The web hosting industry first boomed in the United States with the high demand for web host servers that cater to the vast number of websites that cropped up in the web. From a host of smaller start-up companies to hosting providers that are backed up by giants in the telecom industry, hosting has indeed become a multi million dollar industry that has caught the fancy of investors. The web hosting boom is now being experienced in Europe, with major players competing to be the major players in the continually expanding increasingly profitable European market.
The Demand for Sophisticated Web-Hosting Services and Infrastructure in Europe
The demand for strong hosting services is driven by the need of internet businesses to have adequate and efficient backup so that that they can prevent their websites and e-commerce businesses from toppling over and going down due to traffic surges. This is why all over major European cities, scores of internet data centers (IDCs) have been built, old warehouses were refitted by specialist building contractors with specifications needed to house data storage servers.The cost of investing in these IDCs is indeed steep; estimates from 5 years ago peg the price of a 10,000 square meter IDC at roughly 25 million pounds, still excluding operational costs. Web hosting infrastructure improvements are costly indeed. However, such costs and risks are nonetheless undertaken by investing web hosting providers just to ensure that their place in the web industry is firmly set. With their ability to provide rapid connection and secure services, they hope that they will be perfectly positioned to take advantage when the European e-commerce potential is realized.
Web Hosting Infrastructure Developments in Europe
The emergence of the European hosting services market is seen as a blessing by network operators who have set their eyes on the European market. The increasing investment in data centers all over Europe has also brought attention to these network operators and has further increased the popularity of the European market in international commerce and trade.
Some operators have even seen the value of hosting services; for most of them web hosting is the fastest growing area of their business. Their problem is not merely competition; the challenge lies in making their name recognizable by increasing their size.
However, a lot of cash is needed for this to happen and financial back-up is something most operators lack unless they bring in another bigger partner. Size can be achieved by building more data centers that can provide web hosting services to European businesses and other companies that wish to tap into the European market. Nonetheless, nit everyone sees a guaranteed profit from building data centers especially in the small cities in Europe.Despite these doubts, more and more companies are still investing. More data centers are built in Europe each year, with network operators aiming to be leaders in the European hosting industry. Because of these investments, improvements have been seen and companies continue to upgrade its services in order to answer to an ever-growing need for hosting providers in the rich market that is Europe. A boom in this web industry has been looming in the past couple of years and, so far, network operators big and small have answered this trend.