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    US Data Center Outsourcing Infrastructure Utility Services Market

    ID: MRFR/ICT/13364-HCR
    100 Pages
    Garvit Vyas
    September 2025

    US Data Center Outsourcing Infrastructure Utility Services Market Research Report By Service Type (Cloud Services, Managed Hosting Services, Colocation Services, Data Center Migration Services, Disaster Recovery Services), By Deployment Type (Public Cloud, Private Cloud, Hybrid Cloud), By End Use Industry (IT and Telecommunications, BFSI, Healthcare, Retail, Government) and By Operational Model (Capex, Opex, Subscription) - Forecast to 2035.

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    US Data Center Outsourcing Infrastructure Utility Services Market Research Report - Forecast till 2035 Infographic
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    Table of Contents

    US Data Center Outsourcing Infrastructure Utility Services Market Summary

    The US Data Center Outsourcing Infrastructure Utility Services market is projected to grow significantly over the next decade.

    Key Market Trends & Highlights

    US Data Center Outsourcing Infrastructure Utility Services Key Trends and Highlights

    • The market is valued at 16.2 USD Billion in 2024 and is expected to reach 38.4 USD Billion by 2035.
    • This market is anticipated to grow at a compound annual growth rate (CAGR) of 8.14% from 2025 to 2035.
    • The increasing demand for efficient data management solutions is driving market expansion.
    • Growing adoption of cloud computing due to the need for scalable resources is a major market driver.

    Market Size & Forecast

    2024 Market Size 16.2 (USD Billion)
    2035 Market Size 38.4 (USD Billion)
    CAGR (2025-2035) 8.14%

    Major Players

    Dell Technologies, CoreSite Realty, Oracle, CyrusOne, Digital Realty, IBM, Amazon Web Services, Equinix, Microsoft, Rackspace Technology, Google, Alibaba Cloud, NTT Communications, Vantage Data Centers, Hewlett Packard Enterprise

    US Data Center Outsourcing Infrastructure Utility Services Market Trends

    Opportunities in the market are expanding as companies embrace innovations like artificial intelligence, machine learning, and edge computing. These technologies can optimize data management and processing, creating a robust structure for outsourcing services. Moreover, the regulatory environment in the United States continues to evolve, with more emphasis on data protection and compliance, which businesses can leverage by partnering with outsourcing providers that specialize in meeting regulatory requirements. Trends in recent times indicate a growing focus on sustainability and energy efficiency within data centers.

    As concerns about climate change rise, businesses in the United States are keen on adopting green technologies and practices. This shift toward energy-efficient infrastructure can lead to significant cost savings and enhance corporate social responsibility. Furthermore, advancements in infrastructure design and cooling technologies are becoming essential for meeting new environmental standards. Overall, the US market for data center outsourcing is adapting to ongoing changes, presenting both challenges and opportunities for businesses that engage in these services.

    US Data Center Outsourcing Infrastructure Utility Services Market Drivers

    Market Segment Insights

    Data Center Outsourcing Infrastructure Utility Services Market Service Type Insights

    The US Data Center Outsourcing Infrastructure Utility Services Market has seen significant evolution, particularly in its Service Type segmentation, which includes Cloud Services, Managed Hosting Services, Colocation Services, Data Center Migration Services, and Disaster Recovery Services. As businesses increasingly rely on data-driven decisions and operations, Cloud Services have become a key driver for growth, enabling organizations to scale their computing resources and storage flexibly while also optimizing costs. Managed Hosting Services support companies in managing their IT infrastructure effectively, allowing them to focus on core activities without the burden of maintaining physical servers.

    In this highly competitive landscape, Colocation Services provide businesses with the ability to rent space in a data center, which has grown in popularity as organizations seek reliability and enhanced security for their server equipment. Meanwhile, Data Center Migration Services are crucial as many companies look to transition to more efficient infrastructures, ensuring minimal disruption during the relocation of critical data systems. Finally, Disaster Recovery Services cater to the increasing necessity for businesses to protect their data and maintain operations in the face of potential cybersecurity threats or natural disasters, underscoring the importance of resilient infrastructure.

