Market Size of China Data Center Rack Industry
Study Period | 2024 - 2030 |
Base Year For Estimation | 2023 |
Market Volume (2024) | 4.25 Million megawatt |
Market Volume (2030) | 6.97 Million megawatt |
CAGR (2024 - 2030) | 8.60 % |
Market Concentration | High |
Major Players*Disclaimer: Major Players sorted in no particular order |
China Data Center Rack Market Analysis
The China Data Center Rack Market size is estimated at 4.25 Million megawatt in 2024, and is expected to reach 6.97 Million megawatt by 2030, growing at a CAGR of 8.60% during the forecast period (2024-2030).
- The upcoming IT load capacity in the country is projected to cross 3,300 MW by 2029, boosting the demand for data center racks.
- The construction of raised floor area for data centers in the country is expected to reach 11.9 million sq. ft by 2029 for under construction raised floor space.
- The country's total number of racks to be installed is expected to touch 600,000 units by 2029.
- Currently, four submarine cable projects are under construction in the country. One such submarine cable, estimated to start service in 2023, is Asia Direct Cable (ADC), stretching over 19000 kilometers with landing points Chongming, Lantau Island, and Shantou for planned submarine cables.
China Data Center Rack Industry Segmentation
A data center rack is a physical enclosure made up of usually steel housing electronic framework. It is designed to house servers, networking and communication devices, cables, and other data center computing peripherals.
The Chinese data center rack market is segmented by rack size (quarter rack, half rack, and full rack) and end-user Industry (BFSI, IT, telecom, government, media, and entertainment). The market sizes and forecasts are provided in terms of megawatt for all the above segments.
By Rack Size | |
Quarter Rack | |
Half Rack | |
Full Rack |
By End User | |
IT & Telecommunication | |
BFSI | |
Government | |
Media & Entertainment | |
Other End Users |
China Data Center Rack Market Size Summary
The Chinese data center rack market is experiencing significant growth, driven by the increasing demand for data storage and processing capabilities. This demand is fueled by the rise in data consumption from streaming services and the adoption of Industry 4.0 standards across various sectors. The market is characterized by a shift towards fully configured data centers, which are essential for managing the vast amounts of data generated daily. The construction of mega data centers, supported by government initiatives like the East to West Computing Capacity Diversion Project, is a key factor in meeting the growing IT load capacity requirements. This project aims to centralize data center operations and optimize resource allocation by developing data center clusters in the western regions of China, where land and electricity costs are more favorable.
The market is fairly consolidated, with major players such as Rittal GMBH & Co.KG, Schneider Electric SE, Legrand SA, Dell Inc., and Hewlett Packard Enterprise leading the way. These companies are innovating to meet the demands of a rapidly evolving digital landscape, as evidenced by recent developments like NetRack's iRack Block and Schneider Electric's partnership with Stratus Technologies. The focus on intelligent infrastructure and edge computing solutions highlights the industry's commitment to enhancing data center efficiency and capacity. As the market continues to expand, the preference for full racks and mega data centers is expected to grow, aligning with the increasing need for robust data management solutions across various industries.
China Data Center Rack Market Size - Table of Contents
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1. Market Dynamics
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Increasing Deployment of Data Center Facilities
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1.2.2 Growing Cloud Computing Adoption Leading to Investment in Hyperscale Data Centers
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1.2.3 BFSI Sector Expected to Hold a Significant Share
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1.3 Market Restraints
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1.3.1 Increasing Utilization of Blade Servers
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1.4 Value Chain / Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Bargaining Power of Buyers/Consumers
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1.5.2 Bargaining Power of Suppliers
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1.5.3 Threat of New Entrants
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Assessment of COVID-19 Impact
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2. MARKET SEGMENTATION
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2.1 By Rack Size
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2.1.1 Quarter Rack
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2.1.2 Half Rack
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2.1.3 Full Rack
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2.2 By End User
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2.2.1 IT & Telecommunication
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2.2.2 BFSI
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2.2.3 Government
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2.2.4 Media & Entertainment
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2.2.5 Other End Users
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China Data Center Rack Market Size FAQs
How big is the China Data Center Rack Market?
The China Data Center Rack Market size is expected to reach 4.25 million megawatt in 2024 and grow at a CAGR of 8.60% to reach 6.97 million megawatt by 2030.
What is the current China Data Center Rack Market size?
In 2024, the China Data Center Rack Market size is expected to reach 4.25 million megawatt.