ISG report shows managed data centre services growing in well-connected Germany

ISG report shows managed data centre services growing in well-connected Germany

Despite falling prices and ongoing geopolitical unrest, the managed data centre and colocation services market in Germany is expanding as overall spending increases, according to a new research report published by Information Services Group (ISG), a leading global technology research and advisory firm.

The 2023 ISG Provider Lens Private/Hybrid Cloud – Data Center Services report for Germany finds that although the effects of the COVID-19 pandemic and the conflict in Ukraine have led to economic difficulties, the IT market in Germany continues to grow, attracting foreign investors from Europe and the US that are helping to strengthen the country’s IT infrastructure. Prices for long-term IT service contracts have been declining, yet overall spending continues to rise in response to increased consumption.

As a country, Germany is extremely well-connected. It has fast, reliable and secure network connections to major European data centres as well as direct connections between the data centres of companies based in the US and their EMEA subsidiaries. In addition, Germany’s access to low-cost green power makes it an attractive location for data centres and managed cloud-based services. This enables customers to establish a managed Edge Computing service or hosting solution.

When it comes to providing the kind of low-latency network required for cloud-native applications that share data quickly and efficiently, hosting and colocation provider networks are superior to those that customers can configure on their own.

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