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Research Review | Global Market Estimates projects global server market to exceed $131B by 2026

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Submitted by Steve Veith on
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The global server market is estimated to be valued at USD 89.91 billion in 2021 and is projected to reach USD 131.50 billion by 2026 at a CAGR of 7.9%. 
 
The main features which will lead to growth in the market are growing innovation in the market, rising number of data centers, increasing magnitude of data leading to better infrastructure requirements for processing speed, storage, as well as security, and rising dependency on data for daily work.
 
Server demand is expected to rise significantly over the forecast period, attributable to an expanding emphasis on the comprehensive updating of IT infrastructure around the globe. The increasing use of data analytics by businesses to better comprehend consumer preferences has culminated in an increase in the use of IT network infrastructure. Moreover, the deployment of 5G networks, as well as technological advances including the Internet of Things (IoT), cloud services, and virtualization, are foreseen to drive demand for high-performance computing servers.
 
The demand of the global market is growing and going faster as a result of increased creativity, technologies, and accessibility to supply. The increase in trademark and patent registration submissions year on year demonstrates it. This need for creativity is fueling the growth of the IT sector, which in turn is fueling the growth of the sector. Along with better accessibility to internet-related resources, as well as pandemic lockdown enforced by policymakers around the world, demand for data centers has enhanced. According to the report, the COVID-19 disease outbreak has greatly boosted internet traffic. This has culminated in boosting the need for data centers and subsequently the need for servers.
 
Global Server Market: By Product
Depending on the product, the market is categorized as micro, blade, open computer project, tower, and rack. The dominating segment in the market is predicted to be the rack. The factors driving this growth are flexibility of use provided by the rack, suitability of such products for high as well as low computing requirements, rapid cooling due to design, low space occupation on the floor, and the increasing number of data centers.
 
Global Server Market: By Vertical
Depending on the vertical, the market is categorized as energy, BFSI, government & defense, healthcare, IT & telecom, and others. IT & telecom is anticipated to be the fastest growing as well as the dominating segment. The growth of this category is due to an increase in network connections, strong global adoption of smartphones, the advent of new technologies such as the launch of 5G, and a growing reliance on technology for everyday work.
 
Global Server Market: By Channel
Depending on the channel, the market is categorized as systems integrator, direct, reseller, and others. The reseller is forecasted to be the dominating segment in the market. The factors responsible for this domination are the cost-effectiveness of the segment for customers as well as sellers, the freedom of choosing the customized design, and the growing need for servers in data centers.
 
Global Server Market: By Enterprise Size
Depending on the enterprise size, the market is categorized as micro, small, medium, and large. The large enterprise segment is predicted to witness dominance in the market. The rising investment in the IT infrastructure by large enterprises, growing connection for a customized and better product with service providers, growing innovation in the market, and the increasing magnitude of data leading to better infrastructure requirements for processing speed, storage, as well as security are the factors driving the growth of this segment.
 
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