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Cloud Data Center Capex Forecasted for Higher Growth in 2020 Despite Market Challenges, According to Dell'Oro GroupREDWOOD CITY, Calif., March 25, 2020 /PRNewswire/ -- According to a recently published report from Dell'Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, Cloud data center capex is forecasted for higher growth despite market challenges. The Tier 1 Cloud service providers are due to resume spending on servers following a pause in 2019. "Despite of recent market uncertainties, we anticipate the Tier 1 Cloud service providers to increase data center capex as planned, primarily on servers, as the sector seeks to resume capacity expansion," said Baron Fung, Research Director at Dell'Oro Group. "We project a steep decline in enterprise IT spending due to severe near-term supply and demand disruptions from COVID-19. Enterprises will seek to conserve capital during these uncertain times, and resort to the Cloud to satisfy near-term demand for digital services. We expect that the Cloud service providers will need to expand their infrastructure at a measured pace to capture this incremental demand," explained Fung. Following are additional highlights from the 4Q 2019 Cloud Data Center Capex Quartely Report:
About the Report About Dell'Oro Group View original content to download multimedia:http://www.prnewswire.com/news-releases/cloud-data-center-capex-forecasted-for-higher-growth-in-2020-despite-market-challenges-according-to-delloro-group-301029341.html SOURCE Dell'Oro Group |