Africa Data Center Physical Security - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Africa Data Center Physical Security Market size is estimated at USD 42.69 million in 2024, and is expected to reach USD 102.5 million by 2029, growing at a CAGR of 19.10% during the forecast period (2024-2029).

Data center security employs a four-layered approach: perimeter security, facility controls, computer room controls, and cabinet controls. The first layer, perimeter security, focuses on deterring and detecting unauthorized personnel, aiming to delay potential breaches. Should a breach occur, the second layer, which employs access control systems like card swipes or biometrics, restricts further access. The third layer enhances physical security with various verification methods, including monitoring restricted areas, turnstiles, VCA, biometric access controls for fingerprints, irises, or vascular patterns, and radio frequency identification. While these layers primarily focus on authorized personnel, an additional layer, cabinet locking mechanisms, addresses concerns of insider threats, such as malicious employees.

• The upcoming IT load capacity of the African data center market will reach 1226 MW by 2029.
• The region's construction of raised floor area is expected to increase 5.2 million sq. ft by 2029.
• The region's total number of racks to be installed is expected to reach 260K units by 2029. South Africa is expected to house the maximum number of racks by 2029.
• Close to 70 submarine cable systems are connecting Africa, and many are under construction. One such submarine cable estimated to start service in 2024 is Africa-1, which stretches over 10,000 kilometers with a landing point in Port Said, Egypt Ras Ghareb, Egypt.

Africa Data Center Physical Security Market Trends

The IT and Telecom Segment to Hold Significant Share

• The demand for telecom data center construction in the country is increasing the demand for physical security solutions. In Africa, biometric identification initiatives laid by governments, coupled with the increasing prominence of biometrics in various sectors, are expected to be major drivers of market growth.
• The rollout of 5G networks would strengthen the nation's digital economy and increase demand for high data center storage infrastructure. The arrival of 5G is expected to bring a major increase in speeds, low latencies, and an unforeseen level of network capabilities.
• Nigeria has one of the largest telecom markets in Africa, supported by the second-largest economy after South Africa. In February 2023, the Nigerian Communications Commission, the Nigerian telecom regulator, reported that the number of active mobile telecommunication plan subscriptions in the country reached about 222.57 billion in December 2022, which shows the demand for mobile services in Nigeria. Overall, increasing network traffic leads to major data center investment and adoption of DC physical security.
• The rapidly increasing 4G penetration and the upcoming 5G wave are adhering telecom vendors to invest in the South African data center. In October 2022, the South African telecom provider Telkom established the 5G high-speed internet network with the help of Huawei Technologies from China.
• Owing to such factors, the demand for data centers from the telecom segment is constantly rising, mirrored by a rapid rise in the data center's physical security. The manufacturers of data centers are developing cutting-edge, affordable solutions that are scalable and secure to fulfill the rising demand from the telecom industries.

South Africa to Hold Significant Growth

• Innovative large enterprises, such as financial institutions, have led South Africa. It has found that financial services, in particular, continue to diversify their market offerings, and this requires a physical security infrastructure that provides high-security perimeters.
• In South Africa, various biometric access control solutions are designed to meet modern data centers' stringent requirements. Combining the leading biometric technology, distributed system topology, and two-way CCTV integration, various providers provide the most secure physical access control solutions for data centers.
• South Africa's prominent data center providers include Africa Data Centres, Teraco, Vantage, Telkom's BCX, and MTN Business. Telecom data centers are increasing in the country with increasing data traffic leading to major demand for physical security solutions.
• Further, the demand for access control solutions is expected to increase with increasing cloud startups. There are 13 cloud infrastructure startups in South Africa, including Snapt, Echo Service Provider, Nebula, Routed, and Wingu. South Africa is also an important market for Chinese cloud providers, such as Huawei and Alibaba. Huawei has been aggressive in terms of its cloud expansion strategy in South Africa, targeting at least 15% market share by the end of 2023.

Africa Data Center Physical Security Industry Overview

The African data center physical security market is consolidated among the players and has gained a competitive edge in recent years. A few major players are Axis Communications AB and Bosch Sicherheitssysteme GmbH. These major players with a prominent market share focus on expanding their customer base across the region. These companies leverage strategic collaborative initiatives to increase their market share and profitability.

March 2023: Genetec Inc. and Axis Communications collaborated with the introduction of Axis Powered by Genetec, the industry’s first enterprise-level access control offering that combines Genetec access control software with Axis network door controllers in a single, easy-to-deploy all-in-one offering.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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