target audience: TECH SUPPLIER Publication date: Apr 2023 - Document type: Market Perspective - Doc Document number: # US50449123
Cloud Colocation and Sustainability: Green Choices Facing Service Providers in 2023
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Abstract
This IDC Market Perspective explores the pressures, challenges, and choices facing colocation service providers as they progress with their datacenter sustainability strategies. Colocation providers face a confluence of pressures that influence their environmental sustainability strategies. These include legislation and government regulation, as well as changing customer requirements, investor sentiment, and the need to stay competitive in a dynamic market. A successful sustainability strategy for colocation providers should address datacenter infrastructure and design, as well as the resources on which datacenters depend, including land, energy, and water. It should also extend to a colocation provider's wider ecosystem of supply chain partners. The evolving need for edge computing may offer colocation providers opportunities to meet their own sustainability targets and those of their competitors.
"Data from IDC's Cloud Pulse Survey shows that when signing new contracts with cloud or IT service providers — including colocation providers — end-user organizations evaluate those providers according to a diverse range of sustainability-related requirements," said Chris Drake, senior research director, BuyerView Research at IDC. "These requirements include the extent to which suppliers operate green datacenters that make use of things such as renewable energy, free natural air cooling, and water reuse/recycling."