Hyper-Converged Infrastructure Market Outlook:
Hyper-Converged Infrastructure Market size was valued at USD 17.93 billion in 2025 and is projected to reach USD 151.3 billion by the end of 2035, rising at a CAGR of 23.8% during the forecast period, i.e., 2026-2035. In 2026, the industry size of hyper-converged infrastructure is assessed at USD 22.1 billion.
The market is poised for significant growth due to the rising demand for scalable IT solutions across various sectors. There have been humongous IT modernization efforts by governments to promote the widespread adoption and use of hyper-converged infrastructure (HCI). As reported by the U.S. Government Accountability Office in June 2025, the Department of Defense (DOD) set a budget of USD 10.9 billion for 24 major IT programs initiated between 2023 and 2025. Market players are acknowledging that the deployment of HCI systems in networking or computing can result in enhanced resource utilization and cost savings.
DOD’s Actual and Planned Costs for Selected IT Business Programs from FY 2023 through FY 2025
|
Initiatives |
Actual Budget (USD Million) 2023 |
Planned (USD Million) 2025 |
|
Department of Defense Healthcare Management System Modernization |
792 |
628 |
|
Navy Enterprise Resource Planning |
431 |
616 |
|
Joint Operational Medicine Information Systems |
141 |
212 |
|
Advancing Analytics |
102 |
163 |
|
Military Health System Information Platform |
110 |
151 |
|
Global Combat Support System-Marine Corps/Logistics Chain Management |
81 |
131 |
|
Enterprise Business Systems-Convergence |
1 |
139 |
|
Theater Medical Information Program-Joint Increment 2 |
32 |
69 |
Source: GAO
The need for cost reduction in organizations is anticipated to accelerate the adoption of hyper-converged infrastructure over time. Companies are eliminating the need to use and maintain multiple specialized hardware and software, since in HCI, computation, storage, and networking are consolidated into an individual system. Several technology companies are contributing to increasing the market availability of HCI, which can help other industrial businesses reduce operational costs. For example, at CloudFest 2025 in March 2025, ZTE and Virtuozzo unveiled their strategic partnership to launch a new HCI solution. The HCI solution is incorporated with S3 object storage software and high-performance server hardware with Virtuozzo Hybrid Infrastructure.
