Global Data Center Rack Market Outlook 2023-2028 - Open Rack Architecture Gains Traction for Cost Savings and Interoperability

News provided by

Oct 25, 2023, 19:30 ET

DUBLIN, Oct. 25, 2023 /PRNewswire/ -- The "Global Data Center Rack Market - Outlook & Forecast 2023-2028" report has been added to ResearchAndMarkets.com's offering.

The global data center rack market is expected to reach a value of $3.14 billion by 2028 from $2.04 billion in 2022, growing at a CAGR of 7.5%

The global data center rack market is experiencing robust growth, driven by collaborative alliances between data center operators and rack vendors. Key players in the industry, including Schneider Electric, Vertiv Group, Eaton, Rittal, and Legrand, offer rack infrastructure solutions. Moreover, IT infrastructure providers such as HPE, Dell Technologies, and IBM have formed partnerships to deliver pre-installed IT infrastructure solutions for data centers.

Revenue generation for these vendors is influenced by factors such as the breadth of their product offerings, competitive pricing, and the quality of pre- and post-installation services. The market features both local and global providers, contributing to its dynamism.

Sustainability and energy efficiency have gained significance in the data center industry as data centers continue to expand in size and complexity, leading to increased energy consumption and carbon emissions. This has fueled the demand for sustainable data center racks that can reduce energy consumption and minimize environmental impact.

Edge computing, characterized by remote and rugged environments, necessitates lightweight, portable, and robust data center racks. These racks must accommodate various IT equipment and cooling solutions. Some vendors are developing edge-specific racks optimized for edge computing workloads, featuring power distribution units (PDUs) supporting multiple power sources and redundant cooling systems.

The ascent of hybrid IT infrastructure, blending on-premises and cloud-based systems, drives the need for flexible and scalable racks. Hybrid IT enables organizations to harness the advantages of both on-premises and cloud infrastructure, enhancing agility in workload and application management.

The Asia-Pacific (APAC) region dominates the data center rack market, with a projected CAGR of approximately 8.52% during the forecast period. APAC organizations are constructing high-performance-computing data centers, driving demand for advanced, high-capacity racks.

China's flourishing digital economy, led by sectors such as e-commerce, real estate, BFSI (Banking, Financial Services, and Insurance), healthcare, and government, contributes to increased investments in rack infrastructure and support infrastructure.

MARKET TRENDS & OPPORTUNITIES

Increasing Deployments of Edge Data Centers

The increase in edge data center installations is expected to boost the demand for racks in data centers. Edge data centers are smaller and located closer to where data is used, like smart devices and apps. This means there's a need for compact racks that fit well in smaller spaces.

These racks might also need to be flexible to hold different types of equipment and help with cooling and power distribution to keep things running smoothly. Moreover, the demand for edge data centers has significantly increased due to increased data generation. As a result, data center racks and cabinets have become essential components of a business's IT infrastructure, thereby supporting the data center rack market growth.

The Procurement of Open Rack Architecture

Open rack infrastructure adoption in data centers has been increasing in recent years, driven by the need for greater flexibility, interoperability, and cost savings. Open rack infrastructure refers to a standardized rack and power distribution unit (PDU) design that enables users to easily mix and match hardware components from different vendors.

Hence, standardized rack designs can work with various equipment rather than racks with specific designs that only fit certain things. Using these open racks allows data centers to be more flexible with their equipment, saving money and making operations more efficient. This trend also encourages collaboration among companies to develop improved ideas for racks and equipment.

KEY QUESTIONS ANSWERED:

How big is the data center rack market?
What is the growth rate of the global data center rack market?
What are the key trends in the data center rack industry?
How big is the global data center rack market regarding unit shipment?
Who are the prominent rack provider companies in the global data center rack market?

Rack Standards in Data Centers

National Electrical Manufacturers Association (Nema)
Electronic Industries Alliance (Eia)
International Electrotechnical Commission (Iec)
Increased Rack Power Density

Market Opportunities & Trends

Increased Deployment of Edge Data Centers
Procurement of Open Rack Architecture

Market Growth Enablers

Increased Data Center & Hyperscale Investments
Preference for Modular Data Centers
Rise in Procurement of Tall, Deep & Wide Racks

Market Restraints

Supply Chain Disruptions
Availability of Low-Cost Solutions
Innovations in IT Infrastructure Hampers Rack Adoption
Adoption of Immersion Cooling Solutions

Prominent Data Center Rack Providers

Eaton
Hewlett Packard Enterprise (HPE)
Legrand
Schneider Electric
Rittal
Vertiv Group

Other Prominent Data Center Rack Providers

Austin Hughes Electronics
Beijing Finen Electronic Equipment
Belden
Black Box Corporation (AGC Networks)
Cannon Technologies
Canovate
Chatsworth Products
Cisco Systems
Conteg
Cyber Power Systems
Dataracks
Delta Electronics
Enconnex
FUJITSU
Great Lakes Data Racks And Cabinets
International Business Machines (IBM)
Inspur
Panduit
Prism Enclosures
Rack Solutions
Rahi Systems
Retex
Schroff (nVent)
StarTech.com
USystems

Segmentation by Product

Enclosures & Cabinets
Accessories

Segmentation by End-Users

Colocation Data Centers
Enterprise Data Centers

Segmentation by Rack Size

Below 42U
42U
45U-47U
48U
Other Rack Units

Segmentation by Geography

North America
US
Canada
Latin America
Brazil
Mexico
Other Latin American Countries
Western Europe
UK
Germany
France
Netherlands
Spain
Italy
Other Western European Countries
Nordics
Denmark
Sweden
Norway
Finland & Iceland
Central & Eastern Europe
Russia
Poland
Other Central & Eastern European Countries
Middle East
UAE
Saudi Arabia
Other Middle Eastern Countries
Africa
South Africa
Other African Countries
APAC
China
Hong Kong
Australia
New Zealand
India
Japan
South Korea
Taiwan
Rest of APAC
Southeast Asia
Singapore
Malaysia
Indonesia
Thailand
Other Southeast Asian Countries

For more information about this report visit https://www.researchandmarkets.com/r/rq4yh8

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

SOURCE Research and Markets