Rapid increase in data center traffic and the increasing need for hyperscale facilities for storage of such massive data are expected to drive the software-defined data center market growth. It is estimated that the global data center traffic will cross 20 zettabytes per year by 2024 and around 80% of the overall cloud workloads will shift to Software as a Service (SaaS). Moreover, global companies are investing extensively in establishing large infrastructure facilities for managing and accessing the data. These companies are expanding their business operations globally, thereby driving the demand for edge data center facilities. Players in the software-defined data center market are targeting their offerings to such multinational companies for virtualizing their data center industry. Several advantages offered by these solutions include the increased speed of service delivery, improved security & safety of data that help in lowering the power consumption, and costs.
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The software-defined data center market is expected to witness a rapid growth over the coming years with a rise in the demand for the advanced data management solutions for monitoring and ensuring the safety of the enterprise data. These solutions allow the companies to access and manage their data through a secured user portal that utilizes web-based servers to deliver the data effectively. Virtualization and the cloud technology allow end users to manage, access, and secure their data in an effective manner. Moreover, the micro-segmentation of the data center network provides the logical separation of several components and applications to group and process network security within these facilities. Data flow tools and traffic visibility provide end-to-end monitoring and control of the business information, thereby propelling the demand in the software-defined data center market.
Growing demand for dynamic connectivity and networking in developed economies is providing an opportunity to players in the software-defined data center market. Several countries including the U.S, Canada, Germany, and France are experiencing high adoption rates of such solutions. The strong presence of the global companies that depend on effective data storage solutions for performing their business operations will propel the software-defined data center market growth. Moreover, these countries are experiencing a rapid adoption of advanced technologies in several industrial sectors. Such factors are motivating the players to offer software & services to cater to demands from these global companies. Some of the major software-defined data center market players operating in these countries are IBM Corporation and VMware, Inc.
The software-defined data center market is witnessing a high demand for the managed services with the rapid deployment of the software solutions in large enterprises. The players in the industry are providing several services to their customers to effectively manage and deploy the virtualized data center environment in their business areas. The Managed Service Provider (MSP) remotely manages the company’s data management under a subscription model. The players in the software-defined data center market are also offering their services under a Service-Level Agreement (SLA) to develop strategic relationships with the companies. SMBs are witnessing an increasing adoption of such services due to limited in-house IT capabilities. Several government agencies are also planning to approach these MSPs due to a high budget pressure.
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Europe software-defined data center market is witnessing a high growth due to the rising demand for online shopping and a rapid growth of the e-commerce business. In 2017, the e-commerce sale accounted for USD 534 billion in the region. Western Europe accounted for around 70% of the online retail turnover. The retail e-commerce sector is witnessing a high demand for these solutions to manage the massive data generated including customer details, order information, and other credentials. Moreover, the increasing data center facilities in countries including the UK, Germany, the Netherlands, and France accounted for a large data traffic, thereby accelerating the software-defined data center market growth.
Major companies operating in the software-defined data center market are VMware, Inc., Microsoft Corporation, Oracle Corporation, HP Development Company, Dell Software, Inc., Huawei Technologies Co., Ltd., L.P., Citrix Systems, Inc., IBM Corporation, Amazon Web Services, Inc., SAP SE, EMC Corporation, Hitachi, Ltd., Fujitsu, Ltd., Citrix Systems, Melillo Consulting, Inc., and Cisco Systems, Inc., among others. The players in the software-defined data center market are developing solutions for enhancing the security and safety of the industrial data. These companies are adopting several strategies for capturing the widespread customer base in the software-defined data center market. For instance, in August 2014, HP and VMware collaborated to expand their business offerings in the market. VMware Workspace ONE will be added to the HP’s Device as a Service (DaaS) platform.
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