DataCenterNews Asia Pacific logo
Specialist data center news for Asia Pacific
Story image

The data space will grow - despite a decline in data center numbers

FYI, this story is more than a year old

The number of data centers have been continuously increasing since 2009, but this is all about to change.

Experts predict that after peaking at roughly 8.6 million data centers in 2017, the number of data centers will begin to decline.The driving factor in this decline is the migration from smaller, in-house IT centers to data centers operated by larger service providers.

Although the number of data centers will decrease, the data center space itself will not, because data center capacity will continue to grow.

Due to the shift to larger service providers, the role of the corporate data center will change as well. In the past, corporate data centers solely supported operations.

Today, they have a variety of functions, including: testing new business models; developing and improving new products and retaining lasting relationships with customers.

Because a data center must now be able to support a variety of functions, its infrastructure must have the ability to continuously change.

This is much harder to accomplish for smaller data centers, which is why you will see these smaller data centers disappear in the coming years.

Today's data centers need to be flexible, dependable and easily scalable.

The shift to larger data centers provides organizations with the infrastructure needed to adapt to a variety of different needs. It is predicted that over the course of the next five years, most organizations will stop managing their own data centers.

This will result in the steady decline of in-house data centers, and lead to a higher demand for larger service providers. According to International Data Corporation (IDC), by 2018, ‘mega data centers' will account for 72.6 percent of all service provider data center construction projects.

Virtualization is also eradicating the need for smaller data centers. With the increase in virtualization, investments in better power and energy efficiency are a top priority for data centers.

Cloud data centers are currently in high demand. While cloud data centers are not necessarily the less expensive option, they provide speed, flexibility and efficiency.

New technologies are pushing more organizations to operate using the cloud to improve overall operational efficiency.

Organizations are getting more creative in how they attempt to design a more energy efficient data center, compared to the traditional brick-and-mortar data centers.

From the design of the server racks and power distribution to the placement and quantity of CRAC units, data center designers and manufacturers are exploring new and innovative ways to be energy efficient. The other piece of the efficiency factor would be the availability of the Internet.

The areas of the country that have the larger internet types are becoming attractive to organizations, because more and more data is being pushed through the cloud.

Keeping the latency at an acceptable time requires thicker internet pipes. Furthermore, if you have a bunch of small things like transactions, social networking or things of that nature, those are just single point and clicks and can fly over small internet pipes, whereas cloud services require a database to send a large packet through the Internet.

The latter requires an increased level of connectivity and larger internet pipes, which is another driving factor in the shift to larger service providers/data centers.

The need for flexible, dependable and faster technology has created the shift from smaller to larger data centers.

While the initial number of data centers is decreasing, virtualization and the cloud are becoming the new standard among data centers to extend value and scale.

With numerous changes and trends currently impacting data centers, the future of the industry will continue to expand, but will most likely fall to a few key players.