    The evolving technology landscape in the United States, with initiatives from government agencies promoting digital transformation, facilitates considerable opportunities for growth across these segments, while challenges such as data security and compliance continue to shape market dynamics. With the market expanding steadily, the demand for advanced data center solutions likely positions these service types as critical enablers of digital innovation across various industries in the US.

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Data Center Outsourcing Infrastructure Utility Services Market Deployment Type Insights

    The Deployment Type segment of the US Data Center Outsourcing Infrastructure Utility Services Market reflects a diverse landscape characterized by Public Cloud, Private Cloud, and Hybrid Cloud solutions. With the rapid adoption of cloud technologies across various industries, the Public Cloud segment has become increasingly significant due to its cost-effectiveness and scalability, allowing businesses to access resources without the burden of maintaining physical infrastructure. Meanwhile, the Private Cloud offers enhanced security and customized configurations, appealing to sectors like finance and healthcare where data privacy is paramount.

    Hybrid Cloud solutions combine the benefits of both Public and Private Cloud, enabling organizations to optimize their operations through flexibility and resource allocation. The growing trend towards remote work and digital transformation initiatives in the US is a crucial growth driver, as companies seek to modernize their IT infrastructures to remain competitive. As businesses navigate ongoing challenges such as cybersecurity threats and increased data compliance requirements, the strategic deployment of these cloud models provides opportunities to enhance operational efficiency and resilience in an evolving market.

    Current statistics indicate robust investment trends, leading to a more dynamic and responsive Data Center Outsourcing Infrastructure Utility Services Market.

    Data Center Outsourcing Infrastructure Utility Services Market End Use Industry Insights

    The End Use Industry segment of the US Data Center Outsourcing Infrastructure Utility Services Market plays a vital role in the landscape of digital services, supporting various sectors such as IT and Telecommunications, BFSI, Healthcare, Retail, and Government. The IT and Telecommunications sector leads the market due to its increasing demand for data processing and management solutions, driven by the growing reliance on cloud computing and big data analytics. Following closely, the BFSI segment is crucial for enhancing operational efficiency and ensuring data security, with an emphasis on regulatory compliance.

    In the Healthcare sector, there is a notable rise in the adoption of electronic health records and telemedicine, necessitating robust data center infrastructures to manage sensitive information reliably. Additionally, the Retail industry leverages data outsourcing solutions to enhance customer experiences and optimize inventory management, whereas the Government sector increasingly emphasizes data storage solutions to support transparency and data-driven policy-making. Overall, the diverse needs of these industries reinforce the importance of a strong, supportive market infrastructure, contributing to the broader US Data Center Outsourcing Infrastructure Utility Services Market's growth and resilience.

    This segmentation highlights the dynamic interactions among these sectors, revealing significant opportunities for advancements and innovation in service delivery.

    Data Center Outsourcing Infrastructure Utility Services Market Operational Model Insights

    The Operational Model segment of the US Data Center Outsourcing Infrastructure Utility Services Market plays a critical role in shaping the overall landscape of infrastructure delivery and financial structuring in the industry. By focusing on various approaches such as Capital Expenditure (Capex), Operational Expenditure (Opex), and Subscription models, organizations can optimize their resource allocation while ensuring flexibility in managing operational costs.

    The Capex model, which involves significant upfront investments, is favored by businesses looking for long-term asset ownership, while Opex models provide a more fluid approach to expenses, allowing companies to pay for services as they use them, aligning costs with cash flow. Subscription-based models have gained traction, particularly among startups and SMEs, as they lower entry barriers and enable easy scalability without large initial investments. The increasing demand for cost-efficient solutions and the need for enhanced operational efficiency are driving these models, creating opportunities for businesses to innovate and adapt to market dynamics.

