London/Frankfurt – 18 October 2011 – A new report from BroadGroup indicates that sustained growth in the third party data centre sector will occur over the next four years, and take 21% of all data centre space by 2015.
The report, Data Centres Germany, (http://www.broad-group.com/report-shop) published today, is the most comprehensive study of one of the largest European markets. Regional characteristics of the market are evaluated and details of focus, players and future outlook are discussed for Berlin, Düsseldorf, Frankfurt, Hamburg, Munich, Nürnberg, Stuttgart and other locations. Frankfurt has established itself as the major data centre hub in Germany and represents some 70% of current third party demand. Each city market has unique characteristics which drives response to customer demands in different ways.
“Despite deep-seated resistance to change amongst some customers, there is an evident ground swell of positive thinking in the German market about the benefits of using hosted services. Companies of all sizes are showing an increased willingness to ‘out-task’ business applications and use of third party co-location data centre services,” commented Marion Howard-Healy, the report author.
“Germany has started to close the 5 year+ gap that exists at a national level between customers’ approach to outsourcing in Germany and in other major European data centre markets such as the UK, France or the Netherlands”.
The study analyses the complex country market structure which has a strong regional nature of commercial enterprises and operates on a number of levels where different dynamics are at work. Whilst Frankfurt remains the major co-location hub for international connectivity, local demand in other cities across Germany is building momentum as users develop BC/DR strategies and as new Internet-centric companies enter the market.
“The third party data centre market in Germany will be of increasing interest to international, national and local players alike,” states Howard-Healy.
The report includes a significant level of original material including the results of a user survey and describes in detail the key issues dominating the data centre market including power, its availability and pricing, connectivity and reliability all key factors in customer out-tasking decisions. The 8 key cities for data centres are assessed and a taxonomy of third party data centres present in each market is provided with a supporting analysis for each city.
Profiles of key players in the market together with an analysis of provider categories including Co-location, ISPs, Telcos, Systems Integrators, Managed Services and new entrants, and services offered collectively provides a depth understanding of the German market and customer dynamics.
The report is essential reading for anyone involved, or planning to engage, in the German data centre sector from operators to telcos to vendors, investors, government agencies and professional service providers.