Global data center capital spending to exceed $240 billion in 2022
Time of issue:2022-03-24
According to a recent report from Dell'Oro, most major cloud service providers will experience an expansion cycle this year, driving a double-digit increase in global data center capital spending in 2022. However, the research firm believes continued supply chain constraints could limit growth.
Baron Fung, research director at Dell'Oro, said: "Global data center capital spending will increase by 9% in 2021, surpassing $200 billion for the first time. However, the growth is mainly due to higher average selling prices of servers. Suppliers will increase commodity and supply chain costs. Passed on to end users, and shipment growth was in the low single digits due to supply constraints. New server platforms with next-generation processors and AI accelerators also contributed to higher revenue growth."
“The market is expected to accelerate further this year as vendors tackle ongoing procurement challenges. New data center footprints, network upgrade cycles, and continued adoption of accelerated computing are expected to drive increased investment by major cloud service providers and enterprise customers,” explained Fung.
Software-Defined Data Center Big Data
1. Global data center capital spending is expected to exceed $240 billion in 2022.
2. Server unit shipments are expected to return to double-digit growth in 2022 as supply constraints ease.
3. Hyperscale cloud service providers plan to launch services in more than 40 new regions in 2022.