Worldwide Colocation Revenues to hit $30B by 2017

RENO, NV, October 1, 2013

New data from Synergy Research Group shows that total colocation revenues grew 9% year on year to reach $5.2 billion in Q2 and are on track to hit $30 billion by 2017. Retail colocation accounted for 78% of Q2 revenues, though the smaller wholesale segment continues to grow more strongly. North America accounts for 44% of worldwide revenues, thanks in part to its well-developed wholesale sector. Revenue will continue to grow strongly in all regions, demonstrating the underlying strength in the market. colo primer Equinix is the clear market leader in the retail colocation segment while Digital Realty Trust is the clear leader in the wholesale segment. While there is an extremely long tail of small local operators in the market, the top 50 operators account for 64% of all colocation revenues. 17 of the top 20 colocation operators have a multi-country colocation facility footprint, demonstrating the increasingly global nature of the market. The top five countries by colocation revenue are the US, UK, Japan, Germany and China. 

To launch its expanded coverage of the colocation market, Synergy Research Group has just released a market primer on colocation services. The primer is free to service providers, IT vendors, and telecom vendors at www.srgresearch.com. The primer features high-level data taken from Synergy’s Colocation Market Tracker service which provides revenue and subscriber data for the retail and wholesale collocation markets. For all other questions, please contact Synergy at primer@srgresearch.comor at (775) 852-3330 extension 101.

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.

The Economist The New York Times The Wall Street Journal United States Federal Reserve Board npr Forbes Bloomberg The Financial Times The Bank of England Fortune The Guardian

About TechInsights

Regarded as the most trusted source of actionable, in-depth intelligence related to semiconductor innovation and surrounding markets, TechInsights’ content informs decision makers and professionals whose success depends on accurate knowledge of the semiconductor industry—past, present, or future.

Over 650 companies and 100,000 users access the TechInsights Platform, the world’s largest vertically integrated collection of unmatched reverse engineering, teardown, and market analysis in the semiconductor industry. This collection includes detailed circuit analysis, imagery, semiconductor process flows, device teardowns, illustrations, costing and pricing information, forecasts, market analysis, and expert commentary. TechInsights’ customers include the most successful technology companies who rely on TechInsights’ analysis to make informed business, design, and product decisions faster and with greater confidence. For more information, visit www.techinsights.com.

Subscriptions: sales@srgresearch.com

Press inquiries: heather.gallo@techinsights.com