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“Demand for data center physical infrastructure remains resilient, despite the developing macroeconomic uncertainties,” said Lucas Beran, Principal Analyst at Dell’Oro Group. “Most importantly, data center sustainability has risen to the top of decision making criteria in the industry, opening the door for significant technology transitions during this forecast period. The most exciting is the acceleration of data center liquid cooling, as both direct liquid cooling (DLC) and immersion cooling (single-phase and two-phase) are forecast to grow significantly and surpass $1 billion in market revenue by 2026,” added Beran.
Additional highlights from the Data Center Physical Infrastructure 5-Year July 2022 Report:
DCPI revenue growth is forecast to slow to 6 percent in 2023, driven by continued cloud and colocation service provider growth and marginal enterprise growth.
China is forecast to grow at the fastest CAGR during the forecast period, followed by APAC (Excluding China) and EMEA.
Data Center Thermal Management is forecast to grow the fastest rate of any market segment during the forecast period, surpassing $6 B in vendor revenues in 2026.
The Service Providers (Top 10 Cloud, Rest-of-Cloud, Colocation, and Telco) customer segment is forecast to grow at a double-digit CAGR during the forecast period, while the Enterprise customer segment (Large Enterprise, Rest-of-Enterprise) is forecast to grow at a much lower rate.
