Data center interconnect refers to a technique used to connect and enable networking between two or more different data centers. Data center interconnect is usually done in an enterprise environment to achieve IT and business objectives. One of the advantages of this technique is it allows different data centers to share resources, pass workloads, and work together. Such a technique can also be utilized to pool resources of multiple data centers to meet scalability goals.
There are many factors driving the global data center interconnect market. The growing focus on reducing high bandwidth and power consumption in data centers is expected to be a major driver of the market. Moreover, increasing demand for disaster recovery and data backup services to ensure business continuity is anticipated to emerge as a driver of growth. Also, the migration toward cloud-based services has increased the demand for data centers which is expected to boost the growth of the data center interconnect market.
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There are, however, some factors that are restraining the market’s growth. The high initial investment associated with data centers is expected to be one of the major restraints of the market. The distance between data centers reduces their efficiency and is expected to surface as a restraint to the growth of the market.
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Based on application, the global data center interconnect market can be sub-segmented into workload (VM) and data (storage) mobility, shared data and resources/server high-availability clusters (geoclustering), and real-time disaster recovery and business continuity. On the basis of end user, the total market can be segmented into CSPs (communications service providers), CNPs/ICPs (carrier neutral co-location providers/internet content providers), government, and enterprises. Enterprises can be further divided into banking and finance, utility and power, healthcare, media and entertainment, retail and e-commerce and others (transportation, education, manufacturing, and insurance).
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