This report describes and explains the data center server market and covers 2019-2024, termed the historic period, and 2024-2029, 2034F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.
The global data center server market reached a value of nearly $56.89 billion in 2024, having grown at a compound annual growth rate (CAGR) of 5.28% since 2019. The market is expected to grow from $56.89 billion in 2024 to $82.33 billion in 2029 at a rate of 7.67%. The market is then expected to grow at a CAGR of 7.45% from 2029 and reach $117.92 billion in 2034.
Growth in the historic period resulted from increasing data traffic, growing adoption of cloud computing, growing smart city initiative and proliferation of big data and analytics. Factors that negatively affected growth in the historic period were the high initial investment and operational costs and rising restrictive regulations.
Going forward, the rise in 5G connectivity, shift towards digital transformation across industries, growing adoption of IoT devices and surge in AI applications support will drive growth. Factor that could hinder the growth of the data center server market in the future include were cybersecurity threats and high energy consumption.
North America was the largest region in the data center server market, accounting for 37.25% or $21.19 billion of the total in 2024. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the data center server market will be Asia-Pacific and South America where growth will be at CAGRs of 8.79% and 8.53% respectively. These will be followed by Africa and Middle East where the markets are expected to grow at CAGRs of 8.01% and 7.96% respectively.
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. Dell Technologies Inc. was the largest competitor with a 2.59% share of the market, followed by Supermicro with 2.34%, Asus with 2.12%, Gigabyte Technology with 1.98%, Microsoft Corp. with 1.93%, Quanta Computer Incorporated (Quanta Cloud Technology) with 1.19%, International Business Machines Corporation (IBM) with 1.07%, Hewlett Packard Enterprise Company with 1-01%, Cisco Systems Inc. with 0.99% and NEC Corporation with 0.88%.
The data center server market is segmented by product into rack servers, blade servers, microservers and tower servers. The rack servers market was the largest segment of the data center server market segmented by product, accounting for 54.11% or $30.78 billion of the total in 2024. Going forward, the microservers segment is expected to be the fastest growing segment in the data center server market segmented by product, at a CAGR of 17.19% during 2024-2029.
The data center server market is segmented by application into industrial servers and commercial servers. The industrial servers market was the largest segment of the data center server market segmented by application, accounting for 38.33% or $21.81 billion of the total in 2024. Going forward, the commercial servers segment is expected to be the fastest growing segment in the data center server market segmented by application, at a CAGR of 8.88% during 2024-2029.
The data center server market is segmented by verticals into BFSI (Banking, Financial Services And Insurance), IT and telecom, government, defense and other verticals. The BFSI (Banking, Financial Services And Insurance) market was the largest segment of the data center server market segmented by verticals, accounting for 28.91% or $16.44 billion of the total in 2024. Going forward, the IT and telecom segment is expected to be the fastest growing segment in the data center server market segmented by verticals, at a CAGR of 9.59% during 2024-2029.
The top opportunities in the data center server market segmented by product will arise in the rack servers segment, which will gain $11.46 billion of global annual sales by 2029. The top opportunities in the data center server market segmented by application will arise in the commercial servers segment, which will gain $18.6 billion of global annual sales by 2029. The top opportunities in the data center server market segmented by verticals will arise in the IT and telecom segment, which will gain $11.29 billion of global annual sales by 2029. The data center server market size will gain the most in the USA at $7.82 billion.
Market-trend-based strategies for the data center server market include revolutionizing AI and data center development with modular server solutions, introduction on localized and scalable data center solutions to support AI and cloud infrastructure expansion, high-density computing servers for optimized data center resources, next-generation blade server delivers unmatched performance and scalability.
Player-adopted strategies in the data center server market include focus on expanding its business capabilities through innovative product launch to expand its operational capabilities and manufacturing capabilities through strategic investment.
To take advantage of the opportunities, the analyst recommends the data center server focus on expanding modular server solutions for ai and data center growth, focus on expanding localized and sustainable infrastructure, focus on high-density, energy-efficient server development, focus on advancing blade server technology for enhanced scalability, focus on microservers for growth, expand in emerging markets, continue to focus on developed markets, focus on expanding distribution channels for data center servers, focus on optimizing pricing strategies for data center servers, focus on targeted digital marketing, focus on industry partnerships and webinars, focus on targeting it and telecom end-users.
The global data center server market reached a value of nearly $56.89 billion in 2024, having grown at a compound annual growth rate (CAGR) of 5.28% since 2019. The market is expected to grow from $56.89 billion in 2024 to $82.33 billion in 2029 at a rate of 7.67%. The market is then expected to grow at a CAGR of 7.45% from 2029 and reach $117.92 billion in 2034.
