South Korea Green Data Center Market Size, Share, and COVID-19 Impact Analysis, By Data Center Type (Colocation Data Centers, Managed Service Data Centers, Cloud Service Data Centers, and Enterprise Data Centers), By Industry Vertical (Healthcare, BFSI, Government, Telecom and IT, and Others), and South Korea Green Data Center Market Insights, Industry Trend, Forecasts to 2035

South Korea Green Data Center Market Insights Forecasts to 2035

• The South Korea Green Data Center Market Size was estimated at USD 787.9 Million in 2024
• The Market Size is Expected to Grow at a CAGR of around 22.25% from 2025 to 2035
• The South Korea Green Data Center Market Size is Expected to Reach USD 7,181.1 Million by 2035

According to a Research Report Published by Spherical Insights & Consulting, The South Korea Green Data Center Market Size is anticipated to Reach USD 7,181.1 Million by 2035, Growing at a CAGR of 22.25% from 2025 to 2035. The market is being driven by a number of factors, including strict environmental regulations and international sustainability initiatives, rising prices for conventional energy sources, growing awareness of climate change and the role of technology in environmental degradation, and the quick development of renewable energy technologies.

Market Overview

The South Korea Green Data Center Market Size refers to the ecosystem of data center facilities intended to reduce environmental impact while preserving high-performance computing capabilities is referred to as the "green data center market" in South Korea. Moreover, the market is being stimulated by government policies and programs that support environmental sustainability. To entice companies to embrace greener practices, a number of regions are enacting strict laws and providing incentives. Organizations seeking to build or upgrade their data center infrastructure are motivated by compliance with these regulations and involvement in sustainability initiatives. Additionally, technological developments, especially in the field of renewable energy, support market growth. Renewable energy sources like solar and wind power are readily available and reasonably priced, making them competitive alternatives to conventional energy grids. In keeping with the movement toward a more sustainable and environmentally friendly energy landscape, these centers use these technologies to lessen their dependency on non-renewable resources. Consequently, this is fostering a favorable market outlook.

Report Coverage

This research report categorizes the market for the South Korea green data center market based on various segments and regions and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the South Korea green data center market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the South Korea green data center market.

Driving Factors

The growing awareness of the environmental impact of traditional data centers is the main factor propelling the South Korean market. Businesses and organizations are actively looking for greener alternatives to reduce their carbon footprint as environmental awareness rises. In keeping with this sustainability requirement, green data centers which are made to maximize resource utilization and reduce environmental impact offer an appealing alternative. Additionally, the need for operational efficiency and rising energy costs are important factors propelling market expansion. Through cutting-edge technologies like server virtualization, sophisticated cooling systems, and power management tools, these data centers place a high priority on energy efficiency. In addition to addressing the growing expenses linked to energy use, this also fits with the industry's overall trend toward increasing operational effectiveness.

Restraining Factors

Even though there is growing interest in renewable energy in South Korea, there is still a lack of reliable and scalable access, especially outside of major cities like Seoul. Large-scale green energy solutions are challenging to implement in rural or isolated areas because of geographic limitations, grid infrastructure limitations, and the unequal distribution of solar and wind resources.

Market Segmentation

The South Korea green data center market share is classified into data center type and industry vertical.

• The colocation data center segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea green data center market is segmented by data center type into colocation data centers, managed service data centers, cloud service data centers, and enterprise data centers. Among these, the colocation data center segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. In South Korea, colocation data centers combine resources from several clients to achieve cost-effective sustainability. Because of this shared model, they are able to make investments in power optimization technologies, renewable energy sources, and high-efficiency cooling systems that would be too costly for individual businesses. Consequently, they meet corporate sustainability objectives and environmental regulations while lowering operating costs.

• The telecom and IT segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea green data center market is segmented by industry vertical into healthcare, BFSI, government, telecom and IT, and others. Among these, the telecom and IT segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. driven by aggressive energy-efficiency initiatives, cloud service investments, and high data processing demands.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the South Korea green data center market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• SK Group
• Naver Corporation
• KT Corporation
• LS Electric
• Korea Hydro & Nuclear Power

Recent Developments:

• In December 2024, LS Electric and the Korea Hydro and Nuclear Power Corporation (KHNP) signed a Memorandum of Understanding (MoU) to explore the development of AI data centers powered by small modular reactor (SMR) technology.

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at South Korea, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the South Korea Green Data Center Market based on the below-mentioned segments:

South Korea Green Data Center Market, By Data Center Type

• Colocation Data Centers
• Managed Service Data Centers
• Cloud Service Data Centers
• Enterprise Data Centers

South Korea Green Data Center Market, By Industry Vertical

• Healthcare
• BFSI
• Government
• Telecom and IT
• Others