Physical Security Demand Surges as Global Data Center Investments Reach New Heights, the Global Data Center Physical Security Market to Worth $1.59 Billion By 2028 - Arizton

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Nov 21, 2023, 13:50 ET

CHICAGO, Nov. 21, 2023 /PRNewswire/ -- According to Arizton's latest research report, the data center physical security market is growing at a CAGR of 7.78% during 2022-2028.

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Data Center Physical Security Market Research Report by Arizton

Data Center Physical Security Market Report Scope

Report Attributes	Details
Market Size (2028)	$1.59 Billion
Market Size (2022)	$1.01 Billion
Cagr by Revenue (2022-2028)	7.78 %
Base Year	2022
Forecast Year	2023-2028
Market Segmentation	Products, Physical Security Layers, End Users, and Geography
Geographic Analysis	North America, Latin America, Western Europe, Nordics, Central & Eastern Europe, Middle East, Africa, APAC, and Southeast Asia

The data center physical security market has been witnessing growth over the years and is expected to grow even more during the forecast period. The major factors responsible for the development include increased data center activities and investment by the hyperscale and colocation operators. The rise in data center facilities will lead to more and more adoptions of physical security products. The exponential increase in the internet-using population globally and more remote regions starting to access the internet led to a colossal level of data generation that needs to be processed and stored. Here is where data centers are crucial in fulfilling these data-driven processes. This led to the mass-scale construction of data centers in several cities globally.

Cloud service providers like AWS, Microsoft, Google, Tencent Cloud, and Oracle need wholesale colocation space. These service providers either construct their own data centers or work with colocation providers to build a built-to-suit facility for their operational requirements. As demand grows, several leading financial, healthcare, and IT software service providers colocate their wholesale colocation space. Several IoT and Big data companies and service providers are interested in the wholesale colocation. Most colocation service providers have multiple layers of security, including perimeter fencing, vehicle barriers, cameras that monitor 24/7, and MFA near the doors and data halls, which comprises key card access, biometric scanners, ID verification, and, in some facilities, a retina scan. Some colocation data centers have additional biometric and key card access racks. Employees of data centers are pre-checked before entering and leaving. A few colocation data centers permit customers to install physical security on their racks and data halls. For instance, STACK Infrastructure's ICN01A Seoul data center is a colocation campus that offers 24/7 on-site security personnel, dual-factor biometric access, CCTV coverage with 93-day retention, vehicle gates with badge access, perimeter fencing, and tenant-specific security. They are also equipped with dual smoke detection using very early smoke detection apparatus (VESDA) and clean-agent gas fire suppression systems.

Advances in Video- & Cloud-Based Analytics Creating Market Opportunities

Businesses saw a massive surge in using the latest technologies and software to be at par with their competitor's post-pandemic. Companies re-work video analytics strategies and adopt a more hybrid approach using cloud and edge to decentralize decision-making. A hybrid approach to video analytics can be optimal for certain types and sizes of businesses instead of only cloud-based or on-premises technology.

Video surveillance and analytics became more efficient with the advent of 5G. Edge data centers and smart cities increasingly deploy advanced surveillance methods. 5G supports the increasing density of cameras, with the uplink bandwidth required by 4K and 8K videos. Companies also offer Video Surveillance as a Service (VSaaS), hosted cloud-based video surveillance. The service includes video recording and storage, cybersecurity, remote monitoring, and management alerts.

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Geographical Analysis

Americas Region: Technologically Advanced and Established Markets:
North America leads the data center physical security market in the Americas region, followed by Latin America. North America is considered among the developed and established data center markets and sets the base for other areas like Europe and the APAC region. Latin America is among the emerging and developing data center markets with high potential during the forecast period.

APAC Region: The Most Dynamic and Fastest Growing Markets:

The APAC region is considered among the fastest-growing markets across the globe due to increased digitalization and internet users creating a higher demand for data storage facilities. The region has some of the largest and most established markets, such as China, Singapore, Australia, Japan, Hong Kong, and India. Some emerging markets include Indonesia, Malaysia, South Korea, New Zealand, and Thailand.

MEA Region: The Evolving and Higher Potential Markets:

The MEA region has a higher potential for growth in adopting physical security products. The market witnesses higher physical security breaches compared to other regions. The operators are involved in deploying higher measures of physical security products to reduce unauthorized entry and access into data center buildings.

Europe Region: Several Established and Booming Markets:

The European region has the presence of several established markets, such as the UK, France, Germany, Ireland, and the Netherlands. The region is also witnessing a boom across other markets such as Spain, Poland, Italy, Belgium, Denmark, Sweden, and other countries. The development of data center facilities will lead to increased adoption of physical security products.

Data Center Physical Security Market Dynamics

Opportunities

Rise in Edge Data Center Investments

Use of Anti-Climb Perimeter Security

Advances in Video- & Cloud-Based Analytics

Introduction Of Robot-Driven Physical Security Measures for Data Centers

Market Growth

Investments In Colocation Data Center Facilities

Increase In Hyperscale Investments

Challenges

Security Challenges

Physical Security
Access Control
Surveillance Cameras in Server Rooms

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About the Report:

The study considers the present scenario of the global data center physical security market and its market dynamics for 2023−2028. It covers a detailed overview of several market growth enablers, restraints, and trends. The report offers both the demand and supply aspects of the industry. It profiles and examines leading and prominent companies operating in the industry.

Market Segmentation

Products: Video Surveillance, Access Control, and Other Physical Security Products
Physical Security Layers: Perimeter Security Layer, Building Security, Data Hall Security, and Cabinet Security
End Users: Colocation Data Centers, Hyperscale Data Centers, and Enterprise Data Centers
Geography: North America, Latin America, Western Europe, Nordics, Central & Eastern Europe, Middle East, Africa, APAC, and Southeast Asia

Key Company Profiles

ABB
Alcatraz AI
AMAG Technology
ASSA ABLOY
Axis Communications
Barkers Fencing
Bayometric
Bosch Security and Safety Systems
BioConnect
Boon Edam
Boston Dynamics
Cisco Systems
Convergint Technologies
CLD Physical Security Systems
Dahua Technology
Digitus Biometrics
Eagle Eye Networks
Genetec
Gunnebo
Hangzhou Hikvision Digital Technology (Hikvision)
Honeywell
Horton Automatics
Instor (Accelevation)
Johnson Controls
Kisi
LenelS2 (Carrier)
Legrand
Pacific Controls
Pelco (Motorola Solutions)
Puffins Solutions
Schneider Electric
Secure I.T. Environments
Securitas
Siemens
Southwest Microwave
Suprema
Verkada
WireCrafters

Check the Detailed Table of Contents of the Report @ https://www.arizton.com/market-reports/data-center-physical-security-market-size-analysis?details=tableOfContents

Key Questions Answered in the Report:

How big is the data center physical security market?

What is the growth rate of the global data center physical security market?

What are the key trends in the data center physical security market?

Who are the key data center physical security market players?

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