The Global GPU as a Service Market size is expected to reach $22.4 billion by 2030, rising at a market growth of 34.9% CAGR during the forecast period.
GPUaaS providers allow automotive manufacturers to boost their research, development, and testing procedures. The demand for GPUaaS in computer vision and pattern recognition, signal processing, infotainment graphics, and automobile networking applications will rise as autonomous technology advances. Hence, the automotive segment would generate approximately 1/4thshare of the market by 2030. It has encouraged market participants to create new GPU products for automotive applications. Without making significant investments in specialized hardware, GPUaaS providers give automotive manufacturers scalable, on-demand access to high-performance GPUs. By utilizing GPUaaS, automakers could transform the automobile industry by improving vehicle design, enhancing safety features, maximizing fuel efficiency, and rapidly bringing cutting-edge autonomous technology to consumers.
The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, In May, 2023, Vultr teamed up with Console Connect to provide organizations and developers from all over the world with a secure, direct connection to our cloud servers. In September, 2019, Alibaba Cloud joined hands with Ubitus to offer a quick solution to turn games into video streaming, promote the greatest gaming environment, and greatly increase global multi-screen revenue by integrating Alibaba Cloud with Ubitus GPU public cloud gaming solutions.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Amazon Web Services, Inc. (Amazon.com, Inc.), Google LLC (Alphabet Inc.), IBM Corporation, Alibaba Cloud (Alibaba Group Holding Limited), Lambda Inc., Hewlett Packard Enterprise Company (HP Development Company L.P.), Linode LLC (Akamai Technologies, Inc.), CoreWeave, Inc., Vultr (The Constant Company, LLC), and OVH Groupe S.A
GPUaaS providers allow automotive manufacturers to boost their research, development, and testing procedures. The demand for GPUaaS in computer vision and pattern recognition, signal processing, infotainment graphics, and automobile networking applications will rise as autonomous technology advances. Hence, the automotive segment would generate approximately 1/4thshare of the market by 2030. It has encouraged market participants to create new GPU products for automotive applications. Without making significant investments in specialized hardware, GPUaaS providers give automotive manufacturers scalable, on-demand access to high-performance GPUs. By utilizing GPUaaS, automakers could transform the automobile industry by improving vehicle design, enhancing safety features, maximizing fuel efficiency, and rapidly bringing cutting-edge autonomous technology to consumers.
The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, In May, 2023, Vultr teamed up with Console Connect to provide organizations and developers from all over the world with a secure, direct connection to our cloud servers. In September, 2019, Alibaba Cloud joined hands with Ubitus to offer a quick solution to turn games into video streaming, promote the greatest gaming environment, and greatly increase global multi-screen revenue by integrating Alibaba Cloud with Ubitus GPU public cloud gaming solutions.
The Cardinal Matrix - Market Competition Analysis
Based on the analysis presented in the The Cardinal Matrix; Google LLC is the forerunner in the Market. In February, 2023, Google entered into a partnership with Anthropic to utilize Anthropic capabilities in providing cloud-driven solutions. Companies such as Alibaba Cloud, IBM Corporation, Linode LLC are some of the key innovators in the Market.
