Data Center Construction Markets in the Nordic Region, Forecast to 2025 – Increasing Adoption of the Distinct Heating Concept, Growing Construction of Cryptocurrency Data Centers
DUBLIN, June 30, 2020 /PRNewswire/ — The “Data Center Construction Market in Nordic – Industry Outlook and Forecast 2020-2025” report has been added to ResearchAndMarkets.com’s offering.
In-depth Analysis and Data-driven Insights on the Impact of COVID-19 Included
The study considers the present scenario of the Nordic data center construction market and its market dynamics for the period 2019-2025. It covers a detailed overview of several market growth enablers, restraints, and trends. The report offers both the demand and supply aspect of the market. It profiles and examines leading companies and other prominent ones operating in the market.
The Nordic data center construction market is expected to grow at a CAGR of over 1% during the period 2019-2025
The Nordic data center market has been a favorable destination for data center developments and investments for hyperscale data center operators, colocation providers, and cryptocurrency operators. The adoption of cloud-based services, big data analytics, and IoT services has grown significantly by local enterprises across countries in the Nordic region, boosting local colocation demand in the market. Public cloud and hybrid infrastructure services have witnessed strong growth in recent years.
The market is witnessing significant investments in submarine cable projects from service providers. Telecommunication providers are investing heavily to strengthen the broadband services in the region. The availability of renewable sources of energy is the major market driver, with majority of data centers powered through renewable energy sources.
The rapid spread of COVID-19 has significantly increased data traffic from March 2020 onwards. The global data center construction market is facing a major slowdown due to the rapid spread of the COVID-19. To provide high availability services, operators are taking precautionary measures for their on-site employees. Colocation data center operators have reduced onsite staff and postponed non-critical maintenance and construction projects.
The following factors are likely to contribute to the growth of the Nordic data center construction market during the forecast period:
- Increasing Adoption of Distinct Heating Concept
- Growing Construction of Cryptocurrency Data Centers
- Rising Modular Data Center Deployment
- Increasing Adoption of Cloud-based Services
Nordic Data Center Construction Market Segmentation
This research report includes a detailed segmentation by electrical infrastructure, mechanical infrastructure, general construction, tier standards, and geography.
The increased data centers construction in Denmark is expected to observe the demand for intelligent and efficient power infrastructure solutions during the forecast period. The redundancy in infrastructures such as UPS systems and PDUs is likely to be over 2N, whereas for switchgears it will be N+1 configuration with dual power line inside and outside facilities. Several facilities in Sweden have adopted N+N redundant power infrastructure. Data centers must be flexible enough to facilitate additional redundancy. A majority of facilities will be powered by dual power lines, and rural developments will include on-site substations. The use of redundant diesel generators might reduce due to a strong power grid supply in the Nordic region. Generators and switchgears with N+1 redundant configuration are being adopted in the facilities. The UPS and PDUs in N+N, 2N, 2N+1 configuration are being installed due to their flexible designs.
In terms of cooling, data centers in Denmark have an advantage as the region offers 85% free cooling annually. This reduces electricity consumption by cooling units by up to 50%. The data centers in Norway use free cooling chillers, adiabatic dry coolers, and evaporative coolers to cool down the IT infrastructure. The adoption of cooling techniques is highly dependent on the location and design of the facility. It is expected that most future investments will involve evaporative coolers, whereas the possibility of using an abundance of water resources is also high.
In Nordic, the market is completely dominated by greenfield development. In these projects, building development is carried out by major construction contractors in coordination with design and infrastructure providers and service operators. The involvement of sub-contractors is high as they have strong expertise in building structures in a particular location. Denmark continues to dominate with hyperscale greenfield development. These data center projects provide high revenue opportunities for general contractors. Local sub-contractors are also expected to witness continuous growth in their revenues during the forecast period. With the increased construction of hyperscale facilities, the demand for skilled professionals is likely to grow in the country. The growth in greenfield hyperscale facilities will generate more revenue for installation and commission service providers in Nordic.