Growth in the historic period resulted from increasing data traffic, growing adoption of cloud computing, growing smart city initiative and proliferation of big data and analytics. Factors that negatively affected growth in the historic period were the high initial investment and operational costs and rising restrictive regulations.
Going forward, the rise in 5G connectivity, shift towards digital transformation across industries, growing adoption of IoT devices and surge in AI applications support will drive growth. Factor that could hinder the growth of the data center server market in the future include were cybersecurity threats and high energy consumption.
North America was the largest region in the data center server market, accounting for 37.25% or $21.19 billion of the total in 2024. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, the fastest-growing regions in the data center server market will be Asia-Pacific and South America where growth will be at CAGRs of 8.79% and 8.53% respectively. These will be followed by Africa and Middle East where the markets are expected to grow at CAGRs of 8.01% and 7.96% respectively.
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. Dell Technologies Inc. was the largest competitor with a 2.59% share of the market, followed by Supermicro with 2.34%, Asus with 2.12%, Gigabyte Technology with 1.98%, Microsoft Corp. with 1.93%, Quanta Computer Incorporated (Quanta Cloud Technology) with 1.19%, International Business Machines Corporation (IBM) with 1.07%, Hewlett Packard Enterprise Company with 1-01%, Cisco Systems Inc. with 0.99% and NEC Corporation with 0.88%.
The data center server market is segmented by product into rack servers, blade servers, microservers and tower servers. The rack servers market was the largest segment of the data center server market segmented by product, accounting for 54.11% or $30.78 billion of the total in 2024. Going forward, the microservers segment is expected to be the fastest growing segment in the data center server market segmented by product, at a CAGR of 17.19% during 2024-2029.
The data center server market is segmented by application into industrial servers and commercial servers. The industrial servers market was the largest segment of the data center server market segmented by application, accounting for 38.33% or $21.81 billion of the total in 2024. Going forward, the commercial servers segment is expected to be the fastest growing segment in the data center server market segmented by application, at a CAGR of 8.88% during 2024-2029.
The data center server market is segmented by verticals into BFSI (Banking, Financial Services And Insurance), IT and telecom, government, defense and other verticals. The BFSI (Banking, Financial Services And Insurance) market was the largest segment of the data center server market segmented by verticals, accounting for 28.91% or $16.44 billion of the total in 2024. Going forward, the IT and telecom segment is expected to be the fastest growing segment in the data center server market segmented by verticals, at a CAGR of 9.59% during 2024-2029.
The top opportunities in the data center server market segmented by product will arise in the rack servers segment, which will gain $11.46 billion of global annual sales by 2029. The top opportunities in the data center server market segmented by application will arise in the commercial servers segment, which will gain $18.6 billion of global annual sales by 2029. The top opportunities in the data center server market segmented by verticals will arise in the IT and telecom segment, which will gain $11.29 billion of global annual sales by 2029. The data center server market size will gain the most in the USA at $7.82 billion.
Market-trend-based strategies for the data center server market include revolutionizing AI and data center development with modular server solutions, introduction on localized and scalable data center solutions to support AI and cloud infrastructure expansion, high-density computing servers for optimized data center resources, next-generation blade server delivers unmatched performance and scalability.
Player-adopted strategies in the data center server market include focus on expanding its business capabilities through innovative product launch to expand its operational capabilities and manufacturing capabilities through strategic investment.
To take advantage of the opportunities, the analyst recommends the data center server focus on expanding modular server solutions for ai and data center growth, focus on expanding localized and sustainable infrastructure, focus on high-density, energy-efficient server development, focus on advancing blade server technology for enhanced scalability, focus on microservers for growth, expand in emerging markets, continue to focus on developed markets, focus on expanding distribution channels for data center servers, focus on optimizing pricing strategies for data center servers, focus on targeted digital marketing, focus on industry partnerships and webinars, focus on targeting it and telecom end-users.
Major Market Trends
- Revolutionizing AI and Data Center Development with Modular Server Solutions
- Introduction on Localized and Scalable Data Center Solutions to Support AI and Cloud Infrastructure Expansion
- High-Density Computing Servers for Optimized Data Center Resources
- Next-Generation Blade Server Delivers Unmatched Performance and Scalability
Key Mergers and Acquisitions
- AMD Acquired ZT Systems
- Redcentric Acquired 4D Data Centres
- Bit Digital, Inc. Acquired Enovum Data Centers
- Microsoft Corporation Acquired Fungible Inc.
