Market Trends of Italy Data Center Cooling Industry
IT & Telecommunication Segment Holds the Major Share
- Cloud services are gaining popularity in Italy. The need for big data integration and the demand for more remote work and data migration to the cloud are driving the use of domestic cloud data centers.
- Additionally, Italy's data center providers are gradually collaborating with local and international technology companies to offer a wide range of services to their customers.
- Cloud infrastructure helps companies manage fluctuating demand and reduces IT expenditure. It also provides companies with flexibility where employees working in various geographical locations can access files on their system from the cloud.
- Features such as increased scalability, flexibility, and accommodating website traffic fluctuations are among the reasons businesses adopted the cloud service. Businesses and governments have increasingly adopted cloud services to promote digitization services in the country. The Italian government has set a budget of around EUR 1.9 billion (USD 2 billion) for the next five years to promote digitization services. As the Italian government transitioned to the cloud system, taxpayers saved around EUR 87 million (USD 92.25 million) annually.
- The telecom segment uses a hybrid cloud infrastructure combining public and private cloud services in varying phases. This helps them manage traffic fluctuations and deliver optimum performance. Cloud services have helped telecoms increase efficiency in service deployment and reduce downtime.
- Further, Increased bandwidth speeds of 37.89 Mbps offered on 4G led to mobile data consumption at 13.3 GB/month in 2022. It is expected to increase from 15.2 GB/month in 2023 to 26.7 GB/month in 2029. Factors that catalyze data consumption increase are evolving 5G technology, online gaming, banking services, over-the-top (OTT), online shopping, and others. Such instances in the market are expected to create more demand for data center cooling infrastructure manufacturers in the coming years.
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Liquid-based Cooling is the Fastest Growing Cooling Technology
- In data centers, liquid cooling offers many benefits, and it is an attractive option to cool computing environments with high performance. The use of liquid cooling has been shown to be more energy efficient compared with conventional air conditioning. It reduces the need for overcooling and improves the energy efficiency of data centers by providing precise temperature control.
- Technological advances have helped to reduce the data center's water consumption by more than 15% in tropical climates and 80% in green areas, making liquid cooling easier to maintain, scale up or be affordable. Energy used for liquid cooling may be recycled to heat buildings and drinking water, while advanced artificial refrigerants can significantly reduce the carbon footprint of air conditioners.
- Liquid cooling takes advantage of the space constraints and superior heat transfer properties of water or other liquids to provide efficient and cost-effective cooling of high-density racks up to 3000 times more efficiently than air. Long proven in mainframe and gaming applications, liquid cooling is increasingly being used to protect rack servers in regional data centers.
- Furthermore, factors such as online shopping contribute to the increasing generation of data and processing facilities. As users grow more inclined to online shopping with attractive deals offered, this would lead to a rise in digital payment services and traffic on websites, thus increasing data consumption. The total number of unique users of e-commerce and applications in Italy increased from 35.5 million in September 2020 to 38.1 million in September 2022. All these factors would contribute to a significant increase in consumption, boosting the demand for data centers.
