This year, the global server market revenue will increase by 17% compared to last year and stand at $111.7 billion. According to the Global Server Sales Tracker report by Counterpoint Research, revenue from the server sector was lower in those two years due to lower spending on IT infrastructure renewals and development in 2020 and 2021 due to the pandemic. For the supply chain crisis, in the second half of 2021, there was a problem in the value chain of power IC from the accelerator chip. Its impact is being felt in the first half of this year as well. However, at this time, large companies have increased their investment by emphasizing on supercomputing, edge computing and 5G connection. Due to the emphasis on digital transformation and the cloud, the server sector is expected to grow at double digits this year.
Akshara Bassi, a research analyst at Counterpoint Research, said companies are focusing on strengthening their infrastructure in an environment of inflation and rapid change. In terms of infrastructure, the growing demand for Web 3.0 is contributing to this. Companies are under pressure to diversify their IT infrastructure to meet the demands of data evolution and prepare customers for cloud services.
Bassi added that companies like Dell and HPE are at the forefront of the server market. However, companies like Lenovo, Inspar and Supermicro are also trying to gain a stronger position.
Meanwhile, after a couple of years of slowdown in the Corona pandemic, the sector is expected to be quite strong this year. The transformation of the current hybrid cloud system and the steps taken by various organizations to renovate the existing infrastructure will increase the revenue of the server sector. In addition, the expansion of 5G services, the car industry, cloud gaming and increasing demand for high-performance computers will play a role in expanding the data center of cloud service providers, the stakeholders said.
Currently, the spread of services such as ‘As-A-Service’ and ‘Pay Per Use’ model is playing a role in the transformation of the server market. It is led by server companies such as HPE’s PointNext, Dell’s Apex and Lenovo’s TrueScale. The two business models are seeing considerable success due to the flexibility in accepting this service at the minimum cost to the customers.
