Data Center - Brazil

Brazil

Revenue in the Data Center market is projected to reach €4.93bn in 2024.
Network Infrastructure dominates the market with a projected market volume of €3.28bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 6.04%, resulting in a market volume of €6.61bn by 2029.
In global comparison, most revenue will be generated in the United States (€114.20bn in 2024).

Key regions: United States, Germany, India, Japan, China

Definition:

The Data Center market is a critical segment of the technology industry focusing on supplying and managing physical infrastructure necessary for hosting and operating IT systems, primarily servers, storage, and network equipment. This market spans from traditional in-house data centers to sophisticated facilities offered by specialized providers, covering services like hosting, shared data center facilities, and managed data center solutions. It targets a diverse client base, ranging from small businesses to large enterprises, offering flexible, scalable solutions for their IT infrastructure needs. This sector is integral to the efficient functioning and security of IT operations in various organizations.

Structure:

The Data Center market is structured in three markets based on the services model provided by the companies.

The Server market covers the resources and services related to servers, integral for hosting websites, managing databases, and supporting cloud computing.
The Storage market covers the resources and services related to data storage systems, crucial for archiving, data backup, and ensuring data recovery.
The Network Infrastructure market covers the resources and services related to network hardware essential for ensuring connectivity, data transmission, and network security.

Additional Information:

The Data Center market includes revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Market values represent revenues paid to primary vendors at the manufacturer price level either directly or through distribution channels (excluding VAT). Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the Data Center market include companies such as Dell, HPE, Huawei, and Ericsson.

For more information on the data displayed, use the info button right next to the boxes.

Marché

Région

Comparaison de régions

Monnaie

Analyst Opinion

The Data Center market in Brazil has been experiencing significant growth and development in recent years.

Customer preferences: Customers in Brazil are increasingly looking for data center solutions that offer high performance, reliability, and security. With the growing demand for cloud services and digital transformation initiatives, there is a strong preference for data centers that can support these requirements effectively.

Trends in the market: One of the key trends in the Data Center market in Brazil is the increasing adoption of colocation services. Companies are opting to colocate their IT infrastructure in third-party data centers to reduce costs and improve scalability. Additionally, there is a rising trend towards green data centers in Brazil, with a focus on energy efficiency and sustainability practices.

Local special circumstances: Brazil presents some unique challenges and opportunities in the Data Center market. The country's large geographical size and diverse climate conditions require data center providers to implement robust cooling and energy management systems. Moreover, the regulatory environment in Brazil can impact data center operations, leading to a need for compliance with local data protection laws.

Underlying macroeconomic factors: The development of the Data Center market in Brazil is also influenced by macroeconomic factors such as GDP growth, investment climate, and technological advancements. As the Brazilian economy continues to recover and businesses invest in digital infrastructure, the demand for data center services is expected to grow. Additionally, advancements in technology such as 5G deployment and IoT applications are driving the need for data center expansion and modernization in Brazil.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.