The Tier I & Tier II data center market is expected to register a negative CAGR during the forecast period. The number of Tier I and Tier II facilities has reduced significantly over the past five years because of the increasing awareness of the use of redundant infrastructure. UPS and PDU systems in Tier II data centers are equipped with minimum N+N redundancy. A majority of under-developed projects across the Nordic region fall under the Tier III category. This trend is likely to continue during the forecast period. Many operators are expected to move to the Tier IV category based on the growth in rack power capacity and critical applications. In Finland and Iceland, there are three data centers that are Uptime Institute Certified under the Tier III category.
Insights by Geography
Facebook investments in its Odense Data Center Facility in Denmark is followed by Google broke ground on its first Denmark data center, which is likely to be functional by 2021. In terms of colocation providers, Bulk Infrastructure invested in its DK01 Campus along with investments from DigiPlex, GlobalConnect, and Interxion are investing in the data center market in Denmark. In Norway, Microsoft and Equinor contributed to the investment along with Green Mountain with investments in facilities such as DC2 Telemark and Telemark & Stavanger Data Center.
In 2019, Stockholm was the major investment destination Sweden that includes seven facility development activities with an estimated investment of over $350 million. Hyperscale renewable procurement is growing YOY in the region. For instance, Google has signed a 12-year contract with a power company in Norway to supply 160 MW of wind energy to power its data centers in Europe. The country has ample renewable energy sources to support large facilities.
Insights by Vendors
The Nordic data center construction market is witnessing a steady growth in terms of greenfield and modular data center construction, with the high adoption of efficient and modular data center infrastructure solutions. The market has evolved over the years with multiple innovations focused on reducing power and water consumption and decreasing carbon dioxide emissions. Schneider Electric, Eaton, Rittal, Vertiv, and ABB are leading vendors in the electrical infrastructure market. Vendors are also partnering with modular data center developers and direct liquid cooling providers to increase revenues. This trend is likely to continue during the forecast period.
Key Topics Covered
1 Research Methodology
2 Research Objectives
3 Research Process
4 Scope & Coverage
4.1 Market Definition
4.2 Base Year
4.3 Scope of the Study
4.4 Market Segments
5 Report Assumptions & Caveats
5.1 Key Caveats
5.2 Currency Conversion
5.3 Market Derivation
6 Market at a Glance
7 Introduction
7.1 Internet & Data Growth
7.2 Data Center Site Selection Criteria
7.3 Electricity Pricing Across Major Data Center Locations
7.4 Submarine Cables
8 Impact of COVID-19
8.1 Impact of COVID-19 on Data Center Industry
8.2 Impact of COVID-19 in Nordic
9 Market Opportunities & Trends
9.1 Increasing Adoption of Distinct Heating Concept
9.2 Growing Construction of Cryptocurrency Data Centers
9.3 Increasing Construction Hyperscale Data Center Facilities
9.4 Rising Modular Data Center Deployment
10 Market Growth Enablers
10.1 Rising Adoption of Cloud-Based Services
10.2 Growing Investments in Data Centers by Colocation Operators
10.3 Availability of Renewable Energy Sources
10.4 Free Cooling Lowers Pue of Data Centers
