Product Code: BMIRE00031960
The hyperscale data center market in North America was valued at approximately USD 41.43 billion in 2023 and is projected to grow to around USD 174.38 billion by 2031, reflecting a compound annual growth rate (CAGR) of 19.7% during the forecast period from 2023 to 2031.
Drivers of Growth in the Hyperscale Data Center Market
The rapid advancement of technologies such as the Internet of Things (IoT), big data, machine learning, and artificial intelligence (AI) is significantly driving the growth of the hyperscale data center market in North America. IoT, in particular, generates vast amounts of data that require efficient storage, processing, and real-time analysis. With numerous IoT devices deployed across various sectors, the need for data centers that can handle this influx of information is critical.
Hyperscale data centers, strategically located at the network's edge, provide essential local computing power, storage, and analytics capabilities. This setup minimizes latency and bandwidth usage when transmitting data to centralized data centers, enabling real-time decision-making and enhancing IoT applications across multiple industries.
Moreover, the processing and analysis of large datasets necessitate substantial computational power and storage. Hyperscale data centers are designed with scalable and distributed architectures, allowing organizations to efficiently manage and analyze big data. They also improve data processing efficiency and facilitate real-time analytics. Additionally, machine learning and AI applications require significant computational resources for both training and inference, which hyperscale data centers can readily provide. By situating these data centers closer to data sources, organizations can further reduce latency, supporting applications such as autonomous vehicles, intelligent video analytics, predictive maintenance, and personalized recommendations.
Impact of Digital Banking on the Market
The digital banking sector in North America has experienced rapid growth, contributing to the expansion of the hyperscale data center market. Innovations in digital banking, including AI-driven budgeting tools and mobile payment solutions, are transforming the financial landscape. A recent survey by the American Bankers Association revealed that approximately 71% of consumers prefer managing their bank accounts via mobile apps (48%) or computers (23%). This shift towards digital banking is driving demand for hyperscale data centers, as financial institutions increasingly rely on these facilities to enhance customer experience and operational efficiency.
Market Segmentation
The North America hyperscale data center market can be segmented into several categories:
1. Solutions: The market is divided into storage, networking, servers, security, and other solutions. In 2023, the storage segment held the largest share of the market.
2. End Users: The market is categorized into colocation providers, enterprises, and cloud providers. The colocation providers segment was the largest in 2023.
3. Industry Verticals: The market is segmented into banking, financial services, and insurance (BFSI), telecommunications and IT, government and public sectors, media and entertainment, among others. The BFSI sector accounted for the largest market share in 2023.
4. Geographical Distribution: The market is further divided by country, including the United States, Canada, and Mexico. The United States dominated the market share in 2023.
Key Players in the Market
Several prominent companies are leading the hyperscale data center market in North America, including:
- ABB Ltd
- Dell Technologies Inc
- EdgeConnex Inc.
- Cisco Systems Inc
- International Business Machines Corp (IBM)
- Fujitsu Ltd
- Hewlett Packard Enterprise Development LP
- Intel Corp
- Juniper Networks Inc
- Schneider Electric SE
These companies are at the forefront of providing innovative solutions and services that cater to the growing demands of hyperscale data centers, ensuring they remain competitive in this rapidly evolving market.
Table Of Contents
1. Introduction
- 1.1 Report Guidance
- 1.2 Market Segmentation
2. Executive Summary
- 2.1 Key Insights
- 2.2 Market Attractiveness
3. Research Methodology
- 3.1 Secondary Research
- 3.2 Primary Research
- 3.2.1 Hypothesis formulation:
- 3.2.2 Macroeconomic factor analysis:
- 3.2.3 Developing base number:
- 3.2.4 Data Triangulation:
- 3.2.5 Country-level data:
4. North America Hyperscale Data Center Market Landscape
- 4.1 Overview
- 4.2 Ecosystem Analysis
- 4.3 List of Vendors in the Value Chain
5. North America Hyperscale Data Center Market - Key Market Dynamics
- 5.1 Market Drivers
- 5.1.1 Advent of IoT, Big Data, Machine Learning, and AI
- 5.1.2 Increase in Data Traffic
- 5.2 Market Restraints
- 5.2.1 High Initial and Maintenance Cost
- 5.3 Market Opportunities
- 5.3.1 Increasing Deployment of 5G Services
- 5.3.2 Rising Demand for Cloud Computing
- 5.4 Market Trends
- 5.4.1 Increasing Demand for Sustainable Hyperscale Data Centers
- 5.5 Impact of Drivers and Restraints:
6. Hyperscale Data Center Market - North America Analysis
- 6.1 North America Hyperscale Data Center Market Revenue (US$ Million), 2021-2031
