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Data Center Automation Market |
The data center automation market includes software and tools that enable the
automation of physical and virtual IT infrastructure in data centers. Data
center automation helps improve the efficiency of operations through
centralized management and control over physical and virtual components. It
enables organizations to optimize data center resources, reduce costs, ensure
compliance and security, and deliver applications faster. The growing need
among enterprises to improve operational efficiency while reducing costs is a
key factor driving increased adoption of data center automation solutions.
The Global Data Center Automation Market is estimated to be valued at US$ 10.29 Bn in 2024 and is expected to
exhibit a CAGR of 18% over the
forecast period 2024 to 2031.
Increased spending on Data Center Automation
Market Growth infrastructure by enterprises across
industries to support their digital transformation initiatives and the need for
improved efficiency and agility are the primary factors propelling market
revenue growth.
Key Takeaways
Key players operating in the data center automation
market are Cisco Systems Inc., ABB Limited, Oracle Corporation, Microsoft
Corporation, BMC Software, ServiceNow, Citrix Systems, Inc, Hewlett Packard
Enterprise Development LP, FUJITSU, VMWare. These players are focusing on
developing advanced solutions through partnerships, mergers, and acquisitions
to strengthen their market position.
The growing demand for cloud-based solutions across industries is expected to
create significant opportunities for market players. Convergence of
technologies such as AI, big data and IoT is also enabling innovative data
center automation solutions. Data center operators are expanding their global
footprint to cater to the increasing computing needs of global enterprises,
presenting prospects for international market expansion.
Market Drivers
One of the key drivers for the data center automation
market is the increased need for improved efficiency and agility. Data center
automation allows enterprises to optimize the use of physical infrastructure,
cooling and power resources. It enhances workload scheduling and streamlines IT
operations to improve productivity.
Market Restrains
Lack of awareness among small and medium enterprises
about the benefits of data center automation is a major challenge. High upfront
costs required for switching from legacy systems to advanced automated
solutions also restrain the adoption rates to some extent. Ensuring reliability
during the integration of new automated systems with existing infrastructure is
another key concern for many organizations.
Segment
Analysis
The data center automation market is dominated by
hardware segment as it accounts for more than 30% share owing to the need for
installation of various hardware components like computing systems, storage,
networking devices and others in a data center infrastructure. The recurring
maintenance and upgradation needs further drive the demand for servers, storage
arrays and networking switches in a data center.
The network automation sub-segment holds significant share under the software
type as efficient network management is critical for seamless data center
operations. Centralized network automation solutions help in easy
configuration, monitoring and maintenance of entire network infrastructure
through a single platform. This eases the workload of IT administrators and
reduces human errors.
Global Analysis
North America dominates the global data center
automation market with over 35% share owing to heavy investments by leading
technology companies in building automated and AI-driven data center
facilities. Rapid digitalization and growing volume of data processed in
various industries have created the need for scalable and efficient data
centers in the region. Asia Pacific exhibits fastest growth led by China, India
and Japan. The growth in APAC region can be attributed to ongoing infrastructure
development projects, smart city initiatives and rising adoption of cloud-based
services. European market is fueled by high demand for automation from major
colocation service providers and cloud players operating in the region.
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Center Automation Market
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