European Data Center Colocation Market Size, Share & Forecast To 2025

Posted by Rishabh on March 12th, 2020

The European data center colocation market is estimated to grow modestly, at a CAGR of 13.1%, during the forecast period. Factors responsible for the growth of the market in Europe include well-developed telecommunication infrastructure, high internet penetration, and high adoption of cloud-based devices among people and organizations. Regulations regarding the data localization such as GDPR by the European Union, and countries-own data localization and protection act are also providing growth to the market. Moreover, the expansion strategy adopted by the majority of the colocation service providers in the region is addressing the increasing demand for colocation data centers across various industry verticals.

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UK, Spain, Germany, France, and Italy are the major economies of Europe that are contributing significantly towards the growth of the European data center colocation market. In order to protect data through better security, the European Union introduced GDPR on 25th May 2018 after the approval in April 2016 after the 4-year preparation and debate. It has replaced the Data Protection Directive 95/46/EC. Aim of the new law is to provide equal data privacy and protect the personal data of users and customers of companies all across Europe. Authoritative bodies include the European Commission, European Parliament, and the Council of Ministers of the European Union.

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The companies which are contributing to the growth of the European data center colocation market include AT&T, Inc., BT Group PLC, Equinix, Inc., IBM Corp., and Interxion Holding NV. The market players are considerably contributing to the market growth by the adoption of various strategies including new product launch, merger, and acquisition, collaborations with government, funding to the start-ups and technological advancements to stay competitive in the market. 

Market Segmentation

European Data Center Colocation Market by Solution Type

  • Retail Colocation
  • Wholesale Colocation

European Data Center Colocation Market by Verticals

  • BFSI
  • IT & Telecom
  • Healthcare
  • Government and Defense
  • Others (Media and Entertainment)

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