    Overall, the Operational Model segment continues to redefine how data center services are delivered and potentially influences the framework of the broader US Data Center Outsourcing Infrastructure Utility Services Market.

    Get more detailed insights about US Data Center Outsourcing Infrastructure Utility Services Market Research Report - Forecast till 2035

    Regional Insights

    Key Players and Competitive Insights

    The competitive insights of the US Data Center Outsourcing Infrastructure Utility Services Market reflect a dynamic and rapidly evolving landscape characterized by increased demand for scalable and efficient data management solutions. Factors such as the rise of cloud computing, the proliferation of big data analytics, and the growing emphasis on digital transformation are driving businesses to adopt outsourcing strategies for their data center operations. As organizations seek to optimize performance, reduce capital expenditures, and enhance flexibility, they are turning to providers that offer comprehensive infrastructure utility services.

    The market is populated by a blend of established companies and emerging players, each vying for market share through innovative service offerings, strategic partnerships, and advancements in technology infrastructure to meet the needs of various sectors including retail, healthcare, and finance. Examining Dell Technologies within this market reveals its formidable presence backed by its extensive portfolio of services and solutions tailored to data center infrastructure. The company offers an impressive suite of services that encompass IT infrastructure, cloud solutions, and managed services specifically designed for data center outsourcing.

    Dell Technologies has garnered a reputation for reliability, performance, and innovation, leading to a strong customer base across multiple industries in the US. Its ability to integrate hardware with software solutions enhances operational efficiencies and provides clients with streamlined processes. The company's investments in research and development aid in maintaining its competitive edge, enabling it to address emerging market demands while consistently delivering high-quality service to its customers. CoreSite Realty operates as a key player in the US Data Center Outsourcing Infrastructure Utility Services Market, specializing in data center solutions that prioritize connectivity and efficient management.

    The company offers a range of services including colocation, interconnection, and cloud services, catering to enterprises looking to enhance their digital infrastructure. CoreSite's market presence is strengthened by strategically located data centers across key metropolitan areas in the US, facilitating low-latency connections and robust service offerings. Its strengths lie in its customer-centric approach, reliability in service delivery, and a strong emphasis on security, which is critical for data-sensitive industries.

    CoreSite has engaged in strategic mergers and acquisitions to bolster its infrastructure capabilities and expand its service offerings, positioning itself as a trusted partner for businesses seeking comprehensive data center solutions in an increasingly complex market landscape.

    Key Companies in the US Data Center Outsourcing Infrastructure Utility Services Market market include

    Industry Developments

    The US Data Center Outsourcing Infrastructure Utility Services Market has seen significant developments recently. In October 2023, Digital Realty announced the expansion of its data center facilities in key metropolitan areas to meet rising demand. Concurrently, Equinix has revealed plans for new data centers aimed at improving connectivity and sustainability standards. Notable merger activity includes the acquisition of CyrusOne by KKR, finalized in September 2023, which aims to enhance operational efficiency and service delivery. In technological advancements, IBM has been integrating artificial intelligence capabilities into its cloud-based infrastructure solutions to enhance service flexibility.

    Meanwhile, Amazon Web Services is advancing its sustainability initiatives within data center operations, focusing on renewable energy commitments. Recent market valuations have indicated a consistent upward trajectory, attributed to the escalating need for cloud services and remote work infrastructure, with valuations collectively surpassing $300 billion as of early 2023, reflecting a robust growth forecast. Over the last couple of years, the market has diversified with new entrants and investments in data-driven technologies, signaling a transformative phase in infrastructure utility services across the United States.

