Middle East & Africa Data Center Construction Market 2018-2024: Increasing Smartphone Users, Growing Broadband Connectivity, Rising Adoption of New Technologies, & High Demand for Colocation Services
DUBLIN, May 13, 2019 /PRNewswire/ -- The "Data Center Construction Market in Middle East & Africa - Industry Outlook and Forecast 2019-2024" report has been added to ResearchAndMarkets.com's offering.
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The MEA data center construction market is expected to reach $1 billion, growing at a CAGR of 9 % during 2018-2014.
Increasing smartphone users, growing broadband connectivity, rising adoption of new technologies, and high demand for colocation services are factors driving the MEA data center construction market. The investment in the data center market in Middle East and Africa (MEA) region is growing significantly, aided by the construction of data center facilities by telecommunication providers, enterprises, government, cloud and colocation service providers.
In the last few years, the MEA data center construction market has witnessed the entry of hyperscale data center service providers. The growing application of cloud-based SaaS solutions will be a predominant driver for increased hyperscale investments in the market. Recently, Alibaba, AWS, and Microsoft have shown interest in the cloud service market in MEA.
AWS, Microsoft, icolo.io, MainOne, Liquid Telecommunications, Internet Solutions, Global Data Center, Kenya Government, Telkom Kenya, and Algerian Customs will carry out datacenter investments in 2019. The formation of the African Datacenter Association is likely to aid the MEA data center construction market. High demand for colocation services in sectors such as retail/e-commerce, BFSI, healthcare, technology, and transportation is expected to strengthen the MEA data center construction market.
Data Center Construction Market: Segmentation
This market research report includes a detailed segmentation of the market by electrical infrastructure, mechanical infrastructure, tier standards, general construction, and countries. The MEA data center construction market by electrical infrastructure is classified into UPS system, generators, transfer switches and switchgear, rack PDUs, and other electrical infrastructure. The UPS system segment dominated the market in 2018 and is expected to grow at a CAGR of approx. 9% during the forecast period.
Mechanical infrastructure includes cooling systems, racks, and other infrastructure. Cooling systems use both air and water-based solutions to cool the data center facility. Computer room air conditioners (CRAC), computer room air handlers (CRAH), chillers, cooling towers, and dry coolers are the commonly adopted cooling infrastructure in the MEA data center construction market. The market will continue to witness the use of both air-based and water-based cooling techniques, thereby boosting the MEA data center construction market.
The MEA data center construction market by tier standards can be segmented into TierI&II, Tier III, and Tier IV. Tier III data center facilities are the fastest growing segment in the MEA market, growing at a CAGR of about 14%. These data centers have minimum N+1 redundancy across data center infrastructure, with around 1.6 hours of annual downtime. Given these benefits, several underdeveloped data center projects are designed on the Tier III standard, and the trend is likely to continue in the MEA data center construction market during the forecast period. AWS Bahrain facility and Etix Everywhere Ghana Data Center are major contributors toward the tier IV data center market in MEA.
The MEA data center construction market by general construction includes building design services, building development (site preparation and structural development), security (cameras, access systems, and perimeter protection), DCIM (data center infrastructure management software), and installation and commissioning services. The general construction segment is the fastest expanding segment in terms of revenue, growing at a CAGR of about 10%.
The MEA data center construction market will witness both greenfield and modular datacenter deployment. The shortage of skilled labors will be a significant challenge in the market as it will increase the dependency on global contractors and modular and infrastructure service providers. The increasing OPEX will increase the adoption of DCIM solutions, and the rapid growth in colocation data centers will increase the investment in physical security systems in the MEA market.
The MEA data center construction market by geography is segmented into GCC, South Africa, Nigeria, Kenya, and Other MEA countries. Africa is expected to witness a high CAGR, growing at around 12%. The growing internet penetration will increase cloud adoption across enterprises in Africa. The ever increasing e-commerce industry is expected to boost big data adoption in the region. Operators in the leading datacenter countries such as UAE and South Africa will continue to procure on-site renewable energy sources to run their operations.
South Africa leads the data center market in Africa with the presence of multiple data centers, followed by other countries such as Nigeria, Morocco, Angola, Egypt, and Zimbabwe. The demand for cloud computing and smart city initiatives by government agencies is driving growth in big data and IoT technology, thereby propelling the MEA data center construction market. Kenya, Nigeria, Saudi Arabia, and Turkey are set to attract major datacenter investment in the MEA region.
Vendors' initiatives toward cost reduction of efficient infrastructure are expected to increase market growth in the MEA region. Infrastructure resellers and distributors are expected to compete with each other in the region. The demand for modular datacenters that reduce space in datacenters and support high-density operations is expected to grow during the forecast period. Partnerships with local and modular datacenter service providers will increase revenues for global vendors operating in the market. The need for installation, commissioning, and maintenance services will generate local job opportunities in the market.