Related stories
Top stories
Story image
Cloud infrastructure
HashiCorp's cloud provisioning tool Terraform gets upgraded
Major improvements to HashiCorp Terraform software will help users to consistently provision and manage any cloud, infrastructure and service.
Story image
Digital Transformation
Equinix invests in Indonesia with a $74m data centre
The centre will be strategically located near the largest internet exchanges to meet the country’s growing digital needs.
Story image
Cloud
Microsoft and Auckland Transport announce Azure Cloud agreement
Microsoft and Auckland Transport (AT) have announced an agreement that looks to boost agility and innovation while also reducing costs and improving sustainability in transport services.
Story image
Cloud infrastructure
Who is HashiCorp, and why your cloud journey will be impacted
We investigate the fast-growing San Francisco vendor that is transforming how enterprises approach cloud infrastructure.
Story image
5G
Mavenir integrates cloud-native 5G offerings with Google Cloud infrastructure
Mavenir has integrated its cloud-native 5G products with public cloud infrastructure on Google Cloud, expanding the company’s ‘One Network, Any Cloud All Software’ strategy.
Story image
Data analytics
COVID-19 relief innovation takes 2022 SAS Hackathon crown
In COVID-19’s wake, more than 287,000 MSMEs joined JakPreneur, a collaborative government platform that links entrepreneurs and stakeholders
Story image
Data Centre Cooling
The world is heating up, but data centres should keep their cool
With the world heating up, the challenge of keeping data centres cool becomes more complex, expensive and power intensive.
Story image
Sustainable IT
Equinix partners NUS to use hydrogen tech in data centres
The partners will develop hydrogen fuel technologies for green data centres in tropical climates, and for use in Equinix’s global network.
Story image
Digital Transformation
Nanyang Technological University Singapore builds digital brand presence
Leveraging the customisation features of Sitefinity DX, non-technical users could upload content and create design pages and boost work productivity. 
Story image
Artificial Intelligence
ASUS Servers announce AI developments at NVIDIA GTC
The Taiwanese multinational now offers NVIDIA-certified servers with H100 Tensor Core GPU and AI enterprise software suite.
Story image
Data analytics
Srisawan Hospital to enhance patient experience with InterSystems TrakCare
The new Srisawan Hospital in Bangkok has chosen InterSystems TrakCare to help create enhanced patient experiences and promote further digital engagement.
Story image
Storage
Seagate announces next gen advanced storage arrays
The new Exos X systems feature up to twice the performance of the previous generation and enhanced enterprise-class durability, the company states.
Story image
Multi-cloud
VMware advances multi-cloud management with VMware Aria
Managing apps and infrastructure in a multi-cloud, especially public cloud, and multi-technology environment is complex.
Story image
Update
InterSystems releases updates to its IRIS data platform
Provider of next-generation solutions InterSystems has announced a series of new releases to its award-winning InterSystems IRIS data platform.
Story image
Data Protection
iseek secures Queensland Government data centre contract
iseek secures the Queensland Government's core network data centre as-a-service contract after a competitive procurement process undertaken by the CITEC.
Story image
Sustainable IT
New report calls for tighter guidelines on data centre sustainability
A new Cushman & Wakefield report is calling for water consumption and carbon emissions to be measured in addition to power usage.
Story image
Edge Computing
NTT launches Edge-as-a-Service to accelerate automation
"Minimum latency, maximum processing power, and global coverage are exactly what enterprises need to accelerate their digital transformation journeys.”
Story image
Data Centre Maintenance / Management
Schneider Electric backs new Leading Edge data centre in Australia
As a result of the new project, regional Australian businesses and communities will likely have greater access to distributed cloud networks.
Story image
Software-as-a-Service
Honeywell launches Data Center Suite for business outcomes
Honeywell has launched its Data Center Suite, a portfolio of outcome-based software offerings to help data centre managers and owners.
Story image
Network Management
Data is growing at breakneck speed, but are we optimising its value?
Data lies at the heart of digital transformation, as every digital touchpoint translates to a data point. In this digital-first world, data is being created everywhere today – at breakneck speeds.
Story image
Software Defined Wide Area Network
Axiata, Versa Networks partner for enterprise SASE in Asia
Axiata has partnered with Versa Networks to deliver Secure Access Service Edge (SASE) technology to rapidly digitalising Asian enterprises.
Story image
Digital Transformation
NTT launches its Cyberjaya 6 data center in Malaysia
NTT expands its hyperscaler footprint in Malaysia with its sixth data center facility, supporting the growing digital economy.
Story image
Digital Transformation
NEXTDC opens $1b+ next gen sovereign data centre in Sydney
Australian data centre as a service provider has officially opened S3, its largest Sydney development to date. 
Story image
Software-as-a-Service
Cloudera launches all-in-one data lakehouse cloud service
CDP One makes it faster, easier and less risky for businesses to move to the cloud and migrate existing workloads to a modern data architecture.
Story image
Superloop
Stellar financial result after major strategic moves by Superloop
We get a glimpse under the hood at the financial results from 2022 for the connectivity giant Superloop.
Story image
Machine learning
Oracle announces MySQL HeatWave for Amazon Web Services
MySQL HeatWave is a service that combines OLTP, analytics, machine learning, and machine learning-based automation. 
Story image
Melbourne
Equinix invests $23m to expand ME2 data centre in Melbourne
Equinix has completed the second phase expansion of its ME2 International Business Exchange data centre, located in Port Melbourne.
Story image
IT Automation
Juniper Networks announces expansion of Apstra Software with Apstra Freeform
The newly announced Apstra Freeform technology will give customers the ability to manage and automate operations for data centers regardless of the architecture.
Story image
Data Protection
Cloudflare brings Data Localisation Suite to more APAC businesses
This allows any business in these countries to service their data locally while benefiting from the speed, security, and scalability of Cloudflare’s global network.
Aws Marketplace
Learn how to implement a backup and recovery plan for a new generation of Kubernetes-based modern applications
Link image
Story image
Network Infrastructure
Vertiv launches solutions to better manage edge computing
Vertiv has introduced new power and cooling solutions for the edge of the network, including the addition of lithium-ion models to a leading on-line UPS family.
Story image
5G
Worldwide 5G mobile data traffic exploding - report
"With 5G, there is a wider range of deployment scenarios, forcing vendors to provide comprehensive solutions to support every need."
Story image
Gartner
SnapLogic named Visionary in two Magic Quadrant categories
SnapLogic has announced that it is the only iPaaS (Integrated Platform as a Service) vendor to be named a Visionary in two Magic Quadrant categories.
Story image
Cloud
SoftIron announces its newest flagship offering, HyperCloud
SoftIron has announced HyperCloud, the world's first full turnkey, completely integrated and supported Intelligent Cloud Fabric and the company's newest flagship offering.
Story image
Microsoft
VMware extends collaboration with Microsoft for enterprise workloads in Azure
Mutual customers will have the choice to purchase Azure VMware Solution through the VMware Cloud Universal program.
Story image
IT infrastructure
Bentley Systems announces finalists for the 2022 Going Digital Awards in Infrastructure
The company says that this annual awards program honours the work of Bentley software users who are advancing infrastructure design, construction, and operations throughout the world.
Story image
Hyperscale
Growth in hyperscale data centres to increase shortage of IT workers
New Zealand's tech worker capacity is set to come under increasing pressure as the number of hyperscale data centres grows.
Story image
Data center
Australia’s data centre pioneer still leading after 22 years
We look at the fascinating success of Macquarie data centre's over its 22 year life span and how they continue to innovate in a highly contested sector.
Story image
Optical Networking
NEC predicts AON as a next-generation infrastructure
NEC's open optical transmission devices support multi-vendor configurations, allowing customers to procure and combine equipment from multiple vendors.
Story image
No-code
Eradicating ‘App Fatigue’ and retention problems through implementing no-code ITSM
Almost always, simplicity is best. Intuitive designs and practical workflows are the keys to preventing fatigue.
Story image
Startup
Zetaris is changing the way we think about data virtualisation
Zetaris was launched on the Microsoft Marketplace and Ingram Micro Cloud Marketplace in Australia in 2020 and has since expanded into nine global markets.
AWS Marketplace
Whitepaper: A practical guide for mitigating risk in today’s modern applications
Link image