Enterprise Server Sector: Growth Drivers and Challenges
Growth Drivers
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Increasing Adoption of Cloud Technology - It is expected that rapid server virtualization has resulted in enterprises shifting their data storage to the private cloud, therefore raising the need for the deployment of enterprise servers. For instance, more than 40 percent of European enterprises used cloud computing in the year 2021.
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Rise in Demand for Data Center Memory – There has been a surge in the demand for data center memory owing to the rise in enterprise data. Therefore, it is predicted to surge the growth of the global enterprise server market. As per the estimate, nearly 38 percent of the global storage requirements are increasing every year.
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New Product Launches to Flourish the Market- With the new product launches, the enterprise server market is predicted to grow. AWS on April 2021, launched the SAP deployments of SUSE Linux enterprise server that is easy to use and adheres to the best of AWS practices.
Challenges
- High Installation Cost and Shift towards Cloud Services- Installation of enterprise server costs significantly high to the organizations. Moreover, enterprise servers demand frequent upgrades and maintenance, therefore adding more costs to the organizations. Additionally, there is also a fear of failure of server equipment among the organizations, the repairing of which costs significantly high. Global enterprise server spending grew 10.8% in 2021 and rise steadily.
- Lack of Advanced Technical Expertise
- Cyber Hacking and Security Threats
Enterprise Server Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
7.7% |
|
Base Year Market Size (2024) |
USD 87.67 billion |
|
Forecast Year Market Size (2037) |
USD 229.96 billion |
|
Regional Scope |
|
