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Mumbai, India, November 5, 2015 View All Press Releases

Gartner Says Data Center Infrastructure Market in India to Reach $2 Billion in 2016

Key Issues Faced By Infrastructure and Operations Leaders Will Be Addressed At Gartner Symposium/ITxpo 2015, November 2-5 in Goa, India

The Indian data center infrastructure market will total $2 billion in 2016, a 5.2 percent increase from 2015, according to Gartner, Inc. Analysts are providing the latest trends shaping the future of the data center market, and the impact of emerging technologies on organizations' mission critical priorities, at Gartner Symposium/ITxpo, taking place here through November 5.  

“Within the Indian IT infrastructure market, server revenue is forecast to reach $698 million in 2016, n increase of 5.3 percent over 2015. Enterprise networking will continue to be the biggest segment with revenue expected to touch $963 million in 2016,“ said Aman Munglani, research director at Gartner. “This segment will also be the fastest growing market, as spending is forecast to increase 5.9 percent in 2016. With increased focus on mobility and big data activities in India, software defined networking has the highest adoption rate amongst Indian enterprises.”

The storage market is projected to reach $307 million in 2016, a 3 percent increase from 2015 (see Table 1). Storage modernization and consolidation, backup and recovery, and disaster recovery are some of the key drivers to this market, and they are likely to remain relevant drivers over the forecast period through 2019.

The strong push towards cloud based infrastructure as a service (IaaS) from within the SMB segment will negate the increase in storage spend within the enterprise space. While it is the early days, Gartner also expects the emerging hyper converged integrated systems and storage technologies based on software-defined storage to encroach on the traditional ECB storage market.

Table 1: Indian IT Infrastructure Revenue By Technology (Millions of U.S. Dollars)

IT Infrastructure

2015

2016

2017

        2018

        2019

Enterprise Networking

           910

963

1019

1042

1040

Storage

           298

307

317

321

323

Servers

           663

698

732

760

756

Total

      1,871

1,969

      2,068

      2,123

      2,120

Source: Gartner (October 2015)

“Mobile, and the proliferation of data, are having a dramatic impact, and pressure, on the supporting infrastructure and operations (I&O) infrastructure,” said Mr.Munglani. “All this data is having a dramatic impact upstream on servers, storage, networking, facilities and IT operations, not to mention creating new security challenges.”

The other force having an impact is the pressure to deliver business solutions more quickly to market, and I&O’s role in support of that. Gartner analysts said I&O can no longer tell the business to get in line and wait for support. A new business initiative needs to work through the pipeline, often taking 12 months or more. Today, business units who get that kind of response will do an end-around I&O and go shop outside. How I&O changes its approach, changes its culture, and changes the mindset will be critical to I&O leaders in the near future.

“In 2016, data center modernization will continue to be a key driver for infrastructure spend in India. Automation and orchestration are becoming high priorities for Indian leaders as well. Software defined infrastructures, and an increased focus on disaster recovery and business continuity, will also lead to an increased spend on infrastructure, “said Mr. Munglani.

Key industry trends will be a main focus at Gartner Symposium/ITxpo 2015, November 2-5 in Goa, India.Members of the media can register for the event by contacting Sony Shetty at sony.shetty@gartner.com.  

About Gartner Symposium/ITxpo

Gartner Symposium/ITxpo is the world's most important gathering of CIOs and other senior IT executives. This event delivers independent and objective content with the authority of the world's leading IT research and advisory organization, and provides access to the latest solutions from key technology providers. Gartner's annual Symposium/ITxpo events are key components of attendees' annual planning efforts. IT executives rely on these events to gain insight into how their organizations can use IT to overcome business challenges and improve operational efficiency.

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

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About Gartner

Gartner, Inc. (NYSE: IT) is the world's leading information technology research and advisory company. Gartner delivers the technology-related insight necessary for its clients to make the right decisions, every day. From CIOs and senior information technology (IT) leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to supply chain professionals, digital marketing professionals and technology investors, Gartner is the valuable partner to clients in more than 11,000 distinct enterprises. Gartner works with clients to research, analyze and interpret the business of IT within the context of their individual roles. Gartner is headquartered in Stamford, Connecticut, U.S.A., and has almost 9,000 associates, including 1,900 research analysts and consultants, operating in more than 90 countries. For more information, visit www.gartner.com.

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