10.5 Tax Incentives & Land Availability for Development
11 Market Growth Restraints
11.1 Lack of Skilled Workforce
11.2 High Procurement Cost of Efficient Infrastructure
11.3 Physical Security Constraints
12 Market Landscape
12.1 Market Overview
12.2 Investment: Market Size & Forecast
12.3 Area: Market Size & Forecast
12.4 Power Capacity: Market Size & Forecast
12.5 Five Forces Analysis
13 Infrastructure Segmentation
13.1 Market Snapshot & Growth Engine
13.2 Market Overview
13.3 Electrical Infrastructure
13.4 Mechanical Infrastructure
13.5 General Construction
14 Electrical Infrastructure
14.1 Market Snapshot & Growth Engine
14.2 UPS Systems
14.3 Generators
14.4 Transfer Switches & Switchgear
14.5 Power Distribution Units
14.6 Other Electrical Infrastructure
15 Mechanical Infrastructure
15.1 Market Snapshot & Growth Engine
15.2 Cooling Systems
15.3 Racks
15.4 Other Mechanical Infrastructure
16 Cooling Systems
16.1 Market Snapshot & Growth Engine
16.2 CRAC & CRAH Units
16.3 Chiller Units
16.4 Cooling Towers, Dry Coolers, & Condenser
16.5 Economizers & Evaporative Coolers
16.6 Other Cooling Units
17 Cooling Technique
17.1 Market Snapshot & Growth Engine
17.2 Air-Based Cooling Techniques
17.3 Liquid-Based Cooling Techniques
18 General Construction
18.1 Market Snapshot & Growth Engine
18.2 Building Development
18.3 Installation & Commissioning Services
18.4 Building Design
18.5 Physical Security
18.6 DCIM/BMS
19 Tier Standards
19.1 Market Snapshot & Growth Engine
19.2 Overview Of Tier Standards
19.3 Tier I & II
19.4 Tier III
19.5 Tier IV
20 Country Segmentation
20.1 Investment: Snapshot & Growth Engine
20.2 Area: Snapshot & Growth Engine
20.3 Power Capacity: Snapshot & Growth Engine
20.4 Denmark
20.5 Norway
20.6 Sweden
20.7 Finland & Iceland
21 Competitive Landscape
21.1 Overview
21.2 Electrical Infrastructure
21.3 Mechanical Infrastructure
21.4 General Construction
22 Prominent Data Center Support Infrastructure Providers
22.1 ABB
22.2 Airedale Air Conditioning
22.3 ALFA LAVAL
22.4 ASETEK
22.5 Bosch Security Systems (Robert Bosch)
22.6 Caterpillar
22.7 Cummins
22.8 Delta Group
22.9 Eaton
22.10 Euro-Diesel (KINOLT)
22.11 Hitech Power Protection
22.12 KOHLER (SDMO)
22.13 Legrand
22.14 Piller Power Systems
22.15 Riello UPS
22.16 Rittal
22.17 MTU On Site Energy (Rolls-Royce Power Systems AG)
22.18 Schneider Electric
22.19 Socomec
22.20 Stulz
22.21 Trane (Ingersoll Rand)
22.22 Vertiv
23 Prominent Data Center Contractors
23.1 Aecom
23.2 Arup Group
23.3 Bravida
23.4 COWI
23.5 Dornan
23.6 DPR Construction
23.7 ENACO
23.8 Etix Everywhere (Vantage Data Center)
23.9 Fortis Construction
23.10 Granlund
23.11 HDR Architecture
23.12 KMCS
23.13 Mace Group
23.14 Mercury Engineering
23.15 MTH Group
23.16 NCC
23.17 Ramboll
23.18 Royal Haskoningdhv
23.19 SKANSKA
23.20 SRV Group
23.21 Sweco
24 Prominent Data Center Investors
24.1 Bahnhof
24.2 Boderlight AB (GoGREENHOST)
24.3 Bulk Infrastructure
24.4 DIGIPLEX
24.5 Equinix
24.6 Facebook
24.7 GlobalConnect
24.8 INTERXION
24.9 MICROSOFT
24.10 MULTIGRID
24.11 Green Mountain AS
24.12 Ecodatacenter
For more information about this report visit https://www.researchandmarkets.com/r/4qzyrr
Research and Markets also offers Custom Research services providing focused, comprehensive and tailored research.
Media Contact:
Research and Markets
Laura Wood, Senior Manager
[email protected]
For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716
SOURCE Research and Markets
Related Links
http://www.researchandmarkets.com
Original Source