Server Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

Description

The Global Server Market was valued at USD 119.8 billion in 2023 and is projected to grow at a CAGR of over 10% from 2024 to 2032. This growth is driven by the global expansion of data centers. Businesses and cloud providers are enhancing data centers to manage rising workloads and data volumes, increasing the need for robust server infrastructure. This expansion boosts storage capacity, processing power, and network efficiency. Significant investments in AI-centric infrastructure also fuel the market. Ongoing evaluations of server technologies, including software-defined infrastructure, security, edge computing, and energy efficiency, are crucial for business innovation and digital transformation. Innovations in AI acceleration, sustainability, and edge computing are expected to drive market growth, with major players competing to offer efficient and flexible solutions.

The overall server industry is classified based on product, organization size, distribution channel, end-user, and region.

The market is segmented by product into rack, blade, tower, and micro servers. In 2023, the rack segment was valued at over USD 70 billion and is set for substantial growth. Rack servers, designed for diverse computing needs, offer quick cooling, scalability, and space efficiency. Their rising demand is driven by high-density computing, advancements in edge computing and IoT, and scalable data centers. Major players are launching solutions to meet these demands. For example, in June 2023, HPE introduced IoT-focused rack servers.

Based on organization size, the market is divided into large enterprises and SME. The large enterprises segment is projected to grow at a CAGR of over 9% from 2024 to 2032. Large enterprises are increasingly adopting hosted application servers, which manage workloads from multiple sites with a unified database. These servers offer ease of installation, reduced operational costs, and minimal system integration needs. Hosted servers provide several advantages, including ease of installation and lower operational costs, making them highly appealing to large organizations seeking to optimize their IT infrastructure. As enterprises continue to scale and manage vast amounts of data, the demand for hosted application servers is expected to rise, contributing to the growth of this segment.

In 2023, North America led the global server market with a share of over 40%. The region's advanced IT infrastructure, presence of major tech players, and shift towards cloud-based services drive this demand. The integration of AI and IoT technologies further supports North America's strong growth trajectory in the server market. AI and IoT applications require high-performance servers capable of handling large volumes of data and supporting real-time processing, driving investment in advanced server solutions. This combination of factors-cutting-edge IT infrastructure, the rise of cloud services, and the adoption of AI and IoT-positions North America for continued strong growth in the global server market.

Product Code: 10678

Chapter 1 Methodology and Scope

1.1 Research design
- 1.1.1 Research approach
- 1.1.2 Data collection methods
1.2 Base estimates and calculations
- 1.2.1 Base year calculation
- 1.2.2 Key trends for market estimation
1.3 Forecast model
1.4 Primary research and validation
- 1.4.1 Primary sources
- 1.4.2 Data mining sources
1.5 Market scope and definition

Chapter 2 Executive Summary

2.1 Industry 360° synopsis, 2021 - 2032

Chapter 3 Industry Insights

3.1 Industry ecosystem analysis
3.2 Supplier landscape
- 3.2.1 Component manufacturers
- 3.2.2 Component distributors
- 3.2.3 System integrators / OEMs
- 3.2.4 End user
3.3 Profit margin analysis
3.4 Technology and innovation landscape
3.5 Patent analysis
3.6 Key news and initiatives
3.7 Regulatory landscape
3.8 Impact forces
- 3.8.1 Growth drivers
  - 3.8.1.1 Rising shift towards cloud computing
  - 3.8.1.2 Growing adoption of 5G technology
  - 3.8.1.3 Expansion of data centers worldwide
  - 3.8.1.4 Rising penetration of internet-based services
- 3.8.2 Industry pitfalls and challenges
  - 3.8.2.1 Sustainability challenges
  - 3.8.2.2 Supply chain disruptions
3.9 Growth potential analysis
3.10 Porter's analysis
3.11 PESTEL analysis

Chapter 4 Competitive Landscape, 2023

4.1 Introduction
4.2 Company market share
4.3 Competitive positioning matrix
4.4 Strategic outlook matrix

Chapter 5 Market Estimates and Forecast, By Product, 2021-2032 ($Bn, Units)

5.1 Key trends
5.2 Rack
5.3 Blade
5.4 Tower
5.5 Micro

Chapter 6 Market Estimates and Forecast, By Organization Size, 2021-2032 ($Bn, Units)

6.1 Key trends
6.2 Large enterprises
6.3 SME

Chapter 7 Market Estimates and Forecast, By Distribution Channel, 2021-2032 ($Bn, Units)

7.1 Key trends
7.2 Direct sales
7.3 Distributors
7.4 Systems integrator
7.5 Others

Chapter 8 Market Estimates and Forecast, By End User, 2021-2032 ($Bn, Units)

8.1 Key trends
8.2 Enterprise
8.3 Cloud service providers
8.4 Government and public sector
8.5 Others

Chapter 9 Market Estimates and Forecast, By Region, 2021-2032 ($Bn, Units)

9.1 Key trends
9.2 North America
- 9.2.1 U.S.
- 9.2.2 Canada
9.3 Europe
- 9.3.1 UK
- 9.3.2 Germany
- 9.3.3 France
- 9.3.4 Italy
- 9.3.5 Spain
- 9.3.6 Russia
- 9.3.7 Nordics
- 9.3.8 Rest of Europe
9.4 Asia Pacific
- 9.4.1 China
- 9.4.2 India
- 9.4.3 Japan
- 9.4.4 Australia
- 9.4.5 South Korea
- 9.4.6 Southeast Asia
- 9.4.7 Rest of Asia Pacific
9.5 Latin America
- 9.5.1 Brazil
- 9.5.2 Mexico
- 9.5.3 Argentina
- 9.5.4 Rest of Latin America
9.6 MEA
- 9.6.1 South Africa
- 9.6.2 Saudi Arabia
- 9.6.3 UAE
- 9.6.4 Rest of MEA

Chapter 10 Company Profiles

10.1 Advanced Micro Devices, Inc.
10.2 Amazon Web Services, Inc.
10.3 Cisco Systems, Inc.
10.4 Dell Technologies Inc.
10.5 Foxconn (Hon Hai)
10.6 Fujitsu Limited
10.7 Google LLC
10.8 Hewlett Packard Enterprise Company
10.9 Huawei Technologies Co., Ltd.
10.10 Inspur Group Co., Ltd.
10.11 Intel Corporation
10.12 International Business Machines Corporation
10.13 Inventec Corporation
10.14 Lenovo Group Limited
10.15 Microsoft Corporation
10.16 NVIDIA Corporation
10.17 Oracle Corporation
10.18 Quanta Computer Inc.
10.19 Super Micro Computer, Inc.
10.20 Wistron Corporation