Data Center Rack Market Predicted to Grow $5.9 Billion by 2025

Data Center rack Market expected to grow from USD 3.8 billion in 2020 to USD 5.9 billion by 2025, at a Compound Annual Growth Rate (CAGR) of 9.4%.


Northbrook, IL -- (SBWIRE) -- 10/28/2021 -- According to a new market research report "Data Center Rack Market by Component (Solutions and Services), Rack Type (Open Frame and Cabinets), Rack Height, Rack Width, Data Center Size (Small and Mid-sized Data Centers and Large Data Centers), Vertical, and Region - Global Forecast to 2025" published by MarketsandMarkets™, the data center rack market expected to grow from USD 3.8 billion in 2020 to USD 5.9 billion by 2025, at a Compound Annual Growth Rate (CAGR) of 9.4% during the forecast period. Factors driving the growth of the data center rack market include the increasing deployments in data center colocation facilities and increasing server density.

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Based on component, the solutions segment to hold a larger market size during the forecast period

As more organizations are building their own data centers to meet precise performance and cost objectives, the need for flexible racks and cabinets to accommodate this equipment will continue to increase. The current IT infrastructure is unable to cater to the rising data demands of end users. There is a dire need for flexible and efficient infrastructure to support modern data center performance demands. Data center racks and enclosures enable managers to store, cool, power, manage, and secure critical IT equipment.

Based on rack type, the cabinets segment to hold a larger market size during the forecast period

Rack cabinets offer security, better cooling flexibility, and data center equipment protection from harsh environments and conditions. They focus on cooling, power distribution, cable management, and environmental monitoring, thereby providing a reliable rack-mounting environment for mission-critical equipment to function effectively. Rack cabinets are expensive and are generally preferred by organizations that require added security.

Based on rack width, the 19 inch segment to hold the largest market size during the forecast period

19 inch racks enable optimal airflow and cable management that can easily support future data center changes. These racks are mostly used for housing servers in data center facilities. 19 inch racks are the most commonly used for housing data center equipment. 19 inch racks offer the required flexibility and can be easily integrated into individual rack zones.

Based on region, North America to account for the largest market size during the forecast period

North America is expected to contribute to the market, in terms of revenue during the forecast period, by the virtue of being a technologically advanced region, having high number of early adopters, and the presence of major market players. Moreover, this region has the largest cloud services, which is expected to cause an increase in investments related to the technological development of the existing infrastructure, contributing to the growth in the number of data center facilities. The region is also experiencing a high demand for data center rack solutions specifically designed for colocation facilities owing to the presence of large number of colocation facilities in this region.

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The data center rack market comprises major providers, such as Eaton (Ireland), Rittal (Germany), HPE (US), IBM (US), Cisco (US), Fujitsu (Japan), Dell (US), Schneider Electric (France), Vertiv (US), AGC Networks (India), Legrand (France), Oracle (US), Belden (US), nVent (UK), Panduit (US), Great Lakes Data Racks & Cabinets(US), Tripp Lite (US), IMS Engineered Products (US), Rahi Systems (US), and Chatsworth Products (US). The study includes the in-depth competitive analysis of these key players in the data center rack market with their company profiles, recent developments, and key market strategies.

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