    Market Segmentation

    Data Center Outsourcing Infrastructure Utility Services Market Service Type Outlook

    • Public Cloud
    • Private Cloud
    • Hybrid Cloud

    Data Center Outsourcing Infrastructure Utility Services Market Deployment Type Outlook

    • IT and Telecommunications
    • BFSI
    • Healthcare
    • Retail
    • Government

    Data Center Outsourcing Infrastructure Utility Services Market End Use Industry Outlook

    • Capex
    • Opex
    • Subscription

    Data Center Outsourcing Infrastructure Utility Services Market Operational Model Outlook

    • Capex
    • Opex
    • Subscription

    Report Scope

    Report Attribute/Metric Source: Details
    MARKET SIZE 2018 52.71(USD Billion)
    MARKET SIZE 2024 57.51(USD Billion)
    MARKET SIZE 2035 122.38(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 7.106% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Interxion, Dell Technologies, Flexential, Oracle, Cisco, Alibaba, Digital Realty, Equinix, IBM, RagingWire, Microsoft, Google, Amazon, Hewlett Packard Enterprise, CoreSite
    SEGMENTS COVERED Components, User Type, Deployment, End User
    KEY MARKET OPPORTUNITIES Edge computing expansion, Energy-efficient technologies, Hybrid cloud adoption, AI-driven infrastructure management, Enhanced data security solutions
    KEY MARKET DYNAMICS cloud adoption, energy efficiency demands, increased data consumption, regulatory compliance, edge computing expansion
    COUNTRIES COVERED US

    Market Highlights

    Author
    Garvit Vyas
    Analyst

    Explore the profile of Garvit Vyas, one of our esteemed authors at Market Research Future, and access their expert research contributions in the field of market research and industry analysis

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    FAQs

    What is the projected market size of the US Data Center Outsourcing Infrastructure Utility Services Market by 2035?

    By 2035, the US Data Center Outsourcing Infrastructure Utility Services Market is expected to be valued at 38.42 USD Billion.

    What was the market value of the US Data Center Outsourcing Infrastructure Utility Services Market in 2024?

    In 2024, the US Data Center Outsourcing Infrastructure Utility Services Market was valued at 16.25 USD Billion.

    What is the expected compound annual growth rate (CAGR) for the US Data Center Outsourcing Infrastructure Utility Services Market from 2025 to 2035?

    The expected CAGR for the market from 2025 to 2035 is 8.138 percent.

    Which service type is expected to dominate the market by 2035?

    Cloud Services is projected to dominate the market with a value of 12.0 USD Billion by 2035.

    Who are some of the major players in the US Data Center Outsourcing Infrastructure Utility Services Market?

    Major players in the market include Dell Technologies, IBM, Amazon Web Services, and Digital Realty.

    What is the expected market value for Managed Hosting Services in 2035?

    Managed Hosting Services is expected to reach a market value of 8.5 USD Billion by 2035.

    How much is the Colocation Services segment valued at in 2024?

    Colocation Services is valued at 4.0 USD Billion in the year 2024.

    What market value is projected for Disaster Recovery Services by 2035?

    Disaster Recovery Services is projected to reach a market value of 3.92 USD Billion by 2035.

    What growth opportunities exist within the US Data Center Outsourcing Infrastructure Utility Services Market?

    Several growth opportunities exist in emerging technologies, increasing data volumes, and demand for cloud services.

    What are the projected market challenges for the US Data Center Outsourcing Infrastructure Utility Services Market?

    The market faces challenges like competition among key players, regulatory compliance, and evolving technology requirements.