Table of Contents
1 Executive Summary
6 Market Characteristics
7 Major Market Trends
8 Global Data Center Server
9 Global Data Center Server Market Segmentation
10 Data Center Server Market, Regional and Country Analysis
11 Asia-Pacific Market
12 Western Europe Market
13 Eastern Europe Market
14 North America Market
15 South America Market
16 Middle East Market
17 Africa Market
18 Competitive Landscape and Company Profiles
19 Other Major and Innovative Companies
22 Key Mergers and Acquisitions
23 Recent Developments in the Data Center Server Market
24 Opportunities and Strategies
25 Data Center Server Market, Conclusions and Recommendations
26 Appendix
Executive Summary
Data Center Server Global Market Opportunities and Strategies to 2034 provides the strategists; marketers and senior management with the critical information they need to assess the global data center server market.Reasons to Purchase
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Description
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 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 Servers2) by Application: Industrial Servers; Commercial Servers
3) by Verticals: BFSI (Banking, Financial Services and Insurance); IT and Telecom; Government; Defense; Other Verticals
Key Companies Profiled: 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 Segmentation: 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.
Companies Mentioned
The companies featured in this Data Center Server market report include:- Dell Technologies Inc.
- Supermicro
- Asus
- Gigabyte Technology
- Microsoft Corp.
- Quanta Computer Incorporated (Quanta Cloud Technology)
- International Business Machines Corporation (IBM)
- Hewlett Packard Enterprise Company
- Cisco Systems Inc.
- NEC Corporation
- National Informatics Centre Services Inc. (NICSI)
- Sirius Digitech Limited
- Netweb Technologies India Limited
- PhonePe
- NEXTDC
- AirTrunk
- HCLTech
- GDS Holdings
- CapitaLand Investment Limited (CLI)
- Huawei Technologies Corporate Limited
- NetEase Inc.
- TheServerHost
- Inspur Group
- Lenovo Group Limited
- Alibaba Cloud (Aliyun)
- KDDI Corporation
- EdgeConneX
- OPTAGE Inc.
- Fujitsu
- Itochu Techno-Solutions (CTC)
- KVH Co., Ltd.
- Hitachi, Ltd.
- SK Ecoplant Co.
- Gcore
- Samsung SDS
- LG CNS
- Korea Internet Neutral Exchange (KINX)
- OVHcloud
- Schneider Electric
- Equinix
- Hyve Managed Hosting
- Hetzner
- ABB Ltd
- Media Datacentre
- Ramboll Group A/S
- i3 Solutions Group
- Segro
- T-Mobile
- Switch Datacenters
- Atman
- Global Connect SP z.o.o.
- IBA Group
- Selectel
- Carrier Romania
- Asseco Poland S.A.
- Computaris
- Exaion
- Inova DC Inc.
- Flex Ltd
- Eaton Corporation Plc
- Amazon Web Services (AWS)
- Oracle Corporation
- Super Micro Computer Inc.
- Iron Systems Inc.
- Penguin Computing Inc.
- Intel Corporation
- Advanced Micro Devices Inc. (AMD)
- NVIDIA Corporation
- Black Box Corporation
- DataDirect Networks Inc.
- Seagate Technology plc
- CenterServ International Ltd.
- Cologix
- Celestica Inc.
- Rogers Communications
- Bell Canada
- Cogeco Peer 1
- Q9 Networks
- Petroleo Brasileiro S.A.
- OData
- EdgeUno
- HostDime
- Ascenty
- Grupo FS
- STC (Saudi Telecom Company)
- G42 Cloud
- Emirates Telecommunications Group Company PJSC (Etisalat Group)
- Saudi Telecom Company (STC Solutions)
- Injazat Data Systems LLC
- MEEZA QSTP-LLC
- Gulf Business Machines B.S.C.
- Al Moammar Information Systems Company
- Omnix International LLC
- Teraco Data Environments
- Angola Cables
- Internet Solutions
- Business Connexion Group - BCX
- Paratus
- Open Access Data Centres - OADC
- Africa Data Centres
- PAIX Data Centres
- Huawei Technologies
- MTN Group
- Vodacom Business Africa
- Wingu Africa
- Raxio Group
- iColo
- Africa Internet Group - AIG
- Orange Data Centres
Table Information
Report Attribute | Details |
---|---|
No. of Pages | 345 |
Published | June 2025 |
Forecast Period | 2024 - 2034 |
Estimated Market Value ( USD | $ 56.89 Billion |
Forecasted Market Value ( USD | $ 82.33 Billion |
Compound Annual Growth Rate | 3.8% |
Regions Covered | Global |
No. of Companies Mentioned | 111 |