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STAMFORD, Conn., October 13, 2011 View All Press Releases

Gartner Says Worldwide Data Center Hardware Spending on Pace to Reach $99 Billion in 2011

Data Center Outlook to Be Examined at Gartner Data Center & Operations Summit, November 28-29 in London, and at the Gartner Data Center Conference, December 5-8 in Las Vegas

   

             Worldwide data center hardware spending is projected to reach $98.9 billion in 2011, up 12.7 percent from 2010 spending of $87.8 billion, according to Gartner, Inc. Data center hardware spending is forecast to total $106.4 billion in 2012, and surpass $126.2 billion in 2015.

Data center hardware spending includes servers, storage and enterprise data center networking equipment.

"Worldwide data center hardware spending will finally reach and surpass 2008 levels," said Jon Hardcastle, research director at Gartner. "Growth in emerging regions — particularly Brazil, Russia, India and China (the BRIC countries) — is balanced by continued weakness relative to pre-downturn levels in Japan and Western Europe. Storage is the main driver for growth. Although only a quarter of data center hardware spending is on storage, almost half of the growth in spending will be from the storage market."

The very largest size category of data centers (which is data centers with more than 500 racks of equipment) will increase its share of spending from 20 percent in 2010 to 26 percent in 2015, driven by the cloud and the shift from internal data center provision to external.

In 2010, 2 percent of data centers contained 52 percent of total data center floorspace and accounted for 63 percent of data center hardware spending. In 2015, 2 percent of data centers will contain 60 percent of data center floorspace and account for 71 percent of data center hardware spending.

"Traditional in-house enterprise data centers are under attack from three sides. Firstly, virtualization technologies are helping companies to utilize their infrastructure more effectively, inhibiting overall system growth. Secondly, data centers are getting more efficient, leading to higher system deployment densities and inhibiting demand for floor space. Thirdly, the move to consolidated third-party data centers is reducing the overall number of midsize data centers. Meanwhile, the largest data center class is, of course, benefitting from the rise of cloud computing," Mr. Hardcastle said.

Additional information is available in the Gartner report "Forecast: Data Centers, Worldwide, 2010-2015" at http://www.gartner.com/resId=1818517.

Additional insight into the outlook for the data center industry will be presented at the Gartner Data Center & IT Operations Summit, November 28-29 in London. the 30th Annual Gartner Data Center Conference, December 5-8 in Las Vegas. These events deliver a wealth of strategic guidance and tactical recommendations on the hottest issues, including next-stage virtualization, the impact of cloud computing, mobility, servers, storage, facilities, business continuity and disaster recovery.

Members of the media wishing to register for the Gartner Data Center & IT Operations Summit in London can register by contacting Laurence Goasduff, Gartner PR at laurence.goasduff@gartner.com. For further information on the Summit, please visit http://www.gartner.com/technology/summits/emea/data-center/index.jsp.

More information on the Data Center Conference in Las Vegas is available at www.gartner.com/us/datacenter. Members of the media can register for the event by contacting Christy Pettey at christy.pettey@gartner.com.

Additional information from the events will be shared on Twitter at http://twitter.com/Gartner_inc and using #GartnerDC.

 

 

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