    1. EXECUTIVE SUMMARY
    2. Market Overview
    3. Key Findings
    4. Market Segmentation
    5. Competitive Landscape
    6. Challenges and Opportunities
    7. Future Outlook
    8. MARKET INTRODUCTION
    9. Definition
    10. Scope of the study
    11. Research Objective
    12. Assumption
    13. Limitations
    14. RESEARCH METHODOLOGY
    15. Overview
    16. Data Mining
    17. Secondary Research
    18. Primary Research
    19. Primary Interviews and Information Gathering Process
    20. Breakdown of Primary Respondents
    21. Forecasting Model
    22. Market Size Estimation
    23. Bottom-Up Approach
    24. Top-Down Approach
    25. Data Triangulation
    26. Validation
    27. MARKET DYNAMICS
    28. Overview
    29. Drivers
    30. Restraints
    31. Opportunities
    32. MARKET FACTOR ANALYSIS
    33. Value chain Analysis
    34. Porter's Five Forces Analysis
    35. Bargaining Power of Suppliers
    36. Bargaining Power of Buyers
    37. Threat of New Entrants
    38. Threat of Substitutes
    39. Intensity of Rivalry
    40. COVID-19 Impact Analysis
    41. Market Impact Analysis
    42. Regional Impact
    43. Opportunity and Threat Analysis
    44. US Data Center Infrastructure Market, BY Components (USD Billion)
    45. Hardware
    46. Software
    47. Service
    48. US Data Center Infrastructure Market, BY User Type (USD Billion)
    49. Small & Medium-Sized Enterprises
    50. Large-Scale Enterprises
    51. US Data Center Infrastructure Market, BY Deployment (USD Billion)
    52. On-cloud
    53. On-premises
    54. US Data Center Infrastructure Market, BY End User (USD Billion)
    55. BFSI
    56. IT & Telecom
    57. Retail
    58. Healthcare
    59. Competitive Landscape
    60. Overview
    61. Competitive Analysis
    62. Market share Analysis
    63. Major Growth Strategy in the Data Center Infrastructure Market
    64. Competitive Benchmarking
    65. Leading Players in Terms of Number of Developments in the Data Center Infrastructure Market
    66. Key developments and growth strategies
    67. New Product Launch/Service Deployment
    68. Merger & Acquisitions
    69. Joint Ventures
    70. Major Players Financial Matrix
    71. Sales and Operating Income
    72. Major Players R&D Expenditure. 2023
    73. Company Profiles
    74. Interxion
    75. Financial Overview
    76. Products Offered
    77. Key Developments
    78. SWOT Analysis
    79. Key Strategies
    80. Dell Technologies
    81. Financial Overview
    82. Products Offered
    83. Key Developments
    84. SWOT Analysis
    85. Key Strategies
    86. Flexential
    87. Financial Overview
    88. Products Offered
    89. Key Developments
    90. SWOT Analysis
    91. Key Strategies
    92. Oracle
    93. Financial Overview
    94. Products Offered
    95. Key Developments
    96. SWOT Analysis
    97. Key Strategies
    98. Cisco
    99. Financial Overview
    100. Products Offered
    101. Key Developments
    102. SWOT Analysis
    103. Key Strategies
    104. Alibaba
    105. Financial Overview
    106. Products Offered
    107. Key Developments
    108. SWOT Analysis
    109. Key Strategies
    110. Digital Realty
    111. Financial Overview
    112. Products Offered
    113. Key Developments
    114. SWOT Analysis
    115. Key Strategies
    116. Equinix
    117. Financial Overview
    118. Products Offered
    119. Key Developments
    120. SWOT Analysis
    121. Key Strategies
    122. IBM
    123. Financial Overview
    124. Products Offered
    125. Key Developments
    126. SWOT Analysis
