Why Data Centers Are Necessary for Enterprise Businesses

The global Data Center Infrastructure Management (DCIM) market size is expected to reach USD 3.2 billion by 2026 from USD 1.8 billion in 2021 at a Compound Annual Growth Rate (CAGR) of 11.2%. The growth of the field can probably be best illustrated by the example of a recent acquisition. Reputed global investment firm Blackstone Infrastructure Partners recently acquired QTS Realty Trust, a large U.S. data center provider, for a staggering sum of approximately $10 billion. This was reportedly one of the largest data center acquisitions in history. One can understand the growth in the data center industry by looking at the explosion of data volumes we have witnessed in recent years. With big data and IoT here to stay, demand is higher than ever in the industry for faster processing and more efficient servers. This has resulted in spectacular revenue generation in the IT infrastructure (server) segment. Server infrastructure expenditure in APAC is likely to cross $37 billion by 2027.

A data center can be defined as a computing facility with enough computing resources and telecommunications tools and equipment including servers, storage systems, databases, hardware devices, software, and applications. Although companies can own and operate data centers privately, the growing trend is for companies to use data centers owned and managed by third-party cloud services providers. This is because, with managed service providers, companies are guaranteed to have all the requisite expertise needed to deal with specialized data center equipment. They can also benefit from the industry experience that MSPs like IT Support Vermont have in dealing with energy, cooling, and disaster recovery requirements and planning for data centers. Traditionally, data centers used to have a large footprint both in terms of space requirements and energy consumption, but the recent trend has been for the industry to adopt the growth of modular data centers that are much smaller in size and built with sustainability in mind that results in much lower energy consumption and carbon emissions.

Data centers provide companies with the potential of more efficient and comprehensive management and governance of their organization. Smaller businesses get the benefit of starting out with enterprise level IT infrastructure made available by data center services that can make a remarkable difference in the pace of their growth. This also enables them to avoid operating with makeshift solutions in other facets of their business. All of these result in a more centralized management from the start and enables a stable and cohesive governance for the entire business.

Managing the diverse aspects of an enterprise can be a challenging task for any business. This is especially true for companies with diverse locations, products and services and even companies that have been forced to adapt to remote work in the aftermath of the pandemic. The result is often that different parts of the company operations lose out on customer engagement. This is where an efficient data center solution can make a world of difference. It can help companies effectively reduce internal operations barriers that impact customer engagement and customer service. Managed hosting services enable an efficient data management and workflow in the organization that, in turn, results in better customer engagement and excellent customer service.

Strategic data center solutions can help companies avail the benefits of economies of scale, efficient data security and higher levels of operational efficiency and productivity. Data center solutions can also be customized as per unique business needs without sacrificing on the efficiency of the overall processes. As businesses continue to grow, they can also leverage the ability for data centers to allocate technical resources on demand as they scale. This proves much more cost-effective than investing in hardware and software provisioning on premise as with data center services, businesses can pay for only what they use and scale down whenever required.

The business storage needs of any company can continuously fluctuate according to demand and also change over the years. This is why companies need innovative ways to manage their data and storage requirements and data center services provide them with just that. By integrating cloud and physical storage capabilities, data centres allow companies more potent ways of meeting increasing data storage demands. As companies continue to collect more data with IOT and big data and their collaboration needs increase, Data center services can meet the demand for innovation in storage technology.

With cyber-attacks and risks growing every day, cyber security has become a top concern for companies across industries. Companies need round-the-clock network and data monitoring and close monitoring of data access in order to stay one step ahead of potential breaches in security. Managed services providers, like IT Outsourcing Vermont, offer data center solutions with much sought after cybersecurity expertise that can be hard to match with on premise teams and solutions. The solutions are highly efficient in detecting risks and alerting the system of breaches well in time to mitigate the impact of the breaches. Third-party managed services providers also specialize in providing exceptional physical security of your equipment and data at their data centers. This includes security features that cover high-grade camera surveillance of the entire data center infrastructure, identity and access management, intruder alarms, physical security personnel and physical security systems. They also provide businesses with highly effective data recovery processes that ensure business continuity even in the direst circumstances. For more information on effective data center management and security, please refer to Managed IT Services Vermont.