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Gartner Says Worldwide Data Centre Hardware Spending on Pace to Reach $99 Billion in 2011

Analysts to Examine the Evolution of Data Centre Technologies at Gartner Data Center & IT Operations Summit 2011, 28-29 November, London

(PresseBox) (Stamford, Conn., ) Worldwide data centre hardware spending is projected to reach $98.9 billion in 2011, up 12.7 per cent from 2010 spending of $87.8 billion, according to Gartner, Inc. Data centre hardware spending is forecast to total $106.4 billion in 2012, and surpass $126.2 billion in 2015.

Data centre hardware spending includes servers, storage and enterprise data centre networking equipment.

"Worldwide data centre hardware spending will finally reach and surpass 2008 levels," said Jon Hardcastle, research director at Gartner. "Growth in emerging regions - particularly Brazil, Russia, India and China (the BRIC countries) - is balanced by continued weakness relative to pre-downturn levels in Japan and Western Europe. Storage is the main driver for growth. Although only a quarter of data centre hardware spending is on storage, almost half of the growth in spending will be from the storage market."

The very largest size category of data centre (which is data centres with more than 500 racks of equipment) will increase its share of spending from 20 per cent in 2010 to 26 per cent in 2015, driven by the cloud and the shift from internal data centre provision to external.

In 2010, 2 per cent of data centres contained 52 per cent of total data centre floorspace and accounted for 63 per cent of data centre hardware spending. In 2015, 2 per cent of data centres will contain 60 per cent of data centre floorspace and account for 71 per cent of data centre hardware spending.

"Traditional in-house enterprise data centres are under attack from three sides. Firstly, virtualisation technologies are helping companies to utilise their infrastructure more effectively, inhibiting overall system growth. Secondly, data centres are getting more efficient, leading to higher system deployment densities and inhibiting demand for floor space. Thirdly, the move to consolidated third-party data centres is reducing the overall number of midsize data centres. Meanwhile, the largest data centre class is, of course, benefiting from the rise of cloud computing," Mr Hardcastle said.

Additional information is available in the Gartner report "Forecast: Data Centers, Worldwide, 2010-2015" at http://www.gartner.com/....

Gartner analysts will explore the evolution of data centre technologies, and how cloud computing and virtualisation will impact IT operations at the Gartner Data Center & IT Operations Summit 2011, 28-29 November in London. Members of the media can register by contacting Laurence Goasduff, Gartner PR at laurence.goasduff@gartner.com. For further information on the Summit, please europe.gartner.com/datacenter.

Additional information from the event will be shared on Twitter at http://twitter.com/... and using #GartnerDC.

About Gartner Data Center & IT Operations Summit 2011

The Gartner Data Center & IT Operations Summit 2011 will help data centre professionals to understand the potential of disruptive technologies such as cloud computing, fabric computing and virtualisation and to harness them to deliver business value. It explores both the tactical and strategic impacts in terms of organisational structures, sustainability agendas, process transformation, technology implementation and the influences of security and licensing on technology choice.

Gartner Deutschland GmbH

Gartner, Inc. (NYSE: IT) is the world's leading information technology research and advisory company. Gartner delivers the technology-related insight necessary for its clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, Gartner is a valuable partner to 60,000 clients in 11,500 distinct organizations. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, U.S.A., and has 4,500 associates, including 1,250 research analysts and consultants, and clients in 85 countries. For more information, visit www.gartner.com.