The 2016 Data Center Trends Survey DCD Intelligence September 2016 CONTENTS: FROM THE 2016 DATA CENTER TRENDS SURVEY FIGURES SUBJECT BACKGROUND & COMMENTS 1&2 Who completed the survey by region & organisation type 3&4 Key data center characteristics 2015 - 2017 5&6 Key data center characteristics by region & organisation type 7&8 IT infrastructure profile change 2015 - 2017 9 & 10 IT infrastructure profile change by region & organisation type 11 Data center investment 2015 – 2017 12 Data center investment profile by region & organisation type PROJECT BACKGROUND & COMMENTS This report has been prepared for respondents to the 2016 DCDi Data Center Solutions Survey. It shares some of the key findings of the survey and is based on data from the survey which was conducted online in June and July 2016. The sample of organisations assisting with the sample account for some 12% to 15% of global data centers in terms of racks and space, and 17% of power consumption. The sample draws from all areas of the world (as the questions were translated into a number of languages) and from all major organisational types. The findings indicate clearly the continuing path that these organisations are taking towards outsourcing, virtualisation and cloud. Investment (from 2015 to 2017) in these IT infrastructure options is running at over three times the rate of ‘bricks and mortar’ investment. The levels of technological engagement and investment between different areas of the world is diminishing. Gaps between what were traditionally viewed as ‘established’ and ‘emerging’ markets are reducing fast. In this, colocation providers are emerging as the means for companies wishing to access and develop IT systems that combine the benefits of a multisourced portfolio. Sample Profile (Figures 1 & 2) The profile of the organisations taking part in this research indicate a balance of different regions of the world, and of different types of organisation. It should be noted that these percentages are based on the sample of respondents. Overall, 845 organisations responded to the survey. Who completed the survey by region & organisation type: % sample Figure 1: Organisation Type Other sectors 10.2% Business Services 8.9% Telco & media 12.9% Colocation 11.6% Figure 2: Region Europe, 22.8% IT & cloud services 14.8% Production & manufacturing 13.3% Personal & social services 6.5% Government 8.3% Middle East & Africa, 10.9% Asia Pacific, 21.3% Finance 13.5% North America, 18.4% Latin America, 26.6% Key data center characteristics 2015 – 2017 (Figures 3 & 4) The personnel taking part in this research are responsible for 1,200,000 square metres of data center space, 405,000 racks and they own or operate facilities with a combined power capacity of 1.9 GW. Survey participants are responsible for 27% of their organisation’s global ‘footprint’ which means, at 2015, their organisations combined account for 13% of estimated global space (based on data centers 100 m2 or larger), 14% of estimated racks and 17% of power capacity. Note that figures in this report refer to the sample rather than to population estimates. The average power density (IT only) across the sample is 3.8 kW/rack at 2015, with an averaged maximum density of 9.6 kW/rack. This suggests that the sample here have a higher than average power requirement which would fit with the higher proportion of global power they represent in comparison to their proportion of space and racks. The total number of racks will grow by 4-5% each year from 2015 to 2017. Average rack densities will increase only marginally while maximum densities will increase by almost 25% over the two years charted. Key data center characteristics 2015 – 2017 (Sample Data) Figure 3: Total sample racks 460,000 444,000 440,000 420,000 426,000 409,000 400,000 380,000 2016 2017 Figure 4: Average & Maximum Rack density (kW/rack) Average kW/rack Maximum kW/rack 15 kW/rack 2015 10 5 12.04 9.64 10.36 3.78 3.85 3.92 2015 2016 2017 0 Source: DCD Intelligence, 2016 Figure 5: Key data center characteristics by region Average Racks/Facility Growth 2015 > 2017 Average Density Growth 2015 > 2017 Maximum Density Growth 2015 > 2017 Asia Pacific Europe Latin America Middle East Africa North America 190 180 70 60 290 8.1% 4.4% 4.3% 5.6% 4.5% 3.7 4.3 