Key Topics Covered:
1 Research Methodology
2 Research Objectives
3 Research Process
4 Scope & Coverage
4.1 Market Definition
4.2 Base Year
4.3 Scope of the study
4.4 Market Segments
5 Report Assumptions & Caveats
5.1 Key Caveats
5.2 Currency Conversion
5.3 Market Derivation
6 Market at a Glance
7 Introduction
7.1 Internet Penetration and Data Center Traffic in MEA
7.2 Data Center Site Selection Criteria
8 Market Dynamics
8.1 Market Growth Enablers
8.1.1 Cloud Adoption Fueling Data Center Investment
8.1.2 Migration from Server Room to Colocation & Managed Services
8.1.3 Support from Government to Grow Digital Economy
8.1.4 Big Data and IoT to Fuel Additional Growth
8.2 Market Growth Restraints
8.2.1 Location Constraints for Data Center Construction
8.2.2 Issues with Power Outages and Fluctuations
8.2.3 Budgets Containers and Meagre Investment Support
8.3 Market Opportunities & Trends
8.3.1 Increased Adoption of Prefabricated Data Center Solutions
8.3.2 Investments to Improve Broadband Connectivity
8.3.3 Rising Investments in Hyperscale Facilities
8.3.4 Growing Emphasis on Renewable Energy in Data Centers
9 Market Landscape
9.1 Market Overview
9.2 Market Size & Forecast
9.3 Five Forces Analysis
10 By Infrastructure
10.1 Market segment snapshot & Growth Engine
10.2 Market Overview
10.3 Electrical Infrastructure
10.4 General Construction
10.5 Mechanical Infrastructure
11 By Electrical Infrastructure
11.1 Market segment snapshot & Growth Engine
11.2 UPS Systems
11.3 Generators
11.4 Transfer Switches & Switchgears
11.5 Rack Power Distribution Units
11.6 Other Electrical Infrastructure
12 By Mechanical Infrastructure
12.1 Market segment snapshot & Growth Engine
12.2 Cooling Systems
12.3 Racks
12.4 Other Mechanical Infrastructure
13 By Cooling Systems
13.1 Market segment snapshot & Growth Engine
13.2 CRAC & CRAH UNITS
13.3 Chiller Units
13.4 Cooling Towers & Dry Coolers
13.5 Other Cooling Units
14 By Cooling Technique
14.1 Market segment snapshot & Growth Engine
14.2 Air-Based Cooling Techniques
14.3 Liquid-Based Cooling Techniques
15 By General Construction
15.1 Market Segment Snapshot & Growth Engine
15.2 Building Development
15.3 Installation & Commissioning Services
15.4 Building Design
15.5 Physical Security
15.6 DCIM
16 By Tier Standards
16.1 Market segment snapshot & Growth Engine
16.2 Overview Of Tier Standards
16.3 Tier I & II
16.4 Tier III
16.5 Tier IV
17 By Geography
17.1 Geography snapshot & Growth Engine by investment
17.2 Geography Snapshot & Growth Engine By Area
17.3 Geography Snapshot & Growth Engine BY Power Capacity
18 Middle East
19 Africa
20 Competitive Landscape
20.1 Key Market Participants
20.1.1 Electrical Infrastructure
20.1.2 Mechanical Infrastructure
20.1.3 General Construction
21 Prominent Data Center Construction Contractors
21.1 Alec Engineering And Contracting
21.2 Atkins
21.3 Aveng Grinaker
21.4 Concor
21.5 Edarat Group
21.6 Etix Everywhere
21.7 Future-Tech
21.8 Harinsa Qatar
21.9 Huawei
21.10 ICS NETT
21.11 ISG
21.12 KAR Group
21.13 Laing O'rourke
21.14 MCLaren Construction Group
21.15 Nova Corp
21.16 Qatar Site & Power
21.17 RED Engineering
22 Prominent Data Center Infrastructure Providers
22.1 ABB
22.2 Caterpillar
22.3 Cummins
22.4 Eaton
22.5 Shenzhen Envicool Technology
22.6 Euro-Diesel
22.7 Hitec Power Protection
22.8 Legrand Group
22.9 MTU Onsite Energy (Rolls-Royce Power Systems AG)
22.10 Rittal
22.11 Schneider Electric
22.12 Stulz
22.13 Vertiv
23 Prominent Data Center Investors
23.1 Africa Data Centres
23.2 Amazon Web Services (AWS)
23.3 Batelco
23.4 Equinix
23.5 Global Data Center
23.6 GPX Global Systems
23.7 Gulf Data Hub
23.8 icolo.io
23.9 Internet Solutions
23.10 KHAZNA DATA CENTERS
23.11 Liquid Telecommunications
23.12 Mainone
23.13 Microsoft
23.14 Mobily
23.15 Ooredoo
23.16 Telkom Kenya
23.17 Teraco Data Environments
23.18 Turkcell
For more information about this report visit
https://www.researchandmarkets.com/r/p73r87
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