Published: December 06, 2010
Cloud Computing to Reduce Global Data Center Energy Expenditures by 38% in 2020, According to Pike Research
BOULDER, Colo. - (BUSINESS WIRE) - The market for cloud computing services has expanded quickly during the
past few years, offering a compelling alternative to traditional data
center operations, but up to this point relatively little of the
industry emphasis has been on the potential for energy savings. According
to a new report from Pike
Research, the energy efficiency benefits of cloud computing are
substantial, and growth in the market will have important implications
for both energy consumption and greenhouse gas (GHG) emissions. The
cleantech market intelligence firm forecasts that the adoption of cloud
computing will lead to a 38% reduction in worldwide data center energy
expenditures by 2020, compared to a business as usual (BAU) scenario for
data center capacity growth.
"The growth of cloud computing will have a very significant positive
effect on data center energy consumption," says senior analyst Eric
Woods. "Few, if any, clean technologies have the
capability to reduce energy expenditures and GHG production with so
little business disruption. Software as a service,
infrastructure as a service, and platform as a service are all
inherently more efficient models than conventional alternatives, and
their adoption will be one of the largest contributing factors to the
greening of enterprise IT."
As part of its cloud computing adoption scenario, Pike Research
forecasts that data centers will consume 139.8 terawatt hours (TWh) of
electricity in 2020, a reduction of 31% from 201.8 TWh in 2010. This
also represents a significant decrease from the 226.4 TWh that would be
consumed by data centers in the firm's BAU scenario. The
reduction will drive total data center energy expenditures down from
$23.3 billion in 2010 to $16.0 billion in 2020, as well as causing a 28%
reduction in GHG emissions from 2010 levels.
Pike Research's report, "Cloud
Computing Energy Efficiency" , provides an in-depth
analysis of the energy efficiency benefits of cloud computing, including
an assessment of the software as a service (SaaS), platform as a service
(PaaS), and infrastructure as a service (IaaS) markets. The study
examines the key demand drivers and technical developments related to
cloud computing, in addition to detailed profiles of key industry
players. Market forecasts include a quantification of energy savings
and GHG reduction opportunities under a cloud computing adoption
scenario, with a forecast period extending through 2020. An Executive
Summary of the report is available for free download on the firm's website.
Pike Research is a market research and consulting firm that
provides in-depth analysis of global clean technology markets. The
company's research methodology combines supply-side industry analysis,
end-user primary research and demand assessment, and deep examination of
technology trends to provide a comprehensive view of the Smart Energy,
Clean Transportation, Clean Industry, and Building Efficiency sectors.
For more information, visit www.pikeresearch.com
or call +1.303.997.4619.
Pike Research
Phil von Hake, 303-997-4619
press@pikeresearch.com
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