BroadGroup reveals the structural changes underway and sustained further growth supported by a migration to third party outsourcing by large enterprises.

BroadGroup, a consultancy in the wholesale, data centres and managed services, today announced that data centres in UK will see 45% increase in space by 2010.

A new report from BroadGroup's Data Centre Practice assesses for the first time, player strategies in the carrier neutral data centre market in the UK. Revealing the structural changes underway, and sustained further growth supported by a migration to third party outsourcing by large enterprises, the report predicts that although a limited increase in space will become available over the next few years, prices by 2010 will have doubled.

Given lead times, investment cost and business planning, the report suggests that only 45% more space will actually be available by 2010. Conversely, rack pricing is set to soar by more than double, reports the company.

"Beyond this key question lie many others about the justification for carrier neutral acquisition, new-build, space competition and the intriguing dimension of new player market entry, the report also questions the rationale behind the business strategies of carrier neutral data centres, and whether short term thinking prevails over a long term assessment, and the issue of price rather than premium," said Nicola Hayes, Vice President at BroadGroup.