Mature US Colocation Market Led by Equinix and CenturyLink-Savvis
RENO, NV, December 31, 2013
New data from Synergy Research Group shows that Q3 retail colocation revenues in the United States grew 8% from Q3 2012 to reach $1.6 billion. The clear market leader is Equinix whose revenue growth beat the overall market, widening the gap between it and its nearest competitors. CenturyLink-Savvis is ranked number two, followed by a tight grouping of SunGard, AT&T and Verizon. Together with Telx and CyrusOne, these seven operators account for virtually half of the US market.
Unlike most other countries, the scale of the wholesale colocation market in the United States is very significant relative to the retail market, with Q3 wholesale revenues reaching almost $700 million. Digital Realty Trust is the wholesale market leader, followed at a distance by DuPont Fabros.
“The US colocation market is the most mature and well-developed in the world, with revenue levels more than four times the size of its nearest rivals, the United Kingdom and Japan” said John Dinsdale, a Chief Analyst and Research Director at Synergy Research Group. “Looking ahead, the adoption of cloud infrastructure services will act as a damper on some aspects of the colocation market, while stimulating others. We forecast that US colocation revenues will grow by a CAGR of 7% over the next five years.”
About Synergy Research Group
Synergy Research Group, now part of TechInsights, delivers quarterly analyses of global IT and Cloud markets, offering detailed breakouts of vendor revenues and shipments by segment and region. Market shares and forecasts are provided through Synergy Interactive Analysis (SIA™) — the industry's only fully proprietary SaaS platform purpose-built for market share and forecasting analytics.
For more than 25 years, Synergy has been a trusted source of quantitative research and market intelligence across emerging communications and technology sectors. By combining syndicated research with specialized consulting, we deliver actionable intelligence to marketing and strategy executives worldwide.
A trusted source of accurate market data, Synergy is cited by industry leaders as well as leading financial, business, and trade publications such as The Economist, The New York Times, The Wall Street Journal, United States Federal Reserve Board, NPR, Forbes, Bloomberg, Financial Times, Bank of England, Fortune, and The Guardian.
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