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Global Data Center Rack Market to Reach US$ 5.7 Billion by 2027, Propelled by Introduction of New-Generation Frames

Published on Sep 18, 2019

According to the latest report by IMARC Group, titled “Data Center Rack Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027”, the global data center rack market size reached US$ 3.3 Billion in 2021. A data center rack refers to an electronic framework that is designed to store, protect, manage and secure computing equipment. With the changing nature of the data center environment, there has been an increased need to improve the physical infrastructure to house servers, cables and networking devices. The new generation of high-density networking equipment and servers has created the demand for taller, broader and deeper racks, which provide easy access to equipment. Earlier, data center racks were used as a mounting platform for the devices. However, they are now gaining popularity for on account of the presence of overhead cable management, power distribution networks and attachment points for aisle containment.

Global Data Center Rack Market Trends:

Data centers have become mission-critical systems which work for 365 days a year to provide data storage and processing power to the growing businesses around the world. This has led to the rising adoption of data center racks, which allow the equipment to operate optimally. An organized rack decreases human errors, increases efficiency and better protects equipment by increasing adequate airflow, particularly in an enclosure. Besides this, the need to improve IT system performance and ensure reliability, the racks are designed to hold multiple servers. These racks are also equipped with additional features that enhance the device installation speed. Also, the leading companies are adopting the latest technologies to introduce advanced frames that provide adequate airflow and space, organized cabling and a monitored sensor network to the devices, ensuring the optimum performance of data centers. Security is another concern owing to which they have launched racks with lockable side panels or doors that prevent unwarranted access or theft and secure the data from physical threats. Looking forward, the market value is projected to reach US$ 5.7 Billion by 2027, expanding at a CAGR of 9.7% during 2022-2027.

Market Summary:

  • Based on the type, the market has been segmented into the server and network racks. Server racks currently represent the most popular product type.
  • The market has been segregated based on the rack units into small, medium and large. At present, small rack units dominate the market, holding the largest share. 
  • On the basis of the rack size, the report finds that 42U accounts for the majority of the market share. Other major rack sizes are 36U, 45U, 47U, 48U and 51U.
  • Based on the frame size, the market has been categorized into 19 inch and others. Presently, 19 inch is the most preferred frame size.
  • On the basis of the frame design, open frames exhibit a clear dominance in the market. Other significant frame designs include enclosed and customized.
  • The market has been classified based on the services into consulting, installation and support, and professional services. Amongst these, installation and support services hold the biggest market share.
  • On the basis of the application, the market has been bifurcated into small- and medium-, and large-sized organizations. Large-sized organizations currently represent the leading application segment.
  • Based on the end user, the report finds that IT and telecom dominate the market. Other major end users are banking, financial services and insurance (BFSI), public sector, healthcare, retail, manufacturing, and media entertainment.
  • Region-wise, North America enjoys the leading position in the market. Other major regions include Asia Pacific, Europe, Middle East and Africa, and Latin America.
  • The competitive landscape of the market has also been examined with some of the key players being Eaton Corporation Inc., Samsung Group, Schneider Electric SE, Legrand Group, Rittal GmbH & Co. KG, Vertiv Company, Belkin International, Inc., nVent Schroff GmbH, Black Box Corporation, Panduit Corp., Cheval Electronic Enclosure Co. Ltd., Hewlett-Packard Company, Belden Incorporated, Chatsworth Products Inc. and Great Lakes Case & Cabinet Co., Inc.


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