A data center server is a high-performance computing system designed to manage, store, and process data efficiently within data centers. These servers are essential components of modern IT infrastructure, enabling businesses, government organizations, and service providers to run applications, host websites, store vast amounts of data, and support cloud computing and virtualization.
The data center server market consists of sales, by entities (organizations, sole traders, or partnerships), of data center servers are primarily used by enterprises, cloud service providers, financial institutions, government agencies, and technology companies that require reliable and scalable computing power to handle large workloads and critical applications. They are utilized continuously, ensuring seamless operation of databases, enterprise applications, customer-facing services, and internal IT (Information Technology) systems.
The global data center server market was valued at $43,984.11 million in 2019 which grew till 2024 at a compound annual growth rate (CAGR) of more than 5.00%.
Growing Adoption of Cloud Computing
The growing adoption of cloud computing contributed to the growth of the data center server market in the historic period. The increasing adoption of cloud computing has substantially driven the demand for data center servers, as cloud service providers require reliable, scalable infrastructure to support extensive data storage and processing capabilities. This surge in demand has resulted in greater investments in data centers, further escalating the need for high-performance servers that can efficiently manage large volumes of data and deliver cloud-based services with optimal performance. For instance, in December 2023, according to Eurostat, a Luxembourg-based statistical office of the European Union, 45.2% of European Union (EU) enterprises purchased cloud computing services in 2023, which represents a 4.2 percentage point rise compared with 2021. Therefore, the growing adoption of cloud computing drove the growth of the data center server market.
Revolutionizing AI and Data Center Development with Modular Server Solutions
Major companies operating in the data center server market are focusing on revolutionizing AI and data center development with modular server solutions. This modular approach ensures that data centers and AI researchers can adapt the system to their specific requirements, such as adding or changing (Graphics Processing Units) GPUs, (Central Processing Units) CPUs, or DPUs (Data Processing Units), depending on the workload or task at hand. For instance, in December 2024, Chenbro, a Taiwan-based company that is involved in the design and manufacturing of rackmount servers and storage chassis for hyperscale data centers, launched its NVIDIA MGX server chassis solutions to support the growth of AI and data center infrastructure. Leveraging NVIDIA's MGX modular server architecture, these solutions offer enhanced flexibility and scalability for accelerated computing. Available in 1U, 2U and 4U configurations, the MGX system accommodates a variety of GPU, CPU and DPU options. The chassis solutions, which include both air-cooled and liquid-cooled models, are specifically engineered for AI training, high-performance computing (HPC) applications and big data processing, providing customized solutions to meet the diverse needs of various industries.
The global data center server markets are fairly fragmented, with a large number of small players operating in the market. The top 10 competitors in the market made up 16.10% of the total market in 2023.
Data Center Server Global Market Opportunities And Strategies To 2034 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global data center server market as it emerges from the COVID-19 shut down.
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Where is the largest and fastest-growing market for data center server? How does the market relate to the overall economy; demography and other similar markets? What forces will shape the market going forward? The data center server 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 history and forecasts market growth by geography. It places the market within the context of the wider data center server market; and compares it with other markets.
The report covers the following chapters
- Introduction And Market Characteristics - Brief introduction to the segmentations covered in the market, definitions and explanations about the segment by equipment, by product, by applications and verticals.
- Key Trends - Highlights the major trends shaping the global market. This section also highlights likely future developments in the market.
- Growth Analysis And Strategic Analysis Framework - Analysis on PESTEL, end use industries, market growth rate, global historic (2019-2024) and forecast (2024-2029, 2034F) market values and drivers and restraints that support and control the growth of the market in the historic and forecast periods, forecast growth contributors and total addressable market (TAM).
- Global Market Size And Growth - Global historic (2019-2024) and forecast (2024-2029, 2034F) market values and drivers and restraints that support and control the growth of the market in the historic and forecast periods.
- Regional And Country Analysis - Historic (2019-2024) and forecast (2024-2029, 2034F) market values and growth and market share comparison by region and country.
- Market Segmentation - Contains the market values (2019-2024) (2024-2029, 2034F) and analysis for each segment by Product, segment product, by applications and verticals in the market. Historic (2019-2024) and forecast (2024-2029) and (2029-2034) market values and growth and market share comparison by region market.
- Regional Market Size And Growth - Regional market size (2024), historic (2019-2024) and forecast (2024-2029, 2034F) market values and growth and market share comparison of countries within the region. This report includes information on all the regions Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa and major countries within each region.
- Competitive Landscape - Details on the competitive landscape of the market, estimated market shares and company profiles of the leading players.
- Other Major And Innovative Companies - Details on the company profiles of other major and innovative companies in the market.
- Competitive Benchmarking - Briefs on the financials comparison between major players in the market.
- Competitive Dashboard- Briefs on competitive dashboard of major players.
- Key Mergers and Acquisitions- Information on recent mergers and acquisitions in the market is covered in the report. This section gives key financial details of mergers and acquisitions which have shaped the market in recent years.
- Recent Developments - Information on recent developments in the market covered in the report.
- Market Opportunities And Strategies- Describes market opportunities and strategies based on findings of the research, with information on growth opportunities across countries, segments and strategies to be followed in those markets.
- Conclusions And Recommendations- This section includes recommendations for data center server providers in terms of product/service offerings geographic expansion, marketing strategies and target groups
- Appendix- This section includes details on the NAICS codes covered, abbreviations and currencies codes used in this report.
Markets Covered:
- 1) By Product: Rack Servers; Blade Servers; Microservers; Tower Servers
- 2) By Application: Industrial Servers; Commercial Servers
- 3) By Verticals: BFSI (Banking, Financial Services And Insurance); IT And Telecom; Government; Defense; Other Verticals
- Companies Mentioned: Dell Technologies Inc.; Supermicro; Asus; Gigabyte Technology; Microsoft Corp.
- Countries: China; Australia; India; Indonesia; Japan; South Korea; USA; Canada; Brazil; France; Germany; UK; Italy; Spain; Russia
- Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
- Time-series: Five years historic and ten years forecast.
- Data: Ratios of market size and growth to related markets; GDP proportions; expenditure per capita; data center server indicators comparison.
- Data segmentations: country and regional historic and forecast data; market share of competitors; market segments.
- Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.