PUBLISHER: The Business Research Company | PRODUCT CODE: 1464217
PUBLISHER: The Business Research Company | PRODUCT CODE: 1464217
A virtual machine (VM) is a software emulation of a computer system that enables users to operate multiple operating systems on a single physical machine. It serves various business purposes, including development, testing, and deployment. VMs create a secure and isolated environment for running applications, facilitating efficient use of hardware resources by consolidating servers. This technology is valuable in optimizing business operations and enhancing flexibility in managing diverse computing environments.
The primary types of virtual machines are system virtual machines and process virtual machines. System virtual machines leverage virtualization technology to create multiple independent virtual machines, each functioning as a complete computer system. These virtual machines find applications across various business scales, including small-scale enterprises, medium-scale enterprises, and large-scale enterprises. They are utilized in diverse industries such as banking, financial services, and insurance (BFSI), information technology and telecommunications, retail, healthcare, manufacturing, government, and others.
The virtual machines market research report is one of a series of new reports from The Business Research Company that provides virtual machines market statistics, including virtual machines industry global market size, regional shares, competitors with a virtual machines market share, detailed virtual machines market segments, market trends and opportunities, and any further data you may need to thrive in the virtual machines industry. This virtual machines market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The virtual machine market size has grown rapidly in recent years. It will grow from $17.08 billion in 2023 to $20.26 billion in 2024 at a compound annual growth rate (CAGR) of 18.6%. The growth in the historic period can be attributed to increased server consolidation, enhanced support for legacy applications, improved resource efficiency, cost savings, and the development and testing environment.
The virtual machine market size is expected to see rapid growth in the next few years. It will grow to $37.53 billion in 2028 at a compound annual growth rate (CAGR) of 16.7%. The growth in the forecast period can be attributed to the increasing adoption of cloud computing, expansion of edge computing, rise in hybrid and multi-cloud architectures, and growing security and compliance requirements. Major trends in the forecast period include the integration of serverless computing, optimization with AI and machine learning, enhanced security features, and edge virtualization for IoT.
The virtual machine market is poised for growth driven by the accelerated adoption of cloud computing. This adoption involves organizations integrating cloud computing technologies and services into their IT infrastructure, motivated by factors such as cost savings, scalability, security, and the facilitation of remote access to data and services. Virtual machines, leveraging cloud computing, offer on-demand and scalable computing resources by enabling multiple isolated environments on the same physical hardware. A survey of 753 technical and business professionals in February 2024, as reported by the AAG IT Support Service, revealed a substantial increase in heavy cloud service usage to 63% in 2022, up from 59% in 2021 and 53% in 2020. This trend underscores the significant impact of accelerated cloud computing adoption on the virtual machine market.
Leading companies in the virtual machine market are strategically focusing on innovative solutions to maintain their market position. Notable among these innovations is the introduction of advanced virtual machines tailored for high-performance computing (HPC), exemplified by Microsoft Corporation's Azure HX and HBv4. These machines are optimized for various HPC workloads, including computational fluid dynamics, finite element analysis, rendering, molecular dynamics, and financial risk analysis. Launched in November 2022, the HBv4 series excels in diverse HPC applications, offering substantial performance enhancements with features such as up to 176 AMD EPYC 9004-series CPU cores, 688 GB of RAM, and 400 Gb/s NDR InfiniBand from NVIDIA Networking. The HX-series VMs, on the other hand, provide significant performance enhancements at a lower cost, featuring the latest 4th Gen AMD EPYC processors paired with 400 Gigabit NVIDIA Quantum-2 InfiniBand. These innovations emphasize Microsoft's commitment to delivering unparalleled performance and cost efficiency in the realm of HPC.
In June 2023, Accenture PLC, a prominent Ireland-based professional services company, successfully acquired Nextira, a US-based company specializing in virtual machine expertise, cloud-based solutions, and services. This acquisition aligns with Accenture's objectives to enhance its capabilities in AI and ML engineering by integrating Nextira's cloud solutions expertise. The collaboration aims to drive innovation in customer and employee experiences, fostering advancements in products and markets within the dynamic landscape of virtual machines and cloud computing.
Major companies operating in the virtual machine market report are Amazon.com Inc., Google LLC, Microsoft Corporation, Alibaba Group Holding Limited, Dell Technologies Inc., Huawei Technologies Co. Ltd., Lenovo Group Limited, Accenture PLC, International Business Machines Corporation, Cisco Systems Inc., Oracle Corporation, Fujitsu Limited, The Hewlett Packard Enterprise Company, Vmware LLC, NetApp Inc., Juniper Networks Inc., Red Hat Inc., Rackspace Technology Inc., Nutanix Inc., Docker Inc., Scale Computing, CloudSimple Inc., Ncomputing Co. Ltd., Proxmox Server Solutions Gmbh, Alludo - Cascade Parent Limited
North America was the largest region in the virtual machine market in 2023. The regions covered in the virtual machine market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the virtual machine market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The virtual machine market consists of revenues earned by entities by providing services such as server virtualization, security, storage services, legacy software support, software testing, monitoring, and software development. The market value includes the value of related goods sold by the service provider or included within the service offering. The virtual machine market also includes sales of management tools, hypervisors, cloud computing platforms, network virtualization tools, management tools, and automation tools that are used in providing services. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Virtual Machine Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on virtual machine market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for virtual machine ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The virtual machine market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.