Server Market

Server Market was valued at USD 85 billion in 2020 and is expected to register a CAGR of 7.8% during the forecast period.

Introduction of the Server Market Report

In computing, a server is a piece of computer hardware or software that allows functionality for other programs or devices and is known as “clients”. A single server has the ability to serve various clients and a single client that can use multiple servers at a time. The global server market covers a range of product, including blade, rack, tower, micro, and others.

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Market Dynamic

Key Drivers and Emerging Trends

The factors driving the global Server market share include the growing number of new data centres around the world. Various cloud service providers and industries, including healthcare, BFSI, government, defence, IT and Telecom, among others, are focusing on upgrading their servers to manage the continuously increasing volume of data. The continuous upgrade in the IT infrastructure provides improved security, storage, and processing speeds for managing higher data volumes. Additionally, the increasing demand for high-performance computing servers has further surged different applications to support big data analytics, software-defined solutions, and hyper-converged infrastructure. Moreover, the emergence of 5G network technologies is responsible for driving market growth.

The new application that requires specific configurations and high computing needs from users and service providers is significantly increasing the adoption of cloud servers. They help in efficient functioning. Enterprises are increasingly opting for virtual or cloud servers to improve the global networking capabilities and to reduce the IT infrastructure’s operational and maintenance costs.

Restraint in the Server Market

However, the high installation and maintenance costs of these servers is hindering the server market growth over the coming years.

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Product – Segment Analysis

Based on the product, the rack is expected to grow at a higher CAGR during the forecast period. This is mainly due to the increasing adoption of rack servers in different verticals. The rack servers are mounted in a rack and are configured to support requirements. The design and construction of these servers are suitable for low and high computing needs. On the other hand, the Open Compute Project is projected to dominate the market during the forecast period. Numerous SMEs are focusing on replicating the efficient data centre designs of giant cloud service providers. The OCP servers are manufactured by the Original Design Manufacturers (ODMs) due to the cost of these servers, which is lower than the OEM servers.

Enterprise Size – Segment Analysis

Based on the enterprise size, the large enterprises is projected to grow at a higher CAGR during the forecast period. The large enterprises have funds to spend on the IT infrastructures and have long-standing tie-ups with service providers, thus ensuring timely delivery and customization options in standard providers. The servers have high initial investment and high operational expenses, which in most of cases can be incurred by large enterprises.

Vertical – Segment Analysis

Based on the vertical, the IT and Telecom is expected to lead the market during the forecast period. This is mainly due to the increasing network connections and the high penetration of smartphones at the global level. The emergence of 5G networks is further surging the market growth. On the other hand, the BFSI segment is expected to grow at a faster CAGR during the forecast period. The growing demand for servers in the BFSI industry is owing to the increasing requirement for making transactional processes fast and reliable. Moreover, the rising number of digitized transactions during the coronavirus pandemic is further driving the growth.

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Regional – Segment Analysis:

Based on the region, North America is expected to dominate the market during the forecast period. The presence of various data centre and cloud service providers in this region is helping the market to grow. The region has several leading cloud service providers including Facebook, Google LLC, among others. Moreover, the advancements in verticals such as 5G, the Internet of Things (IoT), and edge computing is further contributing to the market growth.

Top Market Players

Some of the leading players operating in the market include ASUSTek Computer Inc., CISCO, Dell Technologies, Fujitsu, Hewlett Packard Enterprise Development LP, Huawei Technologies Co., Ltd. IBM, Inspur Technologies Co., Ltd., Lenovo Group Limited, and Microsoft Corporation, among others. 

Key Developments:

• • In 2018, Hewlett Packard Enterprise Development LP, acquired the BlueData, a provider of AI and big data analytics software. Through this acquisition, the company aims to integrate and deploy in its Apollo servers to improve their performance.

Segments covered in the Report:

The global Server market has been segmented on the basis of Product, Enterprise Size, Channel, Vertical and regions. Based on Product, the market is segmented into Blade, Rack, Tower, Micro, and Open Compute Project. Based on Enterprise Size, the market is segmented into Micro, Small and Medium-sized enterprises, and Large enterprise. Based on Channel, the market is segmented into Reseller, Direct, Systems Integrator, and Others. Based on Vertical the market is segmented into IT & Telecom, BFSI, Government & Defence, Healthcare, Energy, and Others.

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Key questions answered in this research report:

• • At what pace is global Server market growing? What will be the growth trend in the future?
  • What are the key drivers and restraints in Server market? What will be the impact of drivers and restraints in the future?
  • What are the regional revenues and forecast breakdowns? Which are the major regional revenue pockets for growth in the global Server market?
  • Which Product generated maximum revenues in 2019 and identify the most promising Product during the forecast period?
  • What are the various Enterprise Size areas of global Server market and how they are poised to grow?
  • What companies are the major participants in this market and their business strategies, how does the competitive landscape look like?

Market Segmentation

Global Server Market by Product

• • Blade
  • Rack
  • Tower
  • Micro
  • Open Compute Project

Global Server Market by Enterprise Size

• • Micro
  • Small and Medium-sized enterprises
  • Large enterprise

Global Server Market by Channel

• • Reseller
  • Direct
  • Systems Integrator
  • Others

Global Server Market by Vertical

• • IT & Telecom
  • BFSI
  • Government & Defence
  • Healthcare
  • Energy
  • Others

Global Server Market by Region

• • North America Server Market (Option 1: As a part of the free 25% customization)
    • North America Server Market by Product
    • North America Server Market by Enterprise Size
    • North America Server Market by Channel
    • North America Server Market by Vertical
    • US Server Market All-Up
    • Canada Server Market All-Up
  • Europe Server Market (Option 2: As a part of the free 25% customization)
    • Europe Server Market by Product
    • Europe Server Market by Enterprise Size
    • Europe Server Market by Channel
    • Europe Server Market by Vertical
    • UK Server Market All-Up
    • Germany Server Market All-Up
    • France Server Market All-Up
    • Spain Server Market All-Up
    • Rest of Europe Server Market All-Up
  • Asia-Pacific Server Market (Option 3: As a part of the free 25% customization)
    • Asia-Pacific Server Market by Product
    • Asia-Pacific Server Market by Enterprise Size
    • Asia-Pacific Server Market by Channel
    • Asia-Pacific Server Market by Vertical
    • China Server Market All-Up
    • India Server Market All-Up
    • Japan Server Market All-Up
    • Rest of APAC Server Market All-Up
  • RoW Server Market (Option 4: As a part of the free 25% customization)
    • RoW Server Market by Product
    • RoW Server Market by Enterprise Size
    • RoW Server Market by Channel
    • RoW Server Market by Vertical
    • Brazil Server Market All-Up
    • South Africa Server Market All-Up
    • Saudi Arabia Server Market All-Up
    • UAE Server Market All-Up
    • Rest of world (remaining countries of the LAMEA region) Server Market All-Up

Major Players Operating in the Server (Option 5: As a part of the Free 25% Customization – Profiles of 5 Additional Companies of your Choice)

• • ASUSTek Computer Inc.
  • CISCO
  • Dell Technologies
  • Fujitsu
  • Hewlett Packard Enterprise Development LP
  • Huawei Technologies Co., Ltd
  • IBM
  • Inspur Technologies Co., Ltd.
  • Lenovo Group Limited
  • Microsoft Corporation