- 6.2 North America Hyperscale Data Center Market Forecast Analysis
7. North America Hyperscale Data Center Market Analysis - by Solutions
- 7.1 Storage
- 7.1.1 Overview
- 7.1.2 Storage: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 7.2 Networking
- 7.2.1 Overview
- 7.2.2 Networking: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 7.3 Server
- 7.3.1 Overview
- 7.3.2 Server: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 7.4 Security
- 7.4.1 Overview
- 7.4.2 Security: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 7.5 Others
- 7.5.1 Overview
- 7.5.2 Others: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
8. North America Hyperscale Data Center Market Analysis - by End User
- 8.1 Colocation Providers
- 8.1.1 Overview
- 8.1.2 Colocation Providers: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 8.2 Enterprises
- 8.2.1 Overview
- 8.2.2 Enterprises: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 8.3 Cloud Providers
- 8.3.1 Overview
- 8.3.2 Cloud Providers: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
9. North America Hyperscale Data Center Market Analysis - by Industry Vertical
- 9.1 BFSI
- 9.1.1 Overview
- 9.1.2 BFSI: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 9.2 Telecom and IT
- 9.2.1 Overview
- 9.2.2 Telecom and IT: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 9.3 Government and Public
- 9.3.1 Overview
- 9.3.2 Government and Public: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 9.4 Media and Entertainment
- 9.4.1 Overview
- 9.4.2 Media and Entertainment: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 9.5 Others
- 9.5.1 Overview
- 9.5.2 Others: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
10. North America Hyperscale Data Center Market - Country Analysis
- 10.1 North America
- 10.1.1 North America Hyperscale Data Center Market Overview
- 10.1.2 North America Hyperscale Data Center Market - Revenue and Forecast Analysis - by Country
- 10.1.2.1 North America Hyperscale Data Center Market - Revenue and Forecast Analysis - by Country
- 10.1.2.2 United States: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 10.1.2.2.1 United States: North America Hyperscale Data Center Market Share - by Solutions
- 10.1.2.2.2 United States: North America Hyperscale Data Center Market Share - by End User
- 10.1.2.2.3 United States: North America Hyperscale Data Center Market Share - by Industry Vertical
- 10.1.2.3 Canada: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 10.1.2.3.1 Canada: North America Hyperscale Data Center Market Share - by Solutions
- 10.1.2.3.2 Canada: North America Hyperscale Data Center Market Share - by End User
- 10.1.2.3.3 Canada: North America Hyperscale Data Center Market Share - by Industry Vertical
- 10.1.2.4 Mexico: North America Hyperscale Data Center Market - Revenue and Forecast, 2021-2031 (US$ Million)
- 10.1.2.4.1 Mexico: North America Hyperscale Data Center Market Share - by Solutions
- 10.1.2.4.2 Mexico: North America Hyperscale Data Center Market Share - by End User
- 10.1.2.4.3 Mexico: North America Hyperscale Data Center Market Share - by Industry Vertical
11. Competitive Landscape
- 11.1 Heat Map Analysis by Key Players
- 11.2 Company Positioning and Concentration
12. Industry Landscape
- 12.1 Overview
- 12.2 Market Initiative
13. Company Profiles
- 13.1 ABB Ltd
- 13.1.1 Key Facts
- 13.1.2 Business Description
- 13.1.3 Products and Services
- 13.1.4 Financial Overview
- 13.1.5 SWOT Analysis
- 13.1.6 Key Developments
- 13.2 Dell Technologies Inc
- 13.2.1 Key Facts
- 13.2.2 Business Description
- 13.2.3 Products and Services
- 13.2.4 Financial Overview
- 13.2.5 SWOT Analysis
- 13.2.6 Key Developments
- 13.3 EdgeConnex Inc.
- 13.3.1 Key Facts
- 13.3.2 Business Description
- 13.3.3 Products and Services
- 13.3.4 Financial Overview
- 13.3.5 SWOT Analysis
- 13.3.6 Key Developments
- 13.4 Cisco Systems Inc
- 13.4.1 Key Facts
- 13.4.2 Business Description
- 13.4.3 Products and Services
- 13.4.4 Financial Overview
- 13.4.5 SWOT Analysis
- 13.4.6 Key Developments
- 13.5 International Business Machines Corp
- 13.5.1 Key Facts
- 13.5.2 Business Description
- 13.5.3 Products and Services
- 13.5.4 Financial Overview
- 13.5.5 SWOT Analysis
- 13.5.6 Key Developments
- 13.6 Fujitsu Ltd
- 13.6.1 Key Facts
- 13.6.2 Business Description
- 13.6.3 Products and Services
- 13.6.4 Financial Overview
- 13.6.5 SWOT Analysis
- 13.6.6 Key Developments
- 13.7 Hewlett Packard Enterprise Development LP
- 13.7.1 Key Facts
- 13.7.2 Business Description
- 13.7.3 Products and Services
- 13.7.4 Financial Overview
- 13.7.5 SWOT Analysis
- 13.7.6 Key Developments
- 13.8 Intel Corp
- 13.8.1 Key Facts
- 13.8.2 Business Description
- 13.8.3 Products and Services
- 13.8.4 Financial Overview
- 13.8.5 SWOT Analysis
- 13.8.6 Key Developments
- 13.9 Juniper Networks Inc
- 13.9.1 Key Facts
- 13.9.2 Business Description
- 13.9.3 Products and Services
- 13.9.4 Financial Overview
- 13.9.5 SWOT Analysis
- 13.9.6 Key Developments
- 13.10 Schneider Electric SE
- 13.10.1 Key Facts
- 13.10.2 Business Description
- 13.10.3 Products and Services
- 13.10.4 Financial Overview
- 13.10.5 SWOT Analysis
- 13.10.6 Key Developments
14. Appendix
- 14.1 About The Insight Partners
- 14.2 Word Index