Market Trends of North America Green Data Center Industry
Increasing Demand for Data Storage Expected to Drive the Market Growth
- The demand for data storage and processing services continues to grow in the United States, driven by the expansion of cloud computing, the Internet of Things (IoT), and big data analytics. According to Cisco Systems, North America will have the most 5G connections made using wearable devices in 2022. The 439 million connections in North America would be 222 million more than those made to 4G networks in 2017. In North America and Asia Pacific, wearables are forecasted to account for around 70 percent of the wearable 5G connections globally in 2022. This growth has increased the need for data centers, including green data centers.
- The growing demand for data storage and processing has led to the construction and expansion of data center facilities. Many businesses and service providers are building new data center facilities. Many businesses and service providers are building new data centers or expanding existing ones to accommodate the increasing data load.
- An environmentally friendly data center's primary goals are energy efficiency and minimal environmental effect. A green or sustainable data center is a location for storing, managing, and transmitting data where all systems, including mechanical and electrical ones, conserve energy. It produces fewer carbon footprints, which reduces costs and improves efficiency.
- Further, these green data centers enable contemporary firms to conserve electricity and cut carbon emissions. Their use is expanding in the United States among large corporations and SMBs. Such data centers can successfully serve the aims of a vast array of company data, from collection to processing and review to distribution.
- Green data centers in the United States can apply to become accredited. The Leadership in Energy and Environmental Design (LEED) grading system is the most extensively utilized green building rating system (LEED). The United States Green Building Council created it, accessible in various categories. Data centers may be awarded a silver, gold, or platinum certification based on their ratings. Platinum certification is given to data centers with the greatest environmental responsibility and resource efficiency.
- Energy Star's National Data Center Energy Efficiency Information Program, part of a project by the US Environmental Protection Agency and the US Department of Energy, may also certify data centers. The program verifies the energy efficiency of buildings and consumer products. Energy Star certification is only given to data centers that perform in the top 25% of all data centers regarding energy efficiency. The market was experiencing growth and transformation due to increasing awareness of environmental sustainability, energy efficiency, and the need to reduce carbon footprints in the data center industry. Green data centers in the United States aim to minimize their environmental impact while maintaining high data processing and storage capabilities.
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Power Solution Segment is Expected to Hold Significant Market Share
- Green data centers are built to maximize energy efficiency and lower environmental impact. The critical demand is greater energy efficiency because these data centers' power consumption and cooling problems are two of the most significant issues enterprises confront in the region and invest heavily in. It is vital to control these operating costs to improve business operations and maintain market competitiveness.
- Cooling is a significant contribution to data center power consumption. Green data centers employ efficient cooling techniques, such as hot or cold aisle containment, free cooling, and liquid cooling, to reduce energy expenditure on temperature control.
- Many North American green centers invest in renewable energy sources to power their operations. This often involves entering into power agreements (PPAS) to secure clean and sustainable energy.
- Green data centers focus on reducing carbon emissions associated with power generation. This may involve carbon offset initiatives or investments in carbon-neutral power sources. Ensuring a stable and high-quality power supply is critical for data operations. The power segment addresses strategies for maintaining power quality and reliability.
- To ensure sustainability and minimize the environmental impact of this growth, data center operators are focusing on energy efficiency, renewable energy adoption, and advanced power management practices to effectively balance the rising demand for data processing with responsible power consumption. According to Cloudscene, as of September 2023, there were 5,375 data centers in the United States, the most of any country globally.
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