5.8 4.3 4.7 5.0% 3.3% 2.3% 2.9% 2.6% 8.9 13.2 9.4 9.3 14.7 11.1% 7.3% 6.0% 6.0% 8.6% Figure 6: Key data center characteristics by organisation type Average Racks/Facility Colo. + Telco Finance Public IT Services Manuf. + Production Services Other 240 130 60 215 56 140 135 3.2% 2.7% 9.9% 5.3% 4.2% 2.2% 5.6 5.3 4.0 6.3 5.6 4.9 4.5 5.7% 3.5% 4.7% 5.6% 3.5% 2.5% 1.2% 10.7 11.5 11.4 14.6 11.3 13.2 11.6 8.2% 10.6% 2.7% 1.8% 5.9% 2.7% Growth 2015 > 10.2% 2017 Average Density Growth 2015 > 2017 Maximum Density Growth 2015 > 2017 12.1% IT infrastructure profile 2015 – 2017 (Figures 7 & 8) The two charts on the next page indicate the increasing reliance on virtual, and hybrid/cloud delivery of IT systems and services: • • At 2015, hybrid (cloud) systems accounted for 11% of the sample’s footprint; by 2017, this will rise to 16%. For virtualisation, the proportion will rise from 17% to 23%. The net change among sample organisations, that is the proportion adopting for the first time or increasing minus those stopping or decreasing, indicates an increase in the use of colocation, largely as an access to cloud and hybrid services and steady, high increases in hybrid and virtual IT systems and, at a lower level, in direct use of public cloud options. IT infrastructure profile 2015 - 2017 Figure 7: Sample Racks Hosting Virtualisations & Hybrid Environments Virtualisations 150 50 54 65 2015 2016 2017 20% 10% 29.4% 30% 23.5% 40% 2016 to 2017 24.3% 2015 to 2016 33.5% Figure 8: Net growth in organisations investing in IT infrastructure options 2015 to 2017 15.9% 0 45 16.8% 71 15.9% 100 102 85 4.8% Racks x 1,000 Hybrid environments 0% Colocation Public Cloud Hybrid Cloud Virtualisations Figure 9: IT infrastructure profile change by region NET INCREASE 2016 to 2017 (ORGANISATIONS) Asia Pacific Europe Latin America Middle East Africa North America Colocation 28.0% 14.9% 12.5% 5.1% 20.5% Public Cloud 28.2% 16.9% 17.4% 5.4% 8.5% Hybrid Systems 31.0% 29.2% 19.0% 13.6% 18.2% Virtualisation 33.7% 33.7% 29.8% 16.9% 20.5% Figure 10: IT infrastructure profile change by organisation type NET INCREASE 2016 to 2017 (ORGANISATIONS) Colo. + Telco Finance Public IT Services Manuf. + Production Services Other Colocation 32.3% 9.6% 13.3% 17.3% 1.3% 14.4% 9.3% Public Cloud 25.6% 9.6% 6.7% 28.4% 15.3% 12.0% 5.6% Hybrid Systems 38.3% 11.0% 13.3% 28.4% 18.1% 22.9% 13.0% Virtualisation 36.8% 21.9% 33.3% 33.3% 22.2% 33.7% 14.8% ‘On-premise’ data center & other IT infrastructure investments 2015 – 2017 (Figure 11) In the two year period from 2015 to 2016 the sample indicates that: • • Investment in data center fit out and equipment will increase by a total of 10.2%, and Investment across all of IT infrastructure including the deployment of cloud, virtualisation, colocation and in other hosting services as well as in ‘on-premise’ data centers will increase by 32.2%. The striking difference between the rates of growth may in part be accounted for by a relatively small sample. Yet this does indicate the extent to which the physical data center is being supplanted by outsourcing and by IT architectures and facility/service delivery models. Figure 11: ‘On-premise’ data center & other IT infrastructure investments 2015 – 2017 USD million Facility Fit out 2000 1800 1600 1400 1200 1000 800 600 400 200 0 943 Other IT infrastructure 1052 1256 537 571 592 2015 2016 2017 Figure 12: ‘On-premise’ data center & other IT infrastructure investments by region & organisation type % Increase in Investment 2015 to 2017 Asia Pacific Europe Latin America Middle East Africa North America Data center fit out 8.6% -0.8% 8.2% 9.7% 3.7% Overall IT infrastructure 28.2% 16.9% 36.3% 36.4% 38.5% % Increase in Investment 2015 to 2017 Colo. + Telco Finance Public IT Services Manuf. + Production Services Other Data center fit out 20.7% 12.1% -2.1% 22.4% 2.7% 6.9% -9.1% Overall IT infrastructure 35.5% 17.6% 41.2% 44.2% 23.6% 22.1% 13.2% For more information contact: DCD Intelligence Nick Parfitt Senior Global Analyst nick.parfitt@datacenterdynamics.com It should be noted that while every care has been taken in the collection, analysis, validation and publication of the data included here, decisions taken wholly or partly on the basis of this document remain the sole responsibility of the reader.