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According to the new market research report “Micro Server IC Market with COVID-19 Impact by offering (Hardware, Software), Processor type (X86, ARM) Application (Web Hosting and Enterprise Applications, Analytics and Cloud Computing, Edge Computing), End-User (Enterpises and Data Center) and Region – Global Forecast to 2026″, published by MarketsandMarkets™, the market is estimated to be USD 1.2 billion in 2021 and is projected to reach USD 2.2 billion by 2026; it is expected to grow at a CAGR of 12.6% from 2021 to 2026. Low power consumption and low space utilization of micro servers, growth in the trend of cloud computing and web hosting, and emergence of hyperscale data center architecture are the major factors driving the growth of the micro server IC market. Increasing need for new data centers across emerging regions and rising importance of edge computing and micro data centers are projected to create lucrative opportunities for the players operating in the micro server IC market during the forecast period.
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The micro server IC market includes players like Intel Corporation (US), Advanced Micro Devices, Inc. (US), Hewlett Packard Enterprise Development LP (US), Quanta Computer Inc. (Taiwan), and NVIDIA Corporation (US). These players have strong market presence for leak detection solutions across various countries in North America, Europe, APAC, and RoW.
Growth in trend of cloud computing and web hosting to boost the market for micro server IC
The increasing demand for cloud and web-based services is driving the server market to deliver huge amounts of content for users across the world. These services related to web hosting or web browsing over the internet do not require high computation capability, which creates the need for low-processing power machines, thus driving the market for micro servers. Web hosting companies are prime candidates for micro server use for carrying out lightweight computing tasks. According to Hewlett Packard Enterprise, the increasing concern for data security is prompting organizations to have their own data centers; therefore, companies are taking an interest in micro servers. In addition, organizations are shifting toward cloud-related services to reduce their infrastructure and maintenance costs. Thus, with organizations increasingly opting to host applications and content over the cloud, the demand for low power consuming and highly scalable servers is growing, which is driving the micro server IC market.
Hardware segment is expected to lead the market during the forecast period
Hardware constitutes the main part of a micro server. The micro server hardware consists of many components, including a processor, network interface cards (NICs), peripheral component interconnect express (PCIe), graphics processing units (GPUs), memory, storage, and I/O controller. Players such as Intel and ARM are focusing on improving the capability of ICs by integrating more components into SoCs, such as memory, processor, and storage. The pressure to support billions of devices and users is changing the composition of data centers. Vendors are focusing on innovating new technologies for providing compact hardware solutions that OEMs require to build micro servers. SoC providers are focusing on creating new technologies such as integrated Gigabit Ethernet and new controllers to reduce the power consumption of the micro servers running on them.
Web hosting and enterprise applications to hold the largest market size of micro server IC market during the forecast period
Web hosting is a type of SaaS hosting solution that allows applications to be available from remote cloud infrastructure and to be accessed by users globally through the internet. Micro servers are ideal for web hosting, video streaming, downloads, social networking, and handling corporate logins, among other things. Micro servers are also used widely across enterprise applications as they are easy to configure, offer the reliability of a more robust server, and are powerful enough to handle many small business tasks.
Browse in-depth TOC on “Micro Server IC Market“
138 – Tables
52 – Figures
202 – Pages
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Micro server IC market in APAC to grow at the highest CAGR during the forecast period
APAC is expected to be the fastest-growing region for the micro server IC market due to major driving factors such as increasing demand for hyperscale data centers, increased media consumption and storage, rising number of internet users, and emerging technologies such as cloud computing and edge computing. APAC poses a great potential for the micro server industry due to the high growth of internet datacenters in this region. The 2 countries that stand out in this region are Japan and China. Global giants such as Facebook, Amazon, Alibaba, and Baidu have already established their data centers in this region and are planning to expand their dominance in other regions.
Intel Corporation (US), Advanced Micro Devices, Inc. (US), Hewlett Packard Enterprise Development LP (US), Quanta Computer Inc. (Taiwan), NVIDIA Corporation (US), Ambedded Technology Co., Ltd. (Taiwan), Dell Inc. (US), Fujitsu (Japan), Marvell (US), Super Micro Computer Inc. (US), Ampere Computing LLC. (US), Bamboo (UK), christmann informationstechnik + medien GmbH & Co. KG (Germany), HIRO micro data centers (Netherlands), Huawei Technologies Co. Ltd. (China), IBM (US), Lattice Semiconductor (US), NXP Semiconductors (Netherlands), SiPearl (France), and STMicroelectronics (Switzerland) are some of the key players in the micro server IC market.
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