Market Growth Factors
Growth In the Number of Applications
Recent years have experienced the rising popularity of GPU high-performance computing, self-driving cars, and other superior AI applications. GPUs are used with server CPUs to accelerate applications and enhance performance while cloud computing usage grows. Growth potential has been produced by the GPUaaS's operational features and ability to be customized. The expanding need for more powerful computing drives research and development for enhanced and efficient GPUs. Additionally, it is anticipated that the growing acceptance of virtualization and remote work will encourage market expansion further.Expanding Gaming Industries
Market players in the gaming sector have been prompted to emphasize device compatibility and efficiency as they shift their attention from physical to online gaming. The development of 5G technology has reduced the current challenges with online gaming, such as lag, by providing a better cloud streaming experience, as 5G latency is much lower than that of 4G. A significant factor in the expansion of the video game industry has been the growing popularity of video games among young adults worldwide. Thus, in the coming years, the market expansion will be accelerated by an increase in disposable income and significant spending on gaming applications.Market Restraining Factors
Existing Concerns About Vendor Lock-In
Due to the lack of standards, vendor lock-in is a significant obstacle to adopting GPUaaS. The vendor lock-in issue has been tackled primarily through advances in technology. Numerous studies don't analyze and demonstrate the complexity of the vendor lock-in issue in the cloud context. The majority of consumers thus remain unaware of the proprietary standards that limit the portability and interoperability of applications when they purchase services from suppliers. The concerns regarding the existing vendor-lock-in may constrain the expansion of the market.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
Enterprise Type Outlook
Based on enterprise type, the market is fragmented into small & medium-sized enterprises and large enterprises. In 2022, the large enterprises segment held the highest revenue share in the market. The virtual desktop infrastructure of large enterprises may be improved by GPU as a service, giving employees better graphics performance and support for employment opportunities requiring a visual-intensive application. A GPU infrastructure requires a lot of resources to manage and maintain. GPUaaS solutions relieve companies from the administrative tasks of controlling, preserving, and upgrading their hardware.Deployment Type Outlook
On the basis of deployment type, the market is segmented into private, public, and hybrid. The hybrid segment acquired a substantial revenue share in the market in 2022. The benefits of both delivery models are provided to users via this solution, which combines private cloud and on-premise GPU technology. Organizations like Intel, AMD, and NVIDIA offer computing systems with GPU support to scale data-intensive computation. Customers have the alternative of maintaining some systems and data internally while utilizing external services via a hybrid cloud.
Application Type Outlook
By application, the market is classified into healthcare, BFSI, manufacturing, telecom & IT, automotive, and others. In 2022, the telecom and IT segment registered the highest revenue share in the market. IT and telecom firms produce large amounts of data that companies utilize to learn more and enhance their offerings. GPUaaS provides the computational capacity needed for sophisticated data analytics and machine learning. GPUaaS can be utilized in the telecommunications industry for network optimization activities.Regional Outlook
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2022, the North America region witnessed the largest revenue share in the market. The industrial sector in North America is extremely susceptible to integrating AI, IoT, and robotics technology because this region is one of the earliest to accept new technologies. By designing and simulating advanced technology goods, including IoT devices, AI chipsets, and industrial robots employing GPU technology, market participants in the region are encouraging market growth.The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Amazon Web Services, Inc. (Amazon.com, Inc.), Google LLC (Alphabet Inc.), IBM Corporation, Alibaba Cloud (Alibaba Group Holding Limited), Lambda Inc., Hewlett Packard Enterprise Company (HP Development Company L.P.), Linode LLC (Akamai Technologies, Inc.), CoreWeave, Inc., Vultr (The Constant Company, LLC), and OVH Groupe S.A
Strategies Deployed in the Market
Partnerships, Collaborations and Agreements:
- May-2023: Vultr teamed up with Console Connect, a leading Network-as-a-Service (NaaS) platform. Businesses can connect directly to Vultr servers from more than 900 data center locations across more than 50 nations thanks to Vultr's integration with the Console Connect platform in several geographic areas. Through this partnership, the company would be able to provide organizations and developers from all over the world with a secure, direct connection to our cloud servers, as well as the fastest connectivity and quality of service.
- Feb-2023: Vultr formed a partnership with Bharti Airtel, India’s leading communications solutions provider. With 30 cloud data center locations worldwide, including three in Airtel data centers in India, Vultr offers unmatched price-to-performance and a global footprint. Vultr is the perfect platform for driving corporate transformation and digital success when combined with Airtel's unrivaled connectivity and managed services capabilities.
- Feb-2023: Google entered into a partnership with Anthropic, an AI-based startup to develop reliable and Credible AI systems. This partnership would enable Google to utilize Anthropic capabilities in providing cloud-driven solutions and integrate with Google's expertise in the training and deployment of AI systems, to build AI-enabled systems.
