DC automation market to surpass $50.2bn by 2034

Author: Joe Peck

As reported in the latest study by Global Market Insights, a market research and consulting company, the data centre automation market is set to grow from its current market value of more than $11.4 billion (£8.47 billion) to over $50.2 billion (£37.3 billion) by 2034.

This remarkable growth is driven by the rising adoption of cloud services, social media platforms, video streaming, and the proliferation of IoT devices across industries.

What’s happening in the market?

As organisations shift towards cloud-based infrastructure and digital storage, the need for efficient and automated data centre operations has become paramount. Automation not only improves operational efficiency but also reduces human errors, ensuring seamless management of vast amounts of data.

With increasing data complexity and volume, businesses are turning to advanced technologies like machine learning (ML), artificial intelligence (AI), and cloud computing to enhance scalability and performance. These technologies optimise system processes, minimise downtime, and support predictive maintenance, allowing companies to stay competitive in a rapidly evolving digital landscape.

Moreover, the growing emphasis on cybersecurity and data protection is pushing organisations to implement automation in data centres, ensuring real-time threat detection and secure data handling.

As more industries adopt hybrid and multi-cloud environments, the demand for data centre automation solutions is expected to surge, paving the way for innovative advancements in automation technologies.

Government initiatives promoting the adoption of digital infrastructure and cloud technologies further strengthen the market, making data centre automation a critical component of modern business strategies.

The data centre automation market is primarily segmented into solutions and services. The solution segment dominated the market with a 60% share, generating $7 billion (£5.2 billion) in 2024.

Automation software helps organisations optimise resource allocation, automate routine tasks, and increase the uptime of data centres, ensuring seamless operations. As businesses strive to enhance operational efficiency, the demand for advanced solutions that enable real-time data management and workload automation continues to rise.

Meanwhile, the service segment is growing rapidly as organisations seek expert guidance and ongoing support in implementing and maintaining automated systems. As technological advancements accelerate, companies rely on expert insights and strategic consulting to maximise the value of their automation investments and ensure long-term success.

In terms of deployment mode, the data centre automation market is divided into on-premises and cloud-based solutions. The cloud segment held a 57% share in 2024, driven by the growing preference for remote accessibility, security features, and flexibility.

Cloud solutions enable seamless access to data from any location through an internet connection, making them ideal for remote teams and individuals working across multiple devices.

With data security becoming a top priority, cloud providers are enhancing their security measures by offering encryption, multi-factor authentication, and real-time threat monitoring to protect sensitive information.

The North American data centre automation market accounted for 35% of the total market share, generating $3 billion (£2.2 billion) in 2024. The rapid adoption of AI, ML, and other advanced technologies across data centres in North America is driving significant growth in the region.

Businesses are increasingly turning to AI-driven automation to enhance operational efficiency, strengthen security, and enable predictive maintenance, contributing to the surging demand for data centre automation solutions.



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