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Data Center Colocation & Managed Hosting Market to Grow by USD 306.2 Billion (2025-2029) with Rising Demand for Colocation Facilities, Report on How AI is Redefining Market Landscape – Technavio

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NEW YORK, Feb. 6, 2025 /PRNewswire/ — Report with market evolution powered by AI – The global data center colocation and managed hosting services market size is estimated to grow by USD 306.2 billion from 2025-2029, according to Technavio. The market is estimated to grow at a CAGR of  18.5%  during the forecast period. Rising demand for data center colocation facilities is driving market growth, with a trend towards growing investments in hyper-scale data centers by colocation providers. However, high power consumption in data centers  poses a challenge. Key market players include BT Group Plc, Chunghwa Telecom Co. Ltd., Cogent Communications Holdings Inc., CoreSite Realty Corp., Cyfuture, CyrusOne LLC, Cyxtera Technologies Inc., Digital Realty Trust Inc., Equinix Inc., Fidelity National Information Services Inc., Flexential Corp., Internap Holding LLC, KDDI Corp., Lumen Technologies Inc., Navisite LLC, NTT DATA Corp., phoenixNAP LLC, Rackspace Technology Inc., Sabey Corp., and Verizon Communications Inc..

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Data Center Colocation And Managed Hosting Services Market Scope

Report Coverage

Details

Base year

2024

Historic period

2019 – 2023

Forecast period

2025-2029

Growth momentum & CAGR

Accelerate at a CAGR of 18.5%

Market growth 2025-2029

USD 306.2 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

15.2

Regional analysis

North America, Europe, APAC, Middle East and Africa, and South America

Performing market contribution

North America at 45%

Key countries

US, Canada, China, Germany, UK, India, France, Japan, Italy, and Spain

Key companies profiled

BT Group Plc, Chunghwa Telecom Co. Ltd., Cogent Communications Holdings Inc., CoreSite Realty Corp., Cyfuture, CyrusOne LLC, Cyxtera Technologies Inc., Digital Realty Trust Inc., Equinix Inc., Fidelity National Information Services Inc., Flexential Corp., Internap Holding LLC, KDDI Corp., Lumen Technologies Inc., Navisite LLC, NTT DATA Corp., phoenixNAP LLC, Rackspace Technology Inc., Sabey Corp., and Verizon Communications Inc.

Market Driver

In today’s digital age, businesses are increasingly relying on data center colocation and managed hosting services to manage their IT infrastructure. Trends such as cloud computing, cybersecurity, remote work solutions, artificial intelligence, and the Internet of Things (IoT) are driving the expansion of this market. With the rise of hybrid work models and distributed teams, data security and endpoint security have become top priorities. IT executives are seeking operational efficiency, HIPAA compliance, and business continuity through DCaaS providers like Rackspace Technology and Google Cloud. Pricing pressures and differentiation are key factors in the competitive market ecosystem, with customer experiences and client relationships offering a competitive edge. Verticals such as IT & telecom, manufacturing, retail & consumer goods, healthcare & life sciences, energy & utilities, media & entertainment, and others are leveraging these services for overhead cost savings and digital services. The industry is also facing cyber threats, data leakage, and cyber hardening, making network monitoring and availability essential. The metaverse concept and online customer experiences are also driving growth in the e-commerce sector, with retailers like eBay and Amazon leading the way. Mobile shopping apps and transaction history are becoming the new cashier, making data center security a must-have for businesses. 

The data center colocation and managed hosting services market are experiencing significant growth due to increasing investments in hyper-scale data centers. With the advent of the smart revolution, the creation of vast amounts of data necessitates efficient processing. Hyper-scale data centers are becoming a priority to manage this data influx. Equinix Inc., among other service providers, has announced the construction of such data centers in May 2022. This trend is expected to continue, fueled by the development of smart cities, smart grids, and smart homes. The demand for managing the information processing needs of our connected world is driving the expansion of hyper-scale data centers. 