Product Launches and Product Expansions:
- Feb-2023: Vultr released Cloud GPU availability of the NVIDIA A16, the premier graphics processing unit (GPU) for virtual desktop infrastructure (VDI). The NVIDIA A16 delivers a user experience for remote employees that is almost identical to that of a native PC because it is specifically designed for high-density, graphics-rich VDI. The NVIDIA A16 expands the company's efforts to democratize access to accelerated computing by joining the NVIDIA A100 Tensor Core GPU and NVIDIA A40 in the Vultr portfolio.
- May-2022: Vultr today announced that Vultr Talon, powered by NVIDIA GPUs and NVIDIA AI Enterprise software, is now available in beta. A breakthrough cloud-based platform, Vultr Talon offers affordable accelerated computing by enabling GPU sharing, so multiple workloads can efficiently run on a single NVIDIA GPU.
Acquisitions and Mergers:
- Aug-2023: IBM took over Apptio Inc., a technology business management (TBM) software as a service (SaaS) application. The combination of Apptio products and IBM's IT automation portfolio will give businesses a 360-degree technology management platform they can use to optimize and automate decisions across their IT landscapes.
- May-2023: IBM Corporation took over Polar Security, a cloud security solutions provider. The acquisition strengthens IBM's AI and hybrid cloud capabilities.
- Jan-2023: CoreWeave Inc. completed the acquisition of Conductor Technologies Inc., a provider of rendering software, to expand its product portfolio. With this acquisition, the company would enhance its portfolio by integrating Conductor's offering with CoreWeave’s GPU-optimized cloud platform.
Geographical Expansions:
- May-2023: Vultr expanded its footprint by opening a data center in Tel Aviv, Israel. This expansion would offer democratized access to cloud infrastructure for the nation's expanding tech sector. With the addition of Tel Aviv and its brand-new location in Manchester, England, the company would boost its pace of international growth.
- Sep-2022: With the launch of two new data centers in Bangalore and Delhi NCR, Vultr expanded its presence in India. In comparison to AWS, Google, or any other global independent cloud, Vultr now offers service in more Indian regions. With this expansion, the company aimed to provide easy-to-use, high-performance, and efficient cloud computing to businesses and developers worldwide.
Scope of the Study
By Enterprise Type
- Large Enterprises
- Small & Medium Enterprises
By Deployment Type
- Private
- Public
- Hybrid
By Application
- Telecom & IT
- Manufacturing
- BFSI
- Healthcare
- Automotive
- Others
By Geography
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Singapore
- Malaysia
- Rest of Asia Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Key Market Players
List of Companies Profiled in the Report:
- Amazon Web Services, Inc. (Amazon.com, Inc.)
- Google LLC (Alphabet Inc.)
- IBM Corporation
- Alibaba Cloud (Alibaba Group Holding Limited)
- Lambda Inc.
- Hewlett Packard Enterprise Company (HP Development Company L.P.)
- Linode LLC (Akamai Technologies, Inc.)
- CoreWeave, Inc.
- Vultr (The Constant Company, LLC)
- OVH Groupe S.A
Unique Offerings
- Exhaustive coverage
- The highest number of Market tables and figures
- Subscription-based model available
- Guaranteed best price
- Assured post sales research support with 10% customization free
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 4. Competition Analysis - Global
Chapter 5. Global GPU as a Service Market by Enterprise Type
Chapter 6. Global GPU as a Service Market by Deployment Type
Chapter 7. Global GPU as a Service Market by Application
Chapter 8. Global GPU as a Service Market by Region
Chapter 9. Company Profiles
Companies Mentioned
- Amazon Web Services, Inc. (Amazon.com, Inc.)
- Google LLC (Alphabet Inc.)
- IBM Corporation
- Alibaba Cloud (Alibaba Group Holding Limited)
- Lambda Inc.
- Hewlett Packard Enterprise Company (HP Development Company L.P.)
- Linode LLC (Akamai Technologies, Inc.)
- CoreWeave, Inc.
- Vultr (The Constant Company, LLC)
- OVH Groupe S.A
Methodology
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