Global Hyperscale Computing Market Size to Reach USD 2,729.56 Billion in 2032 | Emergen Research

Vancouver, Oct. 18, 2023 (GLOBE NEWSWIRE) -- The global hyperscale computing market size reached USD 149.07 Billion in 2020 and is expected to register a revenue CAGR of 27.4% during the forecast period, according to latest analysis by Emergen Research. Rising preference for high performance computing and technologies is a major factor expected to drive global hyperscale computing market revenue growth to a significant extent over the forecast period. Need for processing data at high speed and with high accuracy and precision continues to drive steady adoption of high performance computing solutions across various verticals and sectors globally.

Ability of a technology architecture to improve scale appropriately to accommodate any rising demand on the system is referred to as hyperscale. Also known as High-Performance Computing (HPC), it also includes ability to provide and add more resources to the system to increase distributed computing network as well as is crucial to construct a strong and scalable distributed system. Hyperscale is a combination of virtualization, storage, and compute layers of an infrastructure into a single solution architecture.

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Rapidly increasing demand for HPC solutions is providing opportunity to shift focus towards hyperscale computing, which in turn is expected to propel growth of the hyperscale computing market. Hyperscale computing meets growing data demands of an organization and adds extra resources to large, distributed, computing networks, and reduces the requirement for additional cooling, electrical power, or physical space, and this is also expected to reduce operational and capital costs. Majority of organizations are adopting hyperscale computing solutions due to low-cost investment with minimal configuration and it is also suitable for large-scale deployment.

Hyperscale architecture includes some innovative features such as redundancy for high availability and fault tolerance coupled with horizontal scalability for enabling high throughput and improved performance. Thus, an efficient hyperscale architecture coupled with well-designed applications can provide an organizations the ability to control an agile business, thereby enabling them to gain a competitive edge over competitors. Steady shift towards adoption of Infrastructure as a Service (IaaS) and Platform as a Service (PaaS) technologies will enable organizations to rapidly achieve high performance levels, reduce capital expenditure, improve security, and provide increased support during business continuity and disaster recovery. This is expected to boost growth of the hyperscale computing market to a certain extent over the forecast period. However, lack of control over data is a key factor expected to hamper growth of the market to a certain extent during forecast period.

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Scope of Research

Major Companies and Competitive Landscape

The global hyperscale computing market is fairly fragmented, with a number of large and medium-sized market players accounting for a major revenue share. Key players are deploying various strategies, entering into mergers and acquisitions, strategic agreements and contracts, adopting more advanced technologies for reducing capital and operational expenditures, improve computing power, and streamline business operation. Some prominent players operating in the hyperscale computing market are:

• Microsoft Corporation
• Amazon Web Services Inc.
• Cisco Systems Inc.
• Google LLC
• Apple Inc.
• International Machine Business Corporation (IBM)
• Dell Technologies Inc.
• Celestica Inc.
• Intel Corporation
• Hewlett Packard Enterprise Co.

Strategic Development

In April 2021, Intel Corporation announced the launch of 3rd Gen Intel Xeon Scalable processors, which is an advanced high performance data center platform. The new generation technology, compared to the prior generation, delivers a significantly more robust performance with an average 46% improvement on popular data center workloads. The processors also adds new and enhanced platform capabilities including Intel Crypto Acceleration, Intel DL Boost for AI acceleration, Intel SGX for built-in security, and Intel Crypto Acceleration for accelerating deployment across Artificial Intelligence, cloud, edge, security, and high performance computing applications.

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Some Key Highlights From the Report

• Service segment revenue is expected to expand at a significantly steady revenue CAGR over the forecast period owing to increase in number of hyperscale data centers service providers and rising number of hyperscale cloud providers for supporting and enabling organizations to adopt, migrate, and build cloud-native offerings.
• Small and medium-sized enterprises segment revenue is expected to expand at a significantly steady CAGR over the forecast period owing to increasing adoption of digital technology in operational and business processes, increasing dependence on cloud computing, Internet of Things, and big data, and increasing adoption of Hyper Converged Infrastructure (HCI) to enhance business productivity, and improve business agility and efficiency.
• Cloud segment is expected to lead in terms of revenue share over the forecast period due to steady shift of enterprise computing workloads to hyperscale cloud platforms and increasing adoption of hybrid cloud in business practices for better agility, reliability, scalability, low-cost, and improved accessibility.  
• BFSI segment revenue is expected to expand at a rapid CAGR over the forecast period owing to increasing growth in number of banking application, rising need to implement efficient scale-out infrastructure for managing vast data volumes, and increasing adoption of hybrid-cloud infrastructure.
• Asia Pacific market revenue is expected to register fastest CAGR than other regional markets over the forecast period due to rapid shift towards digitalization owing to rising number of digital initiatives conducted by governments of countries in the region, rising adoption of cloud computing technology, and steady growth in hyperscale data centers.
• In November 2020, Dell Technologies Inc. announced that it will incorporate NVIDIA’s new generation Mellanox InfiniBand architecture with a bandwidth of (400Gb/s) to accelerate Artificial Intelligence, hyperscale data centers, and high performance computing. Dell will integrate InfiniBand capabilities in HPC/AI systems to detect cancer through MRI imaging.

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Emergen Research has segmented the global hyperscale computing market on the basis of component, organization size, type, end-use, and region:

• Component Outlook (Revenue, USD Billion; 2019–2032)
  • Solution
    1. Server
    2. Storage
    3. Networking
  • Services
    1. Installation and Deployment
    2. Consultation
    3. Support & Maintenance
• Organization Size Outlook (Revenue, USD Billion; 2019–2032)
  • Large Enterprises
  • Small & Medium-Sized Enterprises
• Type Outlook (Revenue, USD Billion; 2019–2032)
  • Cloud
  • Data
• End-use Outlook (Revenue, USD Billion; 2019–2032)
  • BFSI
  • IT & Telecommunication
  • Retail & E-Commerce
  • Government & Defense
  • Research & Academics
  • Healthcare
  • Others
• Regional Outlook (Revenue, USD Billion; 2019–2032)
  • North America
    1. U.S.
    2. Canada
    3. Mexico
  • Europe
    1. Germany
    2. France
    3. U.K.
    4. Italy
    5. Spain
    6. BENELUX
    7. Rest of Europe
  • Asia Pacific
    1. China
    2. India
    3. Japan
    4. South Korea
    5. Rest of APAC
  • Latin America
    1. Brazil
    2. Rest of LATAM
  • Middle East & Africa
    1. Saudi Arabia
    2. UAE
    3. South Africa
    4. Turkey
    5. Rest of MEA

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