    127. Key Strategies
    128. RagingWire
    129. Financial Overview
    130. Products Offered
    131. Key Developments
    132. SWOT Analysis
    133. Key Strategies
    134. Microsoft
    135. Financial Overview
    136. Products Offered
    137. Key Developments
    138. SWOT Analysis
    139. Key Strategies
    140. Google
    141. Financial Overview
    142. Products Offered
    143. Key Developments
    144. SWOT Analysis
    145. Key Strategies
    146. Amazon
    147. Financial Overview
    148. Products Offered
    149. Key Developments
    150. SWOT Analysis
    151. Key Strategies
    152. Hewlett Packard Enterprise
    153. Financial Overview
    154. Products Offered
    155. Key Developments
    156. SWOT Analysis
    157. Key Strategies
    158. CoreSite
    159. Financial Overview
    160. Products Offered
    161. Key Developments
    162. SWOT Analysis
    163. Key Strategies
    164. References
    165. Related Reports
    166. US Data Center Infrastructure Market SIZE ESTIMATES & FORECAST, BY COMPONENTS, 2019-2035 (USD Billions)
    167. US Data Center Infrastructure Market SIZE ESTIMATES & FORECAST, BY USER TYPE, 2019-2035 (USD Billions)
    168. US Data Center Infrastructure Market SIZE ESTIMATES & FORECAST, BY DEPLOYMENT, 2019-2035 (USD Billions)
    169. US Data Center Infrastructure Market SIZE ESTIMATES & FORECAST, BY END USER, 2019-2035 (USD Billions)
    170. PRODUCT LAUNCH/PRODUCT DEVELOPMENT/APPROVAL
    171. ACQUISITION/PARTNERSHIP
    172. MARKET SYNOPSIS
    173. US DATA CENTER INFRASTRUCTURE MARKET ANALYSIS BY COMPONENTS
    174. US DATA CENTER INFRASTRUCTURE MARKET ANALYSIS BY USER TYPE
    175. US DATA CENTER INFRASTRUCTURE MARKET ANALYSIS BY DEPLOYMENT
    176. US DATA CENTER INFRASTRUCTURE MARKET ANALYSIS BY END USER
    177. KEY BUYING CRITERIA OF DATA CENTER INFRASTRUCTURE MARKET
    178. RESEARCH PROCESS OF MRFR
    179. DRO ANALYSIS OF DATA CENTER INFRASTRUCTURE MARKET
    180. DRIVERS IMPACT ANALYSIS: DATA CENTER INFRASTRUCTURE MARKET
    181. RESTRAINTS IMPACT ANALYSIS: DATA CENTER INFRASTRUCTURE MARKET
    182. SUPPLY / VALUE CHAIN: DATA CENTER INFRASTRUCTURE MARKET
    183. DATA CENTER INFRASTRUCTURE MARKET, BY COMPONENTS, 2025 (% SHARE)
    184. DATA CENTER INFRASTRUCTURE MARKET, BY COMPONENTS, 2019 TO 2035 (USD Billions)
    185. DATA CENTER INFRASTRUCTURE MARKET, BY USER TYPE, 2025 (% SHARE)
    186. DATA CENTER INFRASTRUCTURE MARKET, BY USER TYPE, 2019 TO 2035 (USD Billions)
    187. DATA CENTER INFRASTRUCTURE MARKET, BY DEPLOYMENT, 2025 (% SHARE)
    188. DATA CENTER INFRASTRUCTURE MARKET, BY DEPLOYMENT, 2019 TO 2035 (USD Billions)
    189. DATA CENTER INFRASTRUCTURE MARKET, BY END USER, 2025 (% SHARE)
    190. DATA CENTER INFRASTRUCTURE MARKET, BY END USER, 2019 TO 2035 (USD Billions)
    191. BENCHMARKING OF MAJOR COMPETITORS

    US Data Center Infrastructure Market Segmentation

     

    • Data Center Infrastructure Market By Components (USD Billion, 2019-2035)

      • Hardware
      • Software
      • Service

     

    • Data Center Infrastructure Market By User Type (USD Billion, 2019-2035)

      • Small & Medium-Sized Enterprises
      • Large-Scale Enterprises

     

    • Data Center Infrastructure Market By Deployment (USD Billion, 2019-2035)

      • On-cloud
      • On-premises

     

    • Data Center Infrastructure Market By End User (USD Billion, 2019-2035)

      • BFSI
      • IT & Telecom
      • Retail
      • Healthcare

     

     

     

     

     

     

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