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Market Challenges

In today’s digital age, businesses face numerous challenges in managing their data and IT infrastructure. Cloud computing has disrupted traditional on-premises infrastructure, leading to the growth of Data Center Colocation and Managed Hosting Services. However, cybersecurity remains a top concern, with cyber threats, data leakage, and attack surfaces increasing. Remote work solutions and distributed teams require endpoint security and network monitoring. IT executives must differentiate their offerings and provide excellent customer experiences to maintain client relationships and gain a competitive edge. Industries like IT & telecom, manufacturing, retail & consumer goods, healthcare & life sciences, energy & utilities, media & entertainment, and verticals, are expanding their use of Data Center Colocation and Managed Hosting Services for operational efficiency and overhead cost savings. Pricing pressures, HIPAA compliance, and the metaverse concept add to the complexity of this market ecosystem. Cybersecurity professionals are essential in addressing cyber threats, implementing cyber hardening, and ensuring business continuity and availability. DCaaS providers like Rackspace Technology and Google Cloud offer solutions to help businesses navigate these challenges and stay ahead of the curve. The retail industry, including eBay, Amazon, and mobile shopping apps, generates vast amounts of transaction history. Ensuring data security and privacy is crucial for customer trust and regulatory compliance. Data center solutions enable businesses to meet these challenges while focusing on their core competencies. In conclusion, Data Center Colocation and Managed Hosting Services offer businesses the flexibility, security, and efficiency they need to thrive in today’s digital landscape. By addressing challenges such as cybersecurity, data management, and operational efficiency, these services provide a competitive edge and enable excellent customer experiences.The global shift towards cloud computing is driving significant growth in the Data Center Colocation and Managed Hosting Services Market. Organizations, particularly SMEs and start-ups, are attracted to cloud solutions due to their cost-effective nature. Cloud services offer scalability, eliminating the need for businesses to invest heavily in their own data centers and the associated high capital expenditure (CAPEX) and operating expenditure (OPEX). Large enterprises also benefit from cloud services by being able to scale their workloads as needed, reducing their overall IT infrastructure costs. The implementation of cloud-based software is quicker than traditional on-premises solutions, making it an attractive option for businesses seeking to streamline their IT operations.

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Segment Overview 

This data center colocation and managed hosting services market report extensively covers market segmentation by  

End-userBFSIHealthcareE-commerceTelecommunicationOthersTypeWholesaleRetailGeographyNorth AmericaEuropeAPACMiddle East And AfricaSouth America

1.1 BFSI-  The banking and financial services sector (BFSI) is experiencing significant growth in m-commerce and e-commerce activities in North America, Europe, and emerging economies like India and China in APAC. Strict regulations, such as the EU’s General Data Protection Regulation (GDPR), govern the handling of sensitive financial data, including customer information and transaction details. BFSI companies, including Goldman Sachs, JPMorgan Chase and Co., and Morgan Stanley, require optimal uptime, security, connectivity, and data integrity for their IT infrastructure. Traditional data center ownership poses high operating costs, hindering business expansion. To mitigate these challenges, BFSI firms are increasingly outsourcing colocation space from vendors or leasing servers from managed hosting service providers. This shift towards outsourcing is anticipated to fuel the growth of the BFSI segment in the data center colocation and managed hosting services market during the forecast period.

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Research Analysis

The Data Center Colocation and Managed Hosting Services market is experiencing significant growth due to the increasing demand for secure and efficient data management solutions. With the rise of remote work and hybrid work models, the need for reliable and secure data center services has become essential for businesses of all sizes. Cybersecurity is a top priority, with data security, endpoint security, and network monitoring becoming crucial components of any data center solution. Artificial intelligence and automation are also driving innovation in the market, enabling businesses to optimize their operations and improve customer experiences. IoT devices are generating vast amounts of data, requiring and scalable data center solutions. Differentiation through superior customer experiences and strong client relationships is key to gaining a competitive edge in the market. Deployment models, such as public, private, and hybrid, cater to various industry needs, including HIPAA compliance for healthcare and pharmaceuticals. Operational efficiency and IT security professionals are also critical factors in the success of data center colocation and managed hosting services. The industry’s expansion is expected to continue as more enterprises seek to optimize their data management and improve their competitive position.

