for modular data center solutions.
Furthermore, massive volume of data created by the adaptation of emerging data-driven technologies such as artificial intelligence (AI) and Internet of Things (IoT) has increased the power, computing, cooling, and networking demands of the data center for storage, data transfer, and big data analysis. In addition to this, ongoing advancements in the field of modular data center provides lucrative growth opportunities for the market growth. For instance, in October 2020, Huawei Technologies launched its next-generation Smart Modular Data Center 5.0. This solution uses AI to build next-level data center intelligence, enabling the full use of SmartLi, the proprietary smart lithium battery to implement full lithium battery backup.
The modular data center market is competitive and comprises a number of regional and global vendors competing based on factors such as cost of solutions & services, reliability, quality of the product, and support services. The market is concentrated with major players consuming 50–60% of the share. The degree of concentration will remain the same during the forecast period. Owing to the competition, vendors operating in the market are offering advanced modular data center solutions to improve the marketing strategies of enterprises. On the other hand, the growing investment trend of companies across the several industries in modular data centers fuels the market growth. In addition, key players are heavily investing in R&D activities to develop effective modular data center technology and services offerings, which is opportunistic for the market.