Data Center - Hungary

Hungary

Revenue in the Data Center market is projected to reach US$656.70m in 2024.
Network Infrastructure dominates the market with a projected market volume of US$434.10m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 9.65%, resulting in a market volume of US$1,041.00m by 2029.
In global comparison, most revenue will be generated in the United States (US$123.20bn in 2024).

Key regions: United States, Germany, India, Japan, China

Definition:

The Data Center market is a critical segment of the technology industry focusing on supplying and managing physical infrastructure necessary for hosting and operating IT systems, primarily servers, storage, and network equipment. This market spans from traditional in-house data centers to sophisticated facilities offered by specialized providers, covering services like hosting, shared data center facilities, and managed data center solutions. It targets a diverse client base, ranging from small businesses to large enterprises, offering flexible, scalable solutions for their IT infrastructure needs. This sector is integral to the efficient functioning and security of IT operations in various organizations.

Structure:

The Data Center market is structured in three markets based on the services model provided by the companies.

The Server market covers the resources and services related to servers, integral for hosting websites, managing databases, and supporting cloud computing.
The Storage market covers the resources and services related to data storage systems, crucial for archiving, data backup, and ensuring data recovery.
The Network Infrastructure market covers the resources and services related to network hardware essential for ensuring connectivity, data transmission, and network security.

Additional Information:

The Data Center market includes revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Market values represent revenues paid to primary vendors at the manufacturer price level either directly or through distribution channels (excluding VAT). Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the Data Center market include companies such as Dell, HPE, Huawei, and Ericsson.

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Market

Region

Region comparison

Currency

Analyst Opinion

Hungary, known for its rich history and vibrant culture, has been experiencing significant growth in its Data Center market.

Customer preferences: Customers in Hungary are increasingly seeking reliable and secure data storage solutions, leading to a rise in demand for Data Center services. They prioritize data security, high performance, and scalability to meet their evolving business needs.

Trends in the market: One notable trend in the Hungarian Data Center market is the increasing adoption of cloud services. Businesses are leveraging cloud-based solutions to enhance operational efficiency and flexibility. Additionally, there is a growing focus on sustainability, with Data Centers in Hungary incorporating eco-friendly practices to reduce environmental impact.

Local special circumstances: Hungary's strategic location in Central Europe makes it a favorable choice for international companies looking to establish a presence in the region. This geographical advantage, coupled with a skilled workforce and supportive government initiatives, has contributed to the growth of the Data Center market in the country.

Underlying macroeconomic factors: The growing digitalization of the economy, coupled with increasing internet penetration rates, has fueled the demand for Data Center services in Hungary. Moreover, favorable government policies and investments in infrastructure development have created a conducive environment for the expansion of the Data Center market in the country.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.