Market Research Overview

In the digital age, businesses are increasingly relying on data center colocation and managed hosting services to manage their IT infrastructure and deliver superior online customer experiences. Cloud computing, cybersecurity, data management, and remote work solutions are driving the market’s expansion, with artificial intelligence, automation, IoT devices, and hybrid work models also playing key roles. IT security professionals are in high demand to protect against cyber threats, data leakage, and malware, while pricing pressures and differentiation are key challenges. The market ecosystem includes IT & telecom, manufacturing, retail & consumer goods, healthcare & life sciences, energy & utilities, media & entertainment, and various verticals. Operational efficiency, HIPAA compliance, and regulatory requirements are important considerations for healthcare and pharmaceuticals. Enterprises are turning to Data Center as a Service (DCaaS) to reduce overhead costs and improve availability, while IT executives seek a competitive edge through client relationships and service-level agreements. The metaverse concept and industry expansion bring new opportunities, but also increased attack surfaces and cybersecurity risks. Physical infrastructure, endpoint security, network monitoring, and business continuity are essential components of any data center strategy.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

End-userBFSIHealthcareE-commerceTelecommunicationOthersTypeWholesaleRetailGeographyNorth AmericaEuropeAPACMiddle East And AfricaSouth America

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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Intesa Communications Group Named ‘Customers First’ Winner in San Diego Regional Chamber of Commerce 2026 Small Business Awards

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The award-winning, women-owned San Diego public relations and government affairs firm was recognized for exceptional client service that has fueled 14 years of growth

SAN DIEGO, July 21, 2026 /PRNewswire/ — Intesa Communications Group, a leading San Diego public relations and government affairs firm, has been named the “Customers First” winner in the San Diego Regional Chamber of Commerce’s 2026 Small Business Awards. Announced July 9 at the Chamber’s annual Small Business Awards event, the recognition honors the small business whose commitment to customer service most clearly sets it apart from the competition.

Founded in 2012, the certified women-owned San Diego firm has grown from a boutique agency into one of the region’s leading public relations and government affairs firms. Intesa has doubled its team over the past two years, sustained three consecutive years of double-digit revenue growth and expanded its client portfolio by 26% last year. Intesa provides public relations, strategic communications, and government affairs services for a wide range of organizations, including San Diego State University, SeaWorld San Diego, Expedia Group, H.G. Fenton Company, San Diego Foundation, San Diego Workforce Partnership, and SBCS.

“This award belongs to every member of our team and to the clients who trust us with their most valuable asset: their reputation,” said Margie Newman Tsay, founding partner of Intesa Communications Group. “Our clients stay with us for years because we show up prepared, fully invested and ready for the moments that matter most. Being recognized for putting customers first is the highest compliment our business community can pay us.”

Intesa’s client-first approach has produced measurable results across public relations and government affairs efforts throughout the region. For example, in its first month working with the Jacobs & Cushman San Diego Food Bank, the firm helped reimagine the organization’s summer food drive messaging, generating more than 15 million impressions and helping deliver 489,026 pounds of food and $344,505 in donations — the equivalent of more than one million meals and a 175% increase from the previous year. Similarly, Logan Heights Community Development Corporation credits the firm with an 81:1 return on investment after Intesa parachuted in to help the nonprofit promote the California Mortgage Relief Program.

“Small businesses are the heart of our economy: fueling innovation, creating jobs and defining the character of communities across the San Diego region,” said Chris Cate, president and CEO of the Chamber. “We celebrate the resilience, ingenuity and community impact of our small business leaders. They are the very spirit behind our purpose to champion business and empower leaders.”

The Chamber award is as much a reflection of Intesa’s clients as it is the firm itself. The opportunity to partner with organizations doing meaningful work across the region is what makes recognition like this possible. True to form, the Intesa team plans to mark the win by thanking the clients behind the work.

“We call ourselves dot connectors, and this award is what that looks like in practice,” said Maddy Kilkenny, partner at Intesa Communications Group, who leads the firm’s government affairs practice. “Whether our team of 10 people is helping a client navigate a policy decision at City Hall or a story on the front page of the newspaper, we aim to leave them stronger and more confident than before. Hearing our clients say we deliver on that is the best win of all.”

According to the Chamber’s award requirements, businesses with 100 or fewer employees were eligible for nomination. They were voted on by a panel of chamber members, who reviewed the nominations and selected the winners of all four categories.

