SOUTH AFRICA DATA CENTER MARKET SIZE & SHARE ANALYSIS – GROWTH TRENDS & FORECASTS (2024

Market Snapshot

The South Africa Data Center Market is segmented by hotspot (Johannesburg), data center size (large, massive, medium, mega, small), tier type (Tier 1 and 2, Tier 3, Tier 4), and absorption (non-utilized, utilized). Key data points include IT load capacity for existing and upcoming data centers, current and upcoming hotspots, average mobile data consumption, volume of fiber cable connectivity in KM, existing and upcoming submarine cables, rack space utilization, and number of data centers by tier.

Market Overview

The South Africa Data Center Market is set for significant growth, driven by increasing smartphone penetration, rising adoption of 5G technology, and expanding digitization. The market’s steady growth is supported by the development of new data center facilities and the modernization of existing ones to meet the demand for higher data storage and processing capabilities.

Key Market Trends

Increasing Mobile Data Usage: The growing average data volume per subscription and rising number of smartphone users are significantly contributing to the demand for data centers. Video content consumption and online retail activities are key drivers of this trend.
Expansion of 5G Networks: The adoption of 5G technology is accelerating, with significant investments in infrastructure by telecom operators. This expansion is expected to drive further demand for data center capacity.
Government Initiatives: Initiatives like South Africa Connect (SA Connect) are promoting digitization and enhancing fiber optic infrastructure, further boosting the data center market.

Competitive Landscape

The South Africa Data Center Market is moderately consolidated, with key players focusing on expanding their data center capacities and adopting advanced technologies. The competitive landscape is characterized by strategic partnerships, acquisitions, and investments aimed at enhancing service offerings and meeting the growing demand for data storage and processing solutions.

Major Players

Business Connexion (Pty) Ltd: A leading IT services company providing comprehensive data center solutions with a focus on innovation and customer satisfaction.
Equinix Inc.: Known for its extensive global data center network, offering high-performance connectivity and advanced data solutions.
NTT Ltd: A key player with significant investments in expanding data center capacities and enhancing service efficiency.
Teraco Data Environments (Digital Realty): The leading player in the South African market, with plans to roll out multiple data center facilities with a large IT load capacity.
Vantage Data Centers LLC: Provides scalable data center solutions with a focus on high reliability and energy efficiency.

Recent Developments

Equinix Inc.: Announced a USD 160 million data center investment in Johannesburg, expanding its presence in Africa. The new data center is expected to open in mid-2024.
Teraco Data Environments: Began construction of a new hyperscale data center facility at its Isando Campus, expected to be completed by 2024, with a critical power load of 30 MW.
Africa Data Centres: Planned a second data center in Johannesburg, expanding from 10MW to 40MW of IT load, expected to be completed by 2025.

