Green IT service is also known as green computing. It is a process of environmentally sustainable computing. Most importantly it is the study and practice of using the computers and the IT resources in a much effective and eco-friendly manner. Generally, green IT services aim on the energy use and cooling the data centers.
The green IT services market was valued at US$ 12.46 Bn in 2021 and is forecast to reach a value of US$ 34.83 Bn by 2030 at a CAGR of 12.4% between 2022 and 2030.
Figure 1: Global Green IT Services Market Value (US$ Bn) Analysis and Forecast, 2017 - 2030
In April 2021, Accenture finished the acquisition of the Root Inc., a consultancy firm that aids the industry in activating the plans and changing the cultures using the creative and visual methods. The root is projected to be an essential part of the Accenture’s Talent and Organization/ Human Potential team.
In May 2021, Accenture finished the adoption of the Electro 80, an OT supplier for the natural resources industries in Australia. It comprises of mining, energy, construction and the utility. The acquirement increases Accenture’s local digital operational technology abilities. In addition, it may reinforce Accenture’s local abilities for the company X which helps its clients to visualize their production, engineering and operation.
Increasing focus on decreasing the carbon footprint is expected to propel the growth of global green IT services market. For instance, in August 2019, the Business Roundtable, a group that includes CEOs from the leading US companies, committed to modernizing the purpose of a corporation, hence challenging the age-old idea that a business exists to maximize profits for the owners or shareholders.
The introduction of various carbon emission policies, due to the demand for rapid decarbonization is anticipated to boost the growth of the global green IT services market. The Carbon Research Management Initiative (CaMRI) is the latest program by the Center on Global Energy Policy (CGEP), which focuses on speeding up decarbonization and reducing the impact of climate change through carbon management
Figure 1: Global Green IT Services Market Share (%), By Region, 2021
The huge installation cost of the green IT services compared to that of the earlier IT services, is one of the main reason that is hampering the growth of the global green IT services market. The multiple small and the medium enterprises have very less or no budget for such green IT resources and services which is possibly to impede the markets growth.
Green and the eco-friendly goods and services are contrastingly very expensive compared to traditional goods. The need of these goods and services is not high compared to the traditional goods, this is anticipated to hinder the growth of the global green IT services market.
|Base Year:||2021||Market Size in 2022:||US$ 12.46 Bn|
|Historical Data for:||2017 to 2020||Forecast Period:||2022 to 2030|
|Forecast Period 2022 to 2030 CAGR:||12.4 %||2030 Value Projection:||US$ 34.83 Bn|
Schneider Electric SE, Accuvio Sustainability Software, Cority Software Inc., IBM Corporation, Johnson Controls, Dakota Software Corp, Accenture PLC, Enablon SA and SAP SE.
|Restraints & Challenges:||
Due to an increase in the carbon footprint, companies and governments are working together to control and reduce the carbon emissions. This is expected to boost the growth of green IT solutions during the forecast period.
Technology companies are looking for ways to decrease the energy consumption of their products. This has led to the companies focusing on designing energy-efficient products, platforms, power supplies, and integrated circuits. This leads to the development of energy-efficient IT solutions, which may help the customers decrease their carbon footprint. This development of energy-efficient products and services is expected to propel the market in the future.
Market Key Takeaways/Trends:
With rising social media users, internet traffic has significantly increased. Storage and cloud space must be updated by installing powerful high-capacity servers to replace old, outdated ones. Green IT services come into the role by using the same old disposing of computers products and using them in an environmentally friendly manner which is expected to act as a growing trend in the growth of global green IT services market.
Manufacturing companies are entering collaborations with OEMs and ODMs to encourage the use of green IT solutions which is expected to boost the growth of global green IT services market. For instance, in 2020, Apple helped its manufacturing partners decrease their carbon footprint by installing more than four gigawatts of new clean energy globally.
Major companies operating in the global green IT services market are Schneider Electric SE, Accuvio Sustainability Software, Cority Software Inc., IBM Corporation, Johnson Controls, Dakota Software Corp, Accenture PLC, Enablon SA and SAP SE.
Green IT Services also encompasses choosing sustainably sourced raw materials, decreasing electronic waste and promoting sustainability through the use of renewable resources. Rising environmental awareness has prompted many businesses to make the shift to green IT services. This type of service provide a range of benefits to companies that need to decrease their carbon footprint.
In order to improve their energy efficiency, the major economies have already formed regulations, and the other countries are following it which is expected to drive the growth of global green IT Services market. For example, the Energy Efficiency Directive had established measures to help the European Union reach a 20% energy efficiency target by 2020. However, it was amended in 2018, with an energy efficiency target of at least 32.5% by 2030. Such developments in the region are forcing businesses to adopt greener and more efficient solutions.
CIOs have been shifting to the emergency cost minimization. Implementing the investment will be reduced and focus on the operation that keep running the commerce is anticipated to hinder the growth of the global green IT Services market.
The wireless devices consume high amount of energy and emit a considerable amount of carbon while being used. Thus, the technological companies have an opportunity to not only decrease the energy consumption in these wireless devices, but also decreases the amount of carbon emitted by these devices which is projected to boost the growth of global green IT Services market.
Key features of the study:
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