The recognition adds to more than 60 awards Intesa has earned for excellence in public relations, strategic communications, and public affairs, including honors from PR News, the Public Relations Society of America, PR Daily, the International Association of Business Communicators, the San Diego Business Journal (SDBJ), MARCOM, and the American Marketing Association, among others. It also comes on the heels of two Intesa team members, Emily Alvarenga and Margaret Lutz Chantung, recently receiving SDBJ’s “40 Under 40” and “Indispensable” awards, respectively.

For more information about Intesa Communications Group, visit www.intesacom.com.

About Intesa Communications Group
Intesa Communications Group is a certified women-owned San Diego public relations and government affairs firm that helps leaders communicate and advocate with confidence. Since 2012, Intesa has partnered with the region’s trusted leaders and organizations, providing strategic communications and public affairs counsel on high-stakes issues at the intersection of reputation, policy and public perception. The firm’s work has earned more than 60 industry awards across 53 recognized client campaigns, including the San Diego Regional Chamber of Commerce “Customers First” 2026 award. Learn more at www.intesacom.com.

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SOURCE Intesa Communications Group

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The Inner Circle acknowledges Shankari Thiagarajan as Pinnacle Professional of The Year

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HOUSTON, July 21, 2026 /PRNewswire/ — Prominently featured in The Inner Circle, Shankari Thiagarajan is acknowledged as a Pinnacle Professional of The Year for her contributions to Information Technology and Agile Delivery.     

Shankari Thiagarajan has established a distinguished career in information technology project and program management, recognized for her expertise in agile delivery, digital transformation, and cross functional leadership across multiple industries. Currently serving as project manager and scrum master at Astellas Pharma Inc., she oversees agile delivery initiatives supporting global life science programs.

With more than 15 years of experience spanning technology and pharmaceutical sectors, Ms. Thiagarajan has developed a reputation for leading complex implementations and driving operational efficiency. Her expertise includes agile methodologies, project and delivery management, product ownership, healthcare IT, telecom and network optimization, financial services modernization, retail technology upgrades, and GIS and digital mapping solutions.

Ms. Thiagarajan earned a Master of Business Administration in Organizational Leadership from Campbellsville University, a Master of Science in Information Systems from Virginia Tech, and a Bachelor of Engineering in Information Technology from Jawaharlal Nehru Technological University College of Engineering Hyderabad.

Throughout her career, she has contributed to major organizations across a wide range of industries. Her accomplishments include leading agile transformations at Cigna, overseeing retail technology upgrades at Walmart, managing large scale telecom transformation initiatives at T Mobile and Verizon, and modernizing financial platforms at Security Finance. She also contributed to the early development of Google Maps during her tenure at Google India, advancing to team lead within a year.

In addition to her corporate achievements, Ms. Thiagarajan is the creator of the YouTube channel My Experiments with Life – #Positivity #Learning, launched in 2023. Through this platform, she shares motivational content and insights focused on personal growth, technology, spirituality, and lifelong learning.

Her professional accomplishments have been recognized through honors including Marquis Who’s Who 2026, a featured podcast interview with Jim Masters on Close Up TV hosted across Apple Radio, Spotify, and iHeart., recognition in The National Law Review & EIN Presswire, and a certificate of appreciation from Virginia Tech for academic excellence and community involvement.

Outside of her professional work, Ms. Thiagarajan enjoys creating motivational YouTube content, exploring technology and spirituality, listening to contemporary music, and pursuing philanthropic and educational interests. She credits her strong work ethic and determination to the example set by her parents.

Looking ahead, she plans to continue advancing her leadership capabilities and pursue executive level opportunities that allow her to make significant contributions within the information technology sector.

Guided by a philosophy rooted in courage, persistence, and continuous learning, Ms. Thiagarajan remains committed to professional growth while inspiring others to pursue excellence and self-improvement.

