Digital co-creation and digital transformation market are evolving into core business practices in the rapidly developing digital society. A new era of business operations control that promotes business strategy yields better outcomes and engages customers online has emerged due to the alterations made.
North US Digital Transformation Market Size 2022
Applying digital tools like big data, social networks, cloud services, and mobility to streamline business operations is known as digital transformation. The term “digital transformation” refers to integrating digital tools and technologies throughout all organizational processes and functional divisions.
This significantly impacts how companies run and provide value to their clients. Companies must undergo a digital transformation market if they intend to grow. Reduce operating costs, increase productivity, and keep track of current business activity.
Companies undergoing digital transformation are more prepared to manage disruption-related risks, including reorganizing their operations, economic downturn, and unforeseen geopolitical conditions that may have unpredictable results.
With a CAGR of 22.53%, North America predicts to create USD 697 billion by 2030. One of the factors influencing the expansion of the regional market is the pervasive digital transformation across numerous industries and industrial verticals, including retail, finance, IT & telecom, and hospitality.
Deployment Insights
By 2022, the global market for digital transformation will be led by the on-premises category, which will hold a digital transformation market share of almost 60%. Easy customization provided by on-premises deployment is a primary driver of this market’s expansion.
Additionally, the market has grown due to how simple it is to comply with governmental requirements. How highly secure an on-premises implementation is.
Expectations
Until 2032, the global digital transformation market anticipates expanding in absolute terms by $1.7 trillion. From 2015 to 2021, the industry is expected to increase at a 23.6% annual rate. The Internet of Things technology sector is anticipated to dominate the market during the projected period, with a CAGR of 13.8% from 2022 to 2032.
North America expects to dominate the digital transformation market. With the United States contributing the most and bringing in US$ 811.7 billion by 2032. However, APAC anticipates developing at the quickest rate, with China purchasing US$ 134 billion by 2032.
How fast will it grow in North America?
Businesses and organizations- are being forced to undergo a digital transformation market and implement solutions as part of their attempts to stick to a customer-centric business strategy. As a result of the growing customer demand for posting content and sharing experiences on digital media, the world needs more data centers.
Growth Factors
The manufacturing sector has seen a sharp increase in demand for automated and digital technology. Over the past couple of decades, due to the growing adoption of industry 4.0. To improve efficiency and product quality, manufacturers rapidly implement the most recent technology to automate and digitalize the process. The global market for digital transformation market is expanding significantly.
One of the key factors driving the expansion of the global market for digital transformation is the rising internet penetration, rising smartphone adoption, and expanding IT and telecommunications infrastructure.
All types of businesses are making significant investments to improve their online visibility. Consequently, the switch from traditional to digital companies is greatly accelerating the growth of the global digital transformation market.
Asia Pacific has the fastest-growing digital transformation market
According to a new report from Accenture, Asia Pacific has the fastest-growing digital transformation market. The study estimates that the region’s digital transformation market will reach $1,548.9 billion by 2027 and $153 billion by 2020, up from $558.4 billion in 2020.
The report says that despite strong growth, Asia Pacific is in the early stages of digital transformation and many companies are still focused on implementing basic technologies. It also says that many customers still need to be convinced about the benefits of digital transformation, and IT departments continue to face internal pressures to design systems that meet current needs rather than anticipating future requirements.
But as new technologies emerge, there are opportunities for providers to address these barriers. For example, cloud services can help organizations move away from infrastructure investments that lock them into older systems. In addition, machine learning can be used to anticipate customer needs more accurately and capture more value from data.
Environmental Impact
Although digital transformation impacts business operations and markets, it also leads to a wide range of environmental impacts that affect the communities where businesses operate. The availability of digital content will increase the demand for devices to display and share this information, which in turn results in increased electricity consumption.
As more people use mobile devices to access digital content, the demand for data will also increase. This trend will likely continue as device manufacturers design increasingly capable and intricate devices with more immense storage capabilities.
As a backbone of digital transformation, the data center has to address this issue. The green data center is a result of increasing environmental awareness. The popularity of the green data center has increased because it is a suitable solution to solve two significant problems, cost and environmental impact.
Transitioning from a traditional to a green data center has many environmental advantages. Green power, water utilization, and greenhouse gas reduction are common components in today’s green data center.
Conclusion
Today’s businesses need a solution that allows them to quickly and easily switch between cloud providers at a moment’s notice if there are problems or if they want to upgrade their services. Companies need a solution to help them make quick decisions about where their IT infrastructure will reside – from local data centers, private clouds, or public clouds.
With an IT infrastructure control platform, businesses can access everything they need – from private and public clouds and cross-cloud workload mobility – all in a single pane of glass.
The North American market for digital transformation is estimated to reach USD 87.99 Billion by 2022, at a CAGR of 11.38% between 2017 and 2022. The growing demand for cloud-based services and security issues have increased the demand for digital transformation solutions.
With the growth of technology, more and more people are becoming aware of how much an electronic device can impact the environment. One of the latest issues facing the world today is the environmental impact that data centers have on our planet.
As companies shift to digital transformation, they are simultaneously facing another challenge: how to utilize their growing IT infrastructure more efficiently. The Asia Pacific region leads the way in adopting green data center solutions.