Market Trends of Mexico Data Center Rack Industry
Cloud segment to hold major share in the market
- About 80% of Mexican businesses use cloud-based services through private or hybrid cloud models. This is due to favorable government initiatives that have lowered entry barriers for domestic cloud providers and reduced investment risks associated with technology obsolescence and change.
- Mexican government agencies are focusing on providing cloud-based e-government services as they go digital. This will drive the internet usage of the population, which in turn will drive the growth of the market. It is widely seen as the next-generation computing revolution in major vertical end-use markets such as the public sector, banking, financial services and insurance, healthcare, and retail.
- Major companies providing cloud services in Mexico's cloud computing industry include Microsoft Corporation, Amazon Web Services, IBM Corporation, Accenture, Oracle Corporation, SAP SE, Google, Rackspace, Salesforce.com, and Telefonica. The purpose of these cloud service providers is to extend their service portfolio and existing delivery models, such as public and private cloud models, in order to offer comprehensive solutions to their customers.
- With the rise of the digital economy and the increasing number of Internet users in Mexico, the need for data storage and processing is increasing. The proliferation of hybrid cloud service providers has increased demand for colocation services and increased rack utilization.
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Full rack segment to hold major share in the market
- Due to the growing shortage of space in various companies, the Mexico data center full rack market has a large share. The demand for complete rack data center infrastructure is increasing to accommodate the increasing rack size due to the rapid growth of mobile broadband networks due to the rise of big data analytics combined with cloud computing.
- With the introduction of 5G and the increasing use of smartphones, we need to ensure sufficient speed availability. As a result, the country has adopted cloud computing, increased the number of Internet users, and adopted fiber optic technology. With the introduction of such technologies and the increase in data usage, the use of full-rack data centers is increasing in the country.
- Initially, the focus was limited to rack space within the data center. Only size and cost were considered in the deployment. Nonetheless, data center rack space utilization is expected to continue to grow as users grow in various industries, such as online banking, telecommunications, media, entertainment, and other high-density applications.
- With large amounts of data generated daily, organizations rely on data centers to efficiently manage data and storage. Therefore, the increasing use of full-rack data centers is the most important factor that has a positive impact on data center rack consumption. This market is expected to exhibit potential growth, which could lead to the adoption of hyperscale colocation among important end-users in the cloud and telecom industries.
- The popularity of computing solutions in Mexico is a key factor driving the development of full-rack data centers in the country.