Table of Content

1. INTRODUCTION

1.1. Study Assumptions & Market Definition

1.2. Scope of the Study

1.3. Research Methodology

1.3.1. Secondary Research

1.3.2. Primary Research

1.4. Executive Summary & Key Findings Report

1.5. Global Overview

1.5.1. Porter’s Five Forces Framework

1.5.2. Global Value Chain Analysis

1.5.3. Global Market Size and Drivers, Restraints, and Opportunities

2. KEY INDICATIVE METRICS

2.1. It Load Capacity

2.2. Raised Floor Space

2.3. Colocation Revenue

2.4. Installed Racks

2.5. Rack Space Utilization

2.6. Submarine Cable

3. KEY INDUSTRY TRENDS

3.1. Smartphone Users

3.2. Data Traffic Per Smartphone

3.3. Mobile Data Speed

3.4. Broadband Data Speed

3.5. Fiber Connectivity Network

3.6. Regulatory Framework

3.6.1. South Africa

3.7. Value Chain & Distribution Channel Analysis

4. MARKET SEGMENTATION (INCLUDES MARKET SIZE, FORECASTS AND ANALYSIS OF GROWTH PROSPECTS)

4.1. Hotspot

4.1.1. Johannesburg

4.1.2. Rest of South Africa

4.2. Data Center Size

4.2.1. Large

4.2.2. Massive

4.2.3. Medium

4.2.4. Mega

4.2.5. Small

4.3. Tier Type

4.3.1. Tier 1 and 2

4.3.2. Tier 3

4.3.3. Tier 4

4.4. Absorption

4.4.1. Non-Utilized

4.4.2. Utilized

4.4.2.1. By Colocation Type

4.4.2.1.1. Hyperscale

4.4.2.1.2. Retail

4.4.2.1.3. Wholesale

4.4.2.2. By End User

4.4.2.2.1. BFSI

4.4.2.2.2. Cloud

4.4.2.2.3. E-Commerce

4.4.2.2.4. Government

4.4.2.2.5. Manufacturing

4.4.2.2.6. Media & Entertainment

4.4.2.2.7. Telecom

4.4.2.2.8. Other End User

5. COMPETITIVE LANDSCAPE

5.1. Market Share Analysis

5.2. Company Landscape

5.3. Company Profiles (includes Global Level Overview, Market Level Overview, Core Business Segments, Financials, Headcount, Key Information, Market Rank, Market Share, Products and Services, and Analysis of Recent Developments).

5.3.1. Africa Data Centres (Cassava Technologies)

5.3.2. Business Connexion (Pty) Ltd

5.3.3. Digital Parks Africa (Pty) Ltd

5.3.4. Equinix Inc.

5.3.5. MTN (PTY) LTD (MTN GROUP LTD)

5.3.6. NTT Ltd

5.3.7. RSAWEB

5.3.8. Teraco Data Environments (Digital Realty)

5.3.9. Vantage Data Centers LLC

5.3.10. WIOCC (Open Access Data Centres)

5.3.11. Xneelo (Pty) Ltd

5.4. LIST OF COMPANIES STUDIED

6. KEY STRATEGIC QUESTIONS FOR INDUSTRY PROFESSIONALS IN DATA CENTER MARKET

7. APPENDIX

Research Methodology

Data Collection and Analysis Methods

Datanumero’s research methodology encompasses a thorough approach aimed at ensuring accuracy and reliability in market estimation and forecasting. Our process begins with preliminary data mining, where we gather raw market data from a diverse range of validated sources. This data undergoes rigorous filtration to ensure authenticity, with inputs also drawn from reputable reports, paid databases, and our repository. Our goal is to map the complete market value chain, gathering insights from raw material suppliers, distributors, and buyers.Additionally, we delve into technical issues and trends through surveys, technical symposia, and trade journals, focusing on intellectual property perspectives such as white space and freedom of movement. Industry dynamics, including drivers, restraints, and pricing trends, are thoroughly examined. This approach ensures that our material is rich in original data, further cross-validated and authenticated with published sources for accuracy.Market estimates and forecasts are derived using sophisticated statistical models tailored to each study. These models incorporate inputs on market dynamics, technology landscapes, application development, and pricing trends. We analyze these factors comparatively, quantifying their impact using correlation, regression, and time series analysis. Our forecasting techniques combine economic tools, technological analysis, industry experience, and domain expertise.Primary validation represents the final step, involving exhaustive interviews with key industry participants. These interviews, conducted globally and across various language barriers, validate our findings and assumptions. Key industry participants include market-leading companies, raw material suppliers, product distributors, and buyers. This primary research not only ensures data accuracy but also provides critical insights into the current market scenario, business landscape, and future expectations, enhancing the quality of our reports.

Industry Analysis Approach

In our analysis, we employ both qualitative and quantitative methodologies. Qualitatively, we delve into the industry landscape, trends, market dynamics, and key issues. We explore the technology landscape and identify market opportunities for our clients. Our approach includes Porter’s analysis and PESTEL analysis to understand the competitive landscape and conduct component benchmarking.On the quantitative front, we provide market revenue estimates and forecasts up to specified timeframes, including breakdowns by technology, application, type, and component. Regional market revenue forecasts are also provided, giving clients a comprehensive view of market dynamics across different geographical areas.By integrating these methodologies, DataNumero ensures a holistic, unbiased, and accurate assessment of market trends, opportunities, and future expectations, positioning us as a professional and reliable market research partner.

SOUTH AFRICA DATA CENTER MARKET SIZE & SHARE ANALYSIS – GROWTH TRENDS & FORECASTS (2024 – 2030)