Contact: Katherine Green, 516-825-5634, editorialteam@continentalwhoswho.com

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SOURCE The Inner Circle

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University of Phoenix Leaders Present at Building Blackboard Together 2026

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Presentations explored learning technology, accessibility and online pedagogy as higher education adapts to an AI-enabled future

PHOENIX, July 21, 2026 /PRNewswire/ — University of Phoenix leaders shared insights on artificial intelligence, accessibility, online learning and student support at Building Blackboard Together 2026, Blackboard’s flagship user conference, held July 13-15 in Dallas, Texas. The conference brought together educators, institutional leaders and industry experts to explore innovations, technologies and emerging practices shaping the future of teaching and learning.

Representing University of Phoenix were Marc Booker, Ph.D., vice provost of strategy; Kelly Hermann, vice president of Accessibility and Student Affairs; and Erin Amsden, group product manager. Through presentations and panel discussions, the leaders shared perspectives on responsible AI adoption, accessibility leadership, student engagement and the evolving role of learning technologies in supporting institutional goals and student success.

“Building Blackboard Together provides an opportunity to engage with peers across higher education who are navigating many of the same opportunities and challenges around technology, accessibility and learning mobility,” said Dr. Booker. “These conversations help advance practical approaches for supporting learners while thoughtfully integrating innovation into the educational experience.”

During the conference, University of Phoenix was also recognized with the 2026 Blackboard Catalyst Award for Ethical AI Leadership, which honors institutions advancing responsible, transparent and inclusive approaches to artificial intelligence that promote trust and equitable outcomes for learners and educators. The recognition follows the University’s ongoing efforts to support AI literacy, responsible use and AI-enabled learning experiences.

Exploring the Expanding Role of the Learning Management System

As part of the Strategic Leadership Summit, Booker served as a panelist for “The LMS as Mission-Critical: Connecting Learning, Experience & Evidence.” The session examined how learning management systems are evolving beyond course management to support learning, engagement and institutional insight across the student lifecycle.

Panelists discussed how institutions are leveraging learning technologies alongside student information systems to support teaching and learning, advising, co-curricular engagement and data-informed decision-making while addressing increasing expectations surrounding artificial intelligence, student success and accountability.

Sharing Lessons from AI-Powered Student Support

Booker also presented “Scaling AI-Powered Support Across the Student Experience at University of Phoenix,” a session focused on the University’s process for expanding its AI support assistant across the online classroom environment, moving from proof of concept to full-scale deployment over a six-month period.

In addition, Booker participated in “Online Pedagogy to Drive Institutional Growth: Best Practices and Success Stories,” a panel discussion exploring how institutions are designing engaging online learning experiences and leveraging Blackboard technologies to support quality course delivery and student engagement.

Advancing Accessibility Leadership

Hermann joined the session “Communicating Up: Turning Accessibility Work into Leadership-Ready Stories.” The presentation focused on strategies for translating accessibility initiatives into narratives, evidence and visualizations that resonate with institutional leaders.

The discussion explored ways to connect accessibility efforts to broader institutional priorities, demonstrate impact through data and support informed decision-making that advances accessibility and learner success.

Examining Emerging Challenges in Artificial Intelligence

Amsden served as a panelist for “Agentic AI in Pedagogy: Threats and Opportunities.” The session addressed the growing influence of agentic AI and its implications for academic integrity, assessment design and learner engagement.

Panelists explored how technology, pedagogy and security practices can work together to promote authentic student work while helping institutions balance innovation with responsible AI implementation.

Contributing to the Future of Teaching and Learning

Amsden, Booker and Hermann are key members of University of Phoenix’s dynamic leadership team, frequently invited to share their expertise at prestigious national conferences and events. In 2026, University leaders will participate in the ASU + GSV Summit, 1EdTech Learning Impact Conference, SXSW EDU Conference, and PESC Data Summit. These engagements underscore the University’s commitment to innovation and thought leadership in higher education, providing valuable insights and fostering collaborations that drive the future of learning.

About University of Phoenix

University of Phoenix is Built for Real Life. 50 Years Strong. The University innovates to help working adults enhance their careers and develop skills in a rapidly changing world through flexible online learning, relevant courses, academic AI pillars, and skills-mapped curriculum for associate, bachelor’s and master’s degree programs. Active students and alumni have access to Career Services for Life® resources including career guidance and tools. For more information, visit phoenix.edu.

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