Global data center microserver market to grow at a CAGR of almost 29% through 2020

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Data center microserver: Key market research findings

  • Increasing adoption of big data analytics to drive market growth
  • Rise in the implementation of SDDCs
  • Key vendors – Dell, Fujitsu, HP, Huawei, Quanta Computer, and Super Micro Computer

Technavio’s market research analysts predict the global data center microserver market to reach almost $3 billion by 2020. The growth of this market is fueled by the rising adoption of big data analytics. Big data helps end users to understand large volumes of unstructured data and make business decisions accordingly. Big data analytics helps enterprises boost sales, increase efficiency, improve operations, customer service, and risk management, and subsequently gain a competitive edge in the market. It is ideal for large enterprises such as e-commerce solution providers and SMEs, which deal with large amounts of data. During 2015, the Americas accounted for around 48% of the overall market share and will be the largest market for data center microservers for the next four years. The market is thriving owing to the replacement of traditional servers with microservers, which is stimulated by an increase in awareness of power-efficient data center infrastructure.

The new market research report from Technavio presents a breakdown and analysis of data center microserver segments based on the end-user.

“Recently, there has been a noticeable upsurge in the implementation of software-defined data centers (SDDCs). SDDC supports both legacy applications and cloud computing services. It can also increase efficiency, lower costs, provide applications in minutes, offer higher availability and better security, and create prospects for delivery of workloads through the cloud. Vendors in the SDDC market such as Cisco and Citrix are targeting their offerings to support the centralized management of data center infrastructure, including servers, networks, and storage,” says Rakesh Panda, Lead Analyst, ICT, Technavio Research.

The cloud and hosting service providers segment currently dominates the global data center microserver market with a revenue of around $330 million and is expected to showcase substantial growth by 2020. The rate of adoption of cloud-based services such as IaaS, PaaS, and SaaS is on the rise with an increase in the number of organizations moving their applications to a web-based interface. Many cloud service providers (CSPs) also offer SaaS-based applications that are targeted for both enterprise and consumer use.

Dell, Fujitsu, HP, Huawei, Quanta Computer, and Super Micro Computer are the top vendors in this market space. The market has several component suppliers who are sub-contractors to the major vendors. The competitive landscape is moderate as the market is not very diverse as compared to other server-related segments. The probability of startups and large firms competing for market shares is average. Since the availability of high-density servers is quite ubiquitous, the increased adoption of microservers may be restricted in the market.

A more detailed analysis is available in the Technavio report, Global Data Center Microserver Market 2016-2020.

We can customize reports by other regions and specific segments upon request.

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