Data Center Server Market size is expected to cross USD 150 billion by 2030, according to the latest research report by Global Market Insights Inc.
The growing deployment of hyper-scale data centers will augment the demand for advanced servers. Developing nations are increasingly witnessing the installation of mega data centers. For instance, in June 2022, Oracle Corporation set up a cloud region in Mexico, becoming the became the first hyper-scaler to do so. Public and private organizations from sectors such as telecommunications, and financial services will be able to leverage the disaster recovery and in-built security capabilities from Oracle Cloud Infrastructure.
Growing demand for rack-optimized servers
The rack segment was valued at more than USD 20 billion in 2021. The sector growth can be credited to the surging demand for rack-optimized servers to upgrade data centers by providing resiliency, scalability, and performance for critical workloads. Furthermore, the rack-type server is also witnessing an increase in demand owing to the availability of multiple configurations such as side panels, doors, roofs, tool-less mounting, and holes.
Rising demand for data storage in remote locations
The medium data center server market accounted for a 35% share in 2021. Growing demand for data storage across remote locations will expedite the requirement for these data centers. Government bodies fostering the establishment of data centers to ensure financial growth will propel the industry demand. One of the principal advantages of medium-size data centers is that they take up less space in comparison to hyper-scale facilities, thereby increasing their demand across several end-use verticals, states the report.
Increased volume of medical data in healthcare industry
The healthcare application is poised to depict a CAGR of 14% through 2030. The growth can be attributed to the surging volume of medical data that demands the development of robust IT infrastructure, supporting healthcare institutions to outsource their data center operations. The healthcare sector is anticipated to increase its spending on IT infrastructure comprising data centers to improve its operational activities. The rising focus on digital transformation will enhance the administration of healthcare services, influencing industry growth.
Browse key industry insights spread across 350 pages with 402 market data tables and 38 figures & charts from the report “Data Center Server Market Size By Type (Rack, Tower, Blade, Micro), By Data Center Size (Small, Medium, Large), By Application (BFSI, IT & Telecom, Government, Healthcare, Energy, Manufacturing), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2022 – 2030” in detail along with the table of contents
Expanding cloud computing industry in North America
The North American market accounted nearly USD 20 billion in 2021. Accelerating cloud computing sector which is increasing the adoption of data centers is fueling the regional market revenue. Many cloud service providers are also expanding their footprint in the region. For instance, in April 2022, Google LLC announced spending more than USD 9 billion on U.S. offices and data centers to drive digital transformation. Furthermore, in May 2022, Amazon Web Services (AWS) announced to spend USD 12 billion to establish five data centers in Oregon.
Growing interest in launching innovative products
Some of the prominent players operating in the data center server marketplace include Cisco Systems Inc., Dell Technologies Inc., Hewlett Packard Enterprise Company, Inspur Group, Huawei Technologies Co, Ltd., IBM Corporation, etc. Companies are actively unveiling new products that reinforce their market position. For instance, in September 2021, IBM unveiled a new range of IBM Power servers developed for flawless and scalable hybrid cloud computing. Through this launch, the company intends to reinforce its product offerings.