Market Trends of Austria Data Center Storage Industry
IT & Telecommunication Segment Holds the Major Share
- The IT industry is one of the most rapidly expanding markets in the technology sector due to its ongoing development and the emergence of new trends each year. Many firms have recognized the necessity for digital adoption in their commercial activities, which the COVID-19 pandemic accelerated. More businesses are likely to use external support to adopt new technology solutions in a quick, contemporary, and creative way. For instance, in October 2022, Google announced its set up of cloud services in Austria with a data center. In June 2022, Microsoft announced spending EUR 1 billion (USD 1.07 billion) on the construction of its cloud infrastructure.
- Further, Telcom users in Austria see a better 5G experience in urban areas, with an average download speed of 162.3 Mbps. The abovementioned instances suggest the rising use of smartphones in Austria, which results in a constant increase in data. This necessitates a growing amount of storage space to accommodate the uncontrollable flow of data and the need for real-time processing and analysis. Data centers must manage the sheer amount of data. Thus, the requirement for extra servers in data centers in Austria may increase as the number of smartphone users rises.
- In 2022, the nation's average data speed was expected to be 63.05 Mbps. 3 (Drei) Austria began rolling out its 4G LTE network in 2014, and 4G availability reached 74.3% with a 27.84 Mbps download speed by 2017. Furthermore, by the end of 2020, 5G was launched in all provincial capitals. Since the launch of both of the services, 4G reached 89.6 Mbps in 2022, and 5G reached 162.4 Mbps by 2022.
- The “5G strategy for Austria” document was approved in April 2018, and the service is expected to reach main traffic roads by the end of 2023, followed by nationwide coverage for two years.
- More than 650,000 buildings are expected to have high-speed FTTH ("Fibre to the Home") internet connections owing to the EUR 1 billion (USD 1.07 billion) investment. Such developments are expected to increase the adoption of data storage solutions and positively impact market growth.
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Hybrid Storage is Expected to Hold a Significant Market Share
- The combination of on-premises and cloud storage solutions is called hybrid storage in data centers. This approach leverages the strengths of both environments, offering the flexibility to store and manage data on-site and in the cloud.
- Austria has a diverse economy with a mix of sectors such as manufacturing, services, and technology. Hybrid storage enables enterprises to define their data storage solutions to meet specific industry requirements and provide flexibility and adaptability.
- The importance of business continuity and disaster recovery has been highlighted in Austria, which is subject to certain environmental risks. Hybrid storage facilitates redundancy, increasing resilience and minimizing the impact of possible disruption by storing data both on-premises and in the cloud.
- A high level of emphasis on data protection and compliance with rules such as the General Data Protection Regulation has been placed by Austria, which is similar to other countries in Europe. Hybrid storage allows organizations to store sensitive data on the premises while ensuring compliance and leveraging cloud resources for less critical data.
- Increasing focus on digitalization, Internet penetration (reached 94.2% by the start of 2023, with a growth rate of 0.2% between 2022 and 2023), and e-commerce sales across the country create more need for storage facilities, resulting in huge demand for data centers and, consequently, the need for more ethernet switches within data centers.
- The key players in the market focus on improving the data center storage solutions to meet the market demand. In July 2023, Hitachi Vantara, a prominent infrastructure, data management, and digital solutions subsidiary of Hitachi, Ltd., announced its collaboration with Microsoft to launch the Hitachi Unified Compute Platform (UCP) for Azure Stack HCI. The powerful and streamlined hybrid cloud solution increases business flexibility and delivers enhanced cloud management across various environments, including data centers, branch offices, and edge computing, to give businesses greater visibility and control over how their data is stored, managed, and used.
