Norway Data Center Market

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Norway Data Center Market by Type (Colocation, Hyperscale, Edge, and Others), by Deployment Model (On-premise, Cloud, and Hybrid), by Enterprise Size (Large Enterprise and Small and Medium Size Enterprise), and by End User (BFSI, IT and Telecom, Government, Energy and Utilities, and Other End Users)–Opportunity Analysis and Industry Forecast, 2024–2030

Industry: ICT & Media | Publish Date: 15-Jul-2024 | No of Pages: 111 | No. of Tables: 78 | No. of Figures: 43 | Format: PDF | Report Code : N/A

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Norway Data Center Market Overview

The Norway Data Center Market size was valued at USD 2.82 billion in 2023, and is predicted to reach USD 6.75 billion by 2030, at a CAGR of 13.3% from 2024 to 2030. The data center market, also known as the network infrastructure market, encompasses the entire lifecycle of specialized infrastructure dedicated to hosting computing systems, including planning, construction, operation, and maintenance. It comprises a variety of components such as servers, storage systems, and networking gear, offering services such as cloud computing and connectivity solutions. Currently, the industry is experiencing widespread adoption of cloud services, alongside the emergence of edge computing to reduce latency.

Key trends include a focus on sustainability, heightened concerns about cybersecurity, the integration of hybrid and multi-cloud approaches, and the influence of 5G networks. These trends highlight the industry's response to the growing demand for scalable, efficient, and secure data processing and storage solutions in the era of digital transformation. According to the United States International Trade Commission, the data processing and storage market is projected to grow from USD 56 billion in 2020 to USD 90 billion by 2025.

Government Initiatives Propels the Growth of the Market

Norway secured a significant share of the European data center market, thanks to a series of transformative government initiatives. In 2021, the Government of Norway unveiled an updated network infrastructure strategy aimed at continually improving the country's digital infrastructure. This strategy focuses on enhancing framework conditions, including taxes, energy infrastructure, and fiber connectivity, crucial for fostering a thriving market ecosystem. By proactively creating an enabling environment, the government underscores its commitment to supporting the sustained growth and innovation of the market trends in Norway.

 

Rapid Expansion of the Network of Optic Cables is Driving Market Growth

A pivotal driver of the market in Norway is the rapid expansion of a network of submarine fiber optic cables. Over the past five years, Norway undergone a remarkable transformation, emerging as a central hub for data centers.

The substantial growth in connectivity facilitated by these fiber optic cables not only improves the speed and reliability of data transmission but also positions Norway as a key player in the European digital landscape.

Coupled with supportive government policies, this enhanced connectivity creates an attractive landscape for investments, propelling the market's growth and solidifying Norway's position as a critical player in the global industry.

 

High Initial Investment Impedes the Market Growth

The data center market encounters significant hurdles primarily due to the substantial initial investment needed and stringent environmental regulations. Establishing and maintaining network infrastructure demands substantial upfront financial commitments, creating barriers for smaller enterprises and startups seeking to enter the market. Additionally, ongoing compliance with environmental standards requires continuous investment in energy-efficient technologies hinders the overall Norway data center market growth.

Integration of Edge Computing Presents Lucrative Opportunity for Market Expansion 

The integration of edge computing operations offers promising avenues for the Norway data center market expansion. By minimizing latency and enabling real-time processing, edge computing empowers applications such as the Internet of Things (IoT) and Augmented Reality (AR), reducing the load on centralized cloud data centers while providing scalability and flexibility.

This decentralized approach not only bolsters security by processing sensitive data locally but also aligns with evolving digital landscapes, opening up diverse opportunities for network infrastructure providers.

Recent investments in startups such as Armada indicate the rising interest in edge computing solutions, signaling a concerted effort to tackle connectivity challenges and bridge the digital divide.

 

Competitive Landscape

The key market players operating in the Norway data center industry include Amazon.com Inc., IBM Corporation, Microsoft Corporation, Cisco System Inc., Oracle Corporation, SAP SE, Hewlett Packard Enterprise Company, NTT Communications Corporation, Equinix Inc., Digital Reality Trust Inc. and others.

Norway Data Center Market Key Segments

By Type    

  • Colocation

  • Hyperscale

  • Edge 

  • Others

By Deployment Model

  • On-Premises

  • Cloud

  • Hybrid

By Enterprise Size 

  • Large Enterprise

  • Small and Medium Size Enterprise

By End User

  • BFSI

  • IT and Telecom

  • Government

  • Energy and Utilities 

  • Other End Users

REPORT SCOPE AND SEGMENTATION:

Parameters

Details

Market Size in 2023

USD 2.82 Billion

Revenue Forecast in 2030

USD 6.75 Billion

Growth Rate

CAGR of 13.3% from 2024 to 2030

Analysis Period

2023–2030

Base Year Considered

2023

Forecast Period

2024–2030

Market Size Estimation

Billion (USD)

Growth Factors

  • Implementation of government initiative boosts the market growth.

  • Rapid expansion of network of optic cables drives the growth of industry.

Companies Profiled

10

Market Share

Available for 10 companies

Customization Scope

Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope.

Pricing and Purchase Options

Avail customized purchase options to meet your exact research needs.

KEY PLAYERS

  • Amazon.com Inc.

  • IBM Corporation

  • Microsoft Corporation

  • Cisco System Inc.

  • Oracle Corporation

  • SAP SE

  • Hewlett Packard Enterprise Company

  • NTT Communications Corporation

  • Equinix Inc.

  • Digital Reality Trust Inc.

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Frequently Asked Questions

The key market players operating in the market are Amazon.com Inc., IBM Corporation, Microsoft Corporation, Cisco System Inc., Oracle Corporation, SAP SE, Hewlett Packard Enterprise Company, NTT Communications Corporation, Equinix Inc., Digital Reality Trust Inc. and others.

According to the Next Move Strategy Consulting, the size of the Norway Data Center market is estimated at USD 2.82 billion in 2023.

High initial investment hinders the data center market growth.

Introduction of edge computing in data center is expected to create future opportunities in the data center market.

According to the Next Move Strategy Consulting, the size of the Norway data center market is estimated to be at USD 6.75 billion in 2030.

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