Intenet Data Center in Chinaa

The 2019 global pandemic has increased demands for data centers as cloud computing gained momentum. China is home to 137 data centers, with its market valued at USD$13.01 billion in 2019 and predicted to increase to USD$36.18 billion by 2025, according to a report by ReportLinker. The biggest players in the Chinese data center industry are China Telecom, China Mobile, and China Unicom, with China Telecom owning more than 50% of the industry’s market share in China.

Does Google have data centers in China?

Google does not have data centers in China and has recently shelved their Isolated Region project, which includes building data centers in China to cater to the Chinese market. Amazon Web Services and Microsoft Azure, both of which are Google’s competitor in this area, have joint ventures with Beijing Sinnet Technology Co. Ltd. and 21Vianet respectively to operate their data centers in China, in compliance with China’s telecom regulations.

Where is the largest data center in the world?

China Telecom owns the largest data center in the world, which is in Hohhot, China.  Boasting at 10.76 million square feet space, the data center located in Inner Mongolia Information Park also hosts a cloud computing data center, call centers, warehouse, offices, as well as living quarters for staff.

The two main reasons why this data center is build in Inner Mongolia are: (1) its location in Beijing-Tianjin economic circle radiation belt, which is a geographically convenient location for data transmission and information services, and (2) the average temperature of 6 °C means the data center receives free air cooling for up to eight months a year, lowering power consumption for server and other computer equipment cooling purposes.

Image from World’s Top Data Centers

Are Data Centers dead?

Data centers are not dead, especially not in China. With Alibaba Cloud investing USD$28.7 billion in construction of data centers and other networking infrastructure in 2020, China’s data center market will only expand in the years to come.

Perhaps what is dying is the practice of having a data center on prem. As cloud services grow more sophisticated and internet connections become more stable with higher speeds, storing one’s data on prem may slowly phase out. Moreover, renting of rack space from colocation services to house one’s server and other computer equipment is more accessible and budget-friendly for small and medium enterprises. Costs for building and maintaining data centers can be quite high.

What company owns the most data centers?

While some companies may own a great number of data centers, others may have more server cabinets as their data centers are larger with more square feet space or own a larger market share in the industry. For example, Equinix owns the largest global colocation data center market share at 11.1% has 210 data centers whereas China Telecom places third in global colocation data center market share at 6.1% but owns approximately 278 data centers.