$20.3bn
$X.Xbn
44,265
523
$X.Xbn
Colocation centers have become pivotal nodes in the digital infrastructure ecosystem, offering robust platforms for businesses seeking reliable and scalable IT solutions. Colocation facilities provide businesses with physical space, power, cooling and security for their server hardware. These centers primarily attract businesses ranging from technology startups to large corporations, enabling them to leverage high-speed internet connections and advanced data center technologies without incurring the capital expenditures and operating complexities associated with in-house data centers.
Industry revenue has grown at a CAGR of 7.4 % over the past five years, to reach an estimated $20.3bn in 2024.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
---|---|---|---|---|
Equinix, Inc. | 2,791.4 | 250.9 | 9.0 |
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Industry revenue is measured across several distinct product and services lines, including Single server/partial rack space, Racks and cages and Suites (wholesale). Single server/partial rack space is the largest segment of the Colocation Facilities in the US.
The cloud obscures single-server colocation purchases
Operators own and operate data centers that primarily lease equipment space to customers. Companies in the industry also offer auxiliary services including power management, security and network neutrality. Customers generally use industry services as off-site data storage to back up their data or to enable them to focus on other parts of their business without paying for these operations.
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NAICS 51821 - Colocation Facilities in the US
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Colocation centers offer a critical middle ground, settled between the abstraction of cloud providers and the financial inefficiency of in-house data centers. Operators provi...
Learn about an industry's products and services, markets and trends in international trade.
Colocation centers offer an enormous variety of rack space, but larger clients are taking greater advantage. Frequently, a colocation building will house the servers of only ...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Colocation center operators choose to locate just outside of urban areas, gaining both space availability and proximity to potential business clients. A location is far more ...
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Most colocation centers target clients of similar sizes, with only the largest going for multinational technology companies as clients. Most colocation operators service loca...
Learn about the performance of the top companies in the industry.
Major companies are vying for international colocation center space, scooping up deals with major clients across the globe. Getting prime space outside a major international ...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Green energy investments are at the front of colocation operators’ minds as states and countries implement regulations for datacenter energy use. However, the large, flat roo...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Utilities and infrastructure are major costs for colocation centers, especially those which focus extensively on reliability. Some locations might have renewable, grid and fu...
Including values and annual change:
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Key data sources in the US include:
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These sources include:
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The market size of the Colocation Facilities in the US industry in United States is $20.3bn in 2024.
There are 523 businesses in the Colocation Facilities in the US industry in United States, which has grown at a CAGR of 7.5 % between 2019 and 2024.
The market size of the Colocation Facilities in the US industry in United States has been growing at a CAGR of 7.4 % between 2019 and 2024.
Over the next five years, the Colocation Facilities in the US industry in United States is expected to grow.
The biggest company operating in the Colocation Facilities market in United States is Equinix, Inc.
Providing single server space and Providing a server rack are part of the Colocation Facilities in the US industry.
The company holding the most market share in United States is Equinix, Inc..
The level of competition is high and increasing in the Colocation Facilities in the US industry in United States.