The Europe Middle East and Africa (EMEA) data center professional services market is estimated to provide high revenue generation opportunities during the forecast period.
EMEA data center professional services market is anticipated to witness substantial growth owing to the growing investments in data centers in the region. The IT giants like Google, Amazon, and Facebook, and many others are investing hugely in the recent years in the region, which is anticipated to propel the growth of the data center professional services market during the forecast period. Also, the rise in the adoption of cloud technology in the region is further expected to sure the EMEA data center professional services market growth in the coming years.
The recent outbreak of the novel coronavirus disease had a positive impact on the EMEA data center professional services market. The European government mandates the making of electronic health records of patients and pandemic led to rising in data storage in healthcare which led to a surge in the data center professional services market. The rise of digitalization in the region during the pandemic has led to the increased need and growth of data centers. Also, the pandemic led to a large number of companies adopting cloud migration due to remote access, security issues, and the need to manage large amounts of data owing to remote working which led to a surge in the data center professional services market during the pandemic. Looking at the rapid digitalization in the Middle East during the pandemic, Google Cloud and Saudi Aramco announced the partnership in December 2020 to deliver cloud infrastructure to Saudi Arabia. These actions are further increasing the adoption of cloud technology in the region which is anticipated to propel market growth in the post-pandemic period also.
The rise in investments in data centers.
The growing investments in data centers over the years are projected to propel the growth of the EMEA data center professional services market during the forecast period. According to the Nordic Council of Ministers, since Google and Facebook entered the Nordic region in 2009 and 2011 respectively, the region has become an attractive place for data center investors. The region has seen a rise in the number of projects under construction with large data storage capacity. As per Nordic Council of Ministers 2018, Facebook invested in two hyperscale data centers in Lulea, Sweden, and announced potential extensions, while also planning for potential multiple data centers in Esbjerg, Denmark; Yandex invested in a hyperscale data center in Mantsala, Finland; Apple invested in a hyperscale data center in Viborg, Denmark, and planned for multiple data centers in Aabenraa, Denmark. For cloud data centers, Google made investments in multiple data centers in Hamina Finland, while also announcing potential investments, and planned site lots for potential multiple data centers in Fredericia and Aabenraa in Denmark and Avesta in Sweden.
Most investments in data centers in the European region are made in Frankfurt, London, Amsterdam, Paris, and Dublin (also known as FLAP-D). Dublin has been witnessing increased investment in recent years in all categories, be it cloud, colocation, or other segments. This FLAP-D segment amounts to about 2000 MW of installed base and is further projected to increase considerably in the coming years. In the Middle East region, government support and rising interest for cloud computing are driving the rise of investments in data centers. For instance, in December 2020, stc Group launched three mega data centers in Riyadh, Jeddah, and Madinah with an investment value of SR1 billion ($270 million). In the African region, although the data centers are still at an infancy phase, over the past few years, the investments in data centers have been growing rapidly with the rise in digitalization, increased connectivity, rising IT industry, and government support. Looking at the vast opportunities, various companies are now investing in the data centers in the region, which is anticipated to propel the growth of data center professional services in Africa. For instance, in February 2019, Huwaei announced to invest in building two data centers in Johannesburg and Capetown in South Africa. Also, Amazon launched a cloud data center in South Africa in April 2020, which is the company’s first in the continent. Hence, the rise in investments in data centers in Europe, Middle East, and Africa are providing a boost to the data center professional services in the region and is anticipated to bolster the market growth in the EMEA region during the forecast period.
Cloud and Automation to hold significant market share.
By service type, the cloud and automation segment is projected to hold the highest market share. The European government has been very supportive of the adoption of cloud adoption in the region which is one of the major driving factors for the rise of cloud in the region. Eurostat states that the use of cloud computing in the region increased by 12% in 2020 as compared to 2018. In countries like Finland, Sweden, and Denmark, 75%, 70%, and 67% of the enterprises used cloud computing showing an impressively high share. The Middle East and Africa region is also witnessing a surge in cloud adoption. Various companies have been entering the region and making partnerships for providing better cloud computing services in the region. For instance, in March 2021, KPMG partnered with Oracle to increase the adoption of cloud-based emerging technologies in Saudi Arabia. Due to the rising cloud adoption, the cloud and automation segment is anticipated to hold the highest share for data center professional services in the EMEA region.
The United Kingdom to hold a significant market share.
Geographically, United Kingdom is anticipated to hold a significant market share owing to a large number of data centers in the country. Germany is also expected to hold a considerable share and substantial growth owing to the rising cloud adoption in the country and the second-highest number of data centers in the region, which prompts the need for increased data center professional services.
Competitive Insights
Prominent/major key market players in the EMEA data center professional services market include Schneider Electric SE, Alcatel-Lucent Enterprise, ABB Ltd., among others. The players in the EMEA data center professional services market are implementing various growth strategies to gain a competitive advantage over its competitors in this market. Major market players in the market have been covered along with their relative competitive strategies and the report also mentions recent deals and investments of different market players over the last few years. The company profiles section details the business overview, financial performance (public companies) for the past few years, key products and services being offered along with the recent deals and investments of these important players in the EMEA data center professional services market.
Segmentation:
By Service Type
By Data Center Type
By End-User Industry
By Geography
EMEA data center professional services market is anticipated to witness substantial growth owing to the growing investments in data centers in the region. The IT giants like Google, Amazon, and Facebook, and many others are investing hugely in the recent years in the region, which is anticipated to propel the growth of the data center professional services market during the forecast period. Also, the rise in the adoption of cloud technology in the region is further expected to sure the EMEA data center professional services market growth in the coming years.
