Market Trends of Sweden Data Center Physical Security Industry
Video Surveillance is Anticipated to be the Largest Segment
- Data centers are home to sensitive and vital data, which makes security their highest priority. Data center operators help ensure that security standards and regulations are respected through video surveillance systems, which monitor access, detect unauthorized entry, and maintain compliance.
- Innovation is needed in the field of surveillance systems. Alcatraz AI, a global autonomous access control solutions company, will unveil smooth, private, and secure access control at Sectech in Sweden later this month. Sectech Stockholm is Scandinavia's leading event for technology-based security solutions for physical security. The event took place from October 24 to 25, 2023, at Stockholm Smasan in Stockholm, Sweden.
- EcoDataCenter will build another data center on its campus in Falun, Sweden. The Swedish data center company announced this week that it would invest SEK 1 billion (USD 102 million) in a new 15MW facility.
- Project specifications and schedule have not been disclosed. The Falun campus, which opened in 2018 and currently consists of one building, will provide a total of up to 80 MW and 35,000 square meters (377,000 square feet) when fully developed.
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IT & Telecommunication is Anticipated to be the Fastest Growing Segment
- Sweden is a connected country with strong digital readiness and a high penetration rate for internet usage, social media engagement, mobile connections, adoption of 5G, online shopping, and digital payments. For instance, according to GSMA, in Q2 2022, Sweden had the fastest 5G median download speed in the Nordic region, partially due to the country's digitalization strategy.
- Improved device capabilities, increased data-intensive content, and increased data consumption due to ongoing network performance improvements are the significant causes of the growth in mobile data traffic per smartphone. For instance, the number of Facebook users was 7.9 million in 2021, and it increased to 8.7 million in 2022, which accounted for 84.4% of the population. The number of Instagram users increased from 5.03 million (2021) to 6.06 million (2022). The Swedish Association of Local Authorities and Regions (SALAR) also developed a vision for a Swedish e-health strategy that invests 1.21 billion annually in healthcare IT.
- Operators are focusing on their network investments to expand 5G network coverage across Sweden. A joint venture between Tele2 and Telenor, Net4Mobility, focuses on accelerating the 5G network. Tele2 and Telenor Sweden agreed to extend the reach of Net4Mobility to 90% of the Swedish population by the end of 2023 and the remaining 20% in 2024. By 2025, Telia Sweden plans to have coverage for its 5G network that is equivalent to that of its 4G network by working with longtime partner Ericsson. By 2023, it intended 5G coverage for more than 90% of the population. In the long run, this is expected to be extended to 90% geographic and more than 99% population coverage.
- An increase in demand for data consumption by households and businesses drives the growth of broadband connectivity in Sweden. Owing to the growing demand for broadband connectivity, government initiatives impetus the growth of connectivity.
- Factors such as an increase in data consumption, improved device capabilities, and growth of digitalization across all end users lead to an increase in the number of data centers, ultimately resulting in the growth of physical security accessories.
