Hardware as a Service Market Report 2026

The hardware as a service market size has grown exponentially in recent years. It will grow from $127.52 billion in 2025 to $157.73 billion in 2026 at a compound annual growth rate (CAGR) of 23.7%. The growth in the historic period can be attributed to rising adoption of cloud computing, increasing demand for cost-efficient IT solutions, growth of enterprise IT spending, need for hardware upgrades without capital expenditure, emergence of managed IT service providers.

The hardware as a service market size is expected to see exponential growth in the next few years. It will grow to $365.78 billion in 2030 at a compound annual growth rate (CAGR) of 23.4%. The growth in the forecast period can be attributed to expansion of IoT-enabled devices, increasing adoption of hybrid cloud models, growing focus on sustainability and e-waste reduction, rising demand for edge computing solutions, integration of AI for predictive hardware maintenance. Major trends in the forecast period include subscription-based hardware provisioning, managed IT infrastructure services, flexible hardware scaling, predictive maintenance for devices, hardware lifecycle optimization.

The growing adoption of internet of things devices is expected to boost the hardware as a service market. Internet of things devices are physical objects equipped with sensors, software, and connectivity to collect, exchange, and act on data via the internet. Their adoption is rising due to their ability to collect and transmit real-time data, enabling businesses and individuals to monitor, analyze, and respond to events instantly. Hardware as a service supports this growth by providing scalable infrastructure for deploying and managing IoT devices without large upfront investments. For example, in July 2025, the European Commission reported that the number of installed IoT-connected devices reached approximately 40 billion in 2023 and is projected to grow to 49 billion by 2026, representing an annual growth rate of 7 percent. Therefore, the adoption of IoT devices is propelling growth in the hardware as a service market.

Major companies in the hardware-as-a-service market are developing hybrid unified communications platforms to provide seamless, scalable, and cost-effective collaboration across distributed workforces. A hybrid unified communications platform integrates voice, video, messaging, and collaboration tools across on-premises and cloud environments. In April 2025, Zultys Inc., a US-based telecommunications company, launched Hardware as a Service, offering subscription-based access to unified communications hardware. The solution allows businesses to use enterprise-grade phones, PBX systems, and related equipment without large upfront costs, with predictable per-user, per-month pricing. The HaaS model supports on-premise, cloud, and hybrid deployments, ensuring business continuity, redundancy, and seamless communication across multiple locations.

In May 2025, Aker Business, Inc., a US-based private equity and investment firm, acquired Elarasys Worldwide, LLC and IT Hardware Plus, LLC for an undisclosed sum. Aker Business aims to expand its presence in the IT services sector by integrating Elarasys's IT hardware solutions and IT Hardware Plus's technology infrastructure services. Elarasys Worldwide, LLC is a US-based provider of IT hardware and services, offering cost-effective solutions for data centers and enterprise environments. IT Hardware Plus, LLC is a US-based provider of technology infrastructure solutions, including hyper-converged infrastructure, cloud services, and hardware as a service (HaaS).

Major companies operating in the hardware as a service market are Microsoft Corporation, Dell Technologies Inc., Hewlett Packard Enterprise Company, Cisco Systems Inc., Amazon.com Inc., Alphabet Inc. (Google LLC), Lenovo Group Limited, HP Inc., Samsung Electronics Co. Ltd., NetApp Inc., Pure Storage Inc., NVIDIA Corporation, Huawei Technologies Co. Ltd., Hitachi Ltd., Ingram Micro Inc., Panasonic Holdings Corporation, Fujitsu Limited, International Business Machines Corporation, Arista Networks Inc., Nokia Corporation, Juniper Networks Inc., Xyte Inc., PCG IT Services LLC, CSC Leasing Company, ioX-Connect Inc., Century Solutions Group Inc., and Capstone IT Services LLC.

North America was the largest region in the hardware as a service market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hardware as a service market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hardware as a service market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Tariffs have impacted the hardware as a service market by increasing costs for imported computing, networking, and storage equipment, which affects pricing and subscription models. The tariffs particularly impact hardware-dependent services and regions like North America and Europe that rely on imported devices. While this raises operational costs for service providers, it also incentivizes local manufacturing and sourcing strategies, potentially fostering regional production hubs and reducing dependency on international supply chains.

The hardware as a service market research report is one of a series of new reports that provides hardware as a service market statistics, including hardware as a service industry global market size, regional shares, competitors with a hardware as a service market share, detailed hardware as a service market segments, market trends and opportunities, and any further data you may need to thrive in the hardware as a service industry. This hardware as a service market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Hardware as a service is a model where organizations access physical computing hardware such as servers, desktops, networking devices, or storage on a subscription or pay-per-use basis rather than purchasing it outright. It allows access to current technology without large upfront costs, while maintenance, upgrades, and support are typically handled by the provider. This approach helps reduce capital expenditure, ensures scalability, and provides flexible managed access to essential hardware resources.

The main components of hardware as a service are hardware and services. Hardware includes physical IT infrastructure such as servers, storage devices, networking equipment, and computing devices, designed to support enterprise operations. These components are available to small and medium enterprises as well as large enterprises, distributed via offline and online channels, and applied across on-premises, public cloud, private cloud, and hybrid cloud deployment models. End-use industries include retail and wholesale, education, banking, financial services and insurance, manufacturing, healthcare, information technology and telecommunications, and other sectors.

The hardware as a service market includes revenues earned by entities through hardware installation and configuration, system monitoring and management, regular maintenance and repairs, firmware and software updates, technical support and troubleshooting, asset lifecycle management, and hardware optimization consulting. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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