures in Existing Data Center Hubs Shifts Spotlight to New Markets Finds Frost & Sullivan

 

NewswireToday - /newswire/ - Kuala Lumpur, Malaysia, 2012/02/09 - Asia Pacific market experiences renewed demand as organizations seek cost effective ways to meet increasing data center requirements - IPCommunications.Frost.com.

   
 
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The traditional data center hubs of Hong Kong and Singapore are being confronted with several operational hurdles such as space restraints, higher realty prices and increasing operating costs. This is causing service providers to evaluate alternate low-cost locations such as Malaysia, India and China for further expansion in the region.

New analysis from Frost & Sullivan (ipcommunications.frost.com), Asia Pacific Data Center Services 2010, finds that the market earned revenues of over US$2.55 billion in 2010 and estimates this to reach US$9.25 billion in 2017.

"Most data centers are working at high utilization levels and service providers are hard pressed to identify the right locations for new data center build outs that provide the required infrastructure, at a sustainable price," says Frost & Sullivan Research Analyst Mayank Kapoor. "Market participants are adopting virtualization, consolidation and cloud computing to alleviate some of these cost pressures."

Further, the growing adoption of high-density blade servers is resulting in escalating power and cooling requirements. The latest power and cooling technologies will reduce the overall demand for data centre space, as they enable better packing of efficient blade servers.

Meanwhile, renewed corporate growth in the Asia Pacific in 2010 has given impetus to organizations’ business expansion efforts.

"As the outlook for North America and Europe is not very promising, global businesses are focusing their efforts on Asia Pacific to drive the next phase of corporate growth," notes Kapoor. "Global service providers have identified this as an opportunity and are beefing up their presence in the region, as an increasing number of businesses are looking at third-party service providers to supplement or replace their captive facilities."

Service providers are virtualizing a greater part of their servers and incorporating Green IT best practices across facilities. Future data centers will also have higher power densities, be carrier neutral and be built in low-cost locations.

If you are interested in more information on this study, please send an email with your contact details to Donna Jeremiah, Corporate Communications, at djeremiah[.]frost.com.

Asia Pacific Data Center Services 2010 is part of the Communications Services Growth Partnership Services program, which also includes research in the following markets: Asia Pacific SaaS Market 2010, Asia Pacific IaaS Market 2010, Asia Pacific Enterprise Data Services Market 2010, and Asia Pacific PaaS Market 2010. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan (frost.com), the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents.

Asia Pacific Data Center Services 2010 / P57C-63

 
 
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Rising Cost Pressures in Existing Data Center Hubs Shifts Spotlight to New Markets Finds Frost & Sullivan

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