By Research and Markets
Publication Date: 2026-01-08 10:04:00
Dublin, Jan. 08, 2026 (GLOBE NEWSWIRE) — The “Data Center Virtualization Market Report 2025” has been added to ResearchAndMarkets.com’s offering.
The data center virtualization market is experiencing substantial growth, projected to expand from $8.64 billion in 2024 to $10.25 billion in 2025 at a CAGR of 18.6%. This growth is propelled by virtual infrastructure adoption for legacy system upgrades, virtualization in disaster recovery, and rising demand for centralized IT control, remote accessibility, and scalable solutions. Anticipated to reach $20.01 billion by 2029, the market will continue to grow at a CAGR of 18.2%, influenced by the increasing demands for hybrid and multi-cloud environments, automation in data center operations, and the integration of AI and sustainable practices.
Cloud computing, enabling scalable and cost-efficient IT solutions, significantly contributes to the market’s momentum. By December 2023, 45.2% of EU enterprises had adopted cloud services, enhancing the efficiency of data center virtualization through cloud-managed virtual servers and networks. Companies like Telefonica Tech are expanding virtual infrastructures to bolster cloud capabilities and ensure business continuity, demonstrated by their Virtual Data Center initiative launched in Ashburn, Virginia, in May 2022.
In a strategic acquisition in November 2023, Broadcom Inc. absorbed VMware Inc., strengthening their portfolio in enterprise software with VMware’s leading…



