Data Center Outsourcing to reach $8b: Cloud is yet to displace existing options

Posted on: November 11, 2011

  • Global market investment in outsourcing is set to rise to $8bn in 2012 for many users of data center services found the Data Center Industry Census 2011.
  • A substantial proportion of racks are and will be outsourced found the new report “Technology Cycles and Cloud”, the latest in the series based on the world’s largest survey of the data center industry.
  • In quantitative terms, the sample indicates the USA is the largest market with 210,000 racks outsourced either to third party suppliers or to other offices.
  • However, there is enormous variation in the proportion of outsourced racks from region to region; from as little as 3% in the Middle East, to as much as 28% in China and 30% in India.
  • Nick Parfitt, a researcher at DatacenterDynamics said: It is evident that outsourcing fulfils different roles in the evolution of markets; as an entry point for organisations which have not yet evolved the capacity requirement to operate their own environments, or as an exit point in developed markets where the pace of increased IT requirements has exceeded in-house capacity.

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