The recent outbreak of the novel coronavirus disease had a positive impact on the EMEA data center professional services market. The European government mandates the making of electronic health records of patients and pandemic led to rising in data storage in healthcare which led to a surge in the data center professional services market. The rise of digitalization in the region during the pandemic has led to the increased need and growth of data centers. Also, the pandemic led to a large number of companies adopting cloud migration due to remote access, security issues, and the need to manage large amounts of data owing to remote working which led to a surge in the data center professional services market during the pandemic. Looking at the rapid digitalization in the Middle East during the pandemic, Google Cloud and Saudi Aramco announced the partnership in December 2020 to deliver cloud infrastructure to Saudi Arabia. These actions are further increasing the adoption of cloud technology in the region which is anticipated to propel market growth in the post-pandemic period also.
The rise in investments in data centers.
The growing investments in data centers over the years are projected to propel the growth of the EMEA data center professional services market during the forecast period. According to the Nordic Council of Ministers, since Google and Facebook entered the Nordic region in 2009 and 2011 respectively, the region has become an attractive place for data center investors. The region has seen a rise in the number of projects under construction with large data storage capacity. As per Nordic Council of Ministers 2018, Facebook invested in two hyperscale data centers in Lulea, Sweden, and announced potential extensions, while also planning for potential multiple data centers in Esbjerg, Denmark; Yandex invested in a hyperscale data center in Mantsala, Finland; Apple invested in a hyperscale data center in Viborg, Denmark, and planned for multiple data centers in Aabenraa, Denmark. For cloud data centers, Google made investments in multiple data centers in Hamina Finland, while also announcing potential investments, and planned site lots for potential multiple data centers in Fredericia and Aabenraa in Denmark and Avesta in Sweden.
Most investments in data centers in the European region are made in Frankfurt, London, Amsterdam, Paris, and Dublin (also known as FLAP-D). Dublin has been witnessing increased investment in recent years in all categories, be it cloud, colocation, or other segments. This FLAP-D segment amounts to about 2000 MW of installed base and is further projected to increase considerably in the coming years. In the Middle East region, government support and rising interest for cloud computing are driving the rise of investments in data centers. For instance, in December 2020, stc Group launched three mega data centers in Riyadh, Jeddah, and Madinah with an investment value of SR1 billion ($270 million). In the African region, although the data centers are still at an infancy phase, over the past few years, the investments in data centers have been growing rapidly with the rise in digitalization, increased connectivity, rising IT industry, and government support. Looking at the vast opportunities, various companies are now investing in the data centers in the region, which is anticipated to propel the growth of data center professional services in Africa. For instance, in February 2019, Huwaei announced to invest in building two data centers in Johannesburg and Capetown in South Africa. Also, Amazon launched a cloud data center in South Africa in April 2020, which is the company’s first in the continent. Hence, the rise in investments in data centers in Europe, Middle East, and Africa are providing a boost to the data center professional services in the region and is anticipated to bolster the market growth in the EMEA region during the forecast period.
Cloud and Automation to hold significant market share.
By service type, the cloud and automation segment is projected to hold the highest market share. The European government has been very supportive of the adoption of cloud adoption in the region which is one of the major driving factors for the rise of cloud in the region. Eurostat states that the use of cloud computing in the region increased by 12% in 2020 as compared to 2018. In countries like Finland, Sweden, and Denmark, 75%, 70%, and 67% of the enterprises used cloud computing showing an impressively high share. The Middle East and Africa region is also witnessing a surge in cloud adoption. Various companies have been entering the region and making partnerships for providing better cloud computing services in the region. For instance, in March 2021, KPMG partnered with Oracle to increase the adoption of cloud-based emerging technologies in Saudi Arabia. Due to the rising cloud adoption, the cloud and automation segment is anticipated to hold the highest share for data center professional services in the EMEA region.
The United Kingdom to hold a significant market share.
Geographically, United Kingdom is anticipated to hold a significant market share owing to a large number of data centers in the country. Germany is also expected to hold a considerable share and substantial growth owing to the rising cloud adoption in the country and the second-highest number of data centers in the region, which prompts the need for increased data center professional services.
Competitive Insights
Prominent/major key market players in the EMEA data center professional services market include Schneider Electric SE, Alcatel-Lucent Enterprise, ABB Ltd., among others. The players in the EMEA data center professional services market are implementing various growth strategies to gain a competitive advantage over its competitors in this market. Major market players in the market have been covered along with their relative competitive strategies and the report also mentions recent deals and investments of different market players over the last few years. The company profiles section details the business overview, financial performance (public companies) for the past few years, key products and services being offered along with the recent deals and investments of these important players in the EMEA data center professional services market.
Segmentation:
By Service Type
- Cloud and Automation
- Infrastructure
- Consulting
- Training
- Maintenance & Support
- Data Center Migration
- Others
By Data Center Type
- Tier 1
- Tier 2
- Tier 3
- Tier 4
By End-User Industry
- BFSI
- IT and Telecommunication
- Healthcare
- Energy
- Retail
- Manufacturing
- Government
- Others
By Geography
- Germany
- France
- UK
- Saudi Arabia
- UAE
- Others
Table of Contents
1. Introduction
2. Research Methodology
3. Executive Summary
4. Market Dynamics
5. EMEA Data Center Professional Services Market Analysis, by Service Type
6. EMEA Data Center Professional Services Market Analysis, by Data Center Type
7. EMEA Data Center Professional Services Market Analysis, by End-User Industry
8. EMEA Data Center Professional Services Market Analysis, by Geography
9. Competitive Environment and Analysis
10. Company Profiles
Companies Mentioned
- Schneider Electric SE
- Alcatel-Lucent Enterprise
- ABB Ltd
- Capgemini SE
- Eaton Corporation
- Stc
- Rittal GmbH & Co. KG
- Legrand SA
- Colt Data Center Services
- Global Switch
Methodology
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