White Box Server Market size was over USD 10.26 billion in 2023 and is anticipated to cross USD 60.33 billion by the end of 2036, growing at more than 14.6% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of white box server is estimated at USD 11.46 billion.
Extensive research associated with white box servers in western countries, along with the increasing adoption of white-box servers among end-users is expected to fuel the progress of the market. The growth of the white box server market can also be attributed to factors such as the growing number of data centers across the globe.
White box server are data centre computer found in the giant internet companies dealing with the huge data on daily basis. Enterprise can construct an in-house white box server using retail computer parts, which are commercially available. It helps in securing the highly confidential data at lower cost with customized quality.
Growth Drivers
Challenges
Base Year |
2023 |
Forecast Year |
2024-2036 |
CAGR |
14.6% |
Base Year Market Size (2023) |
USD 10.26 billion |
Forecast Year Market Size (2036) |
USD 60.33 billion |
Regional Scope |
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The white box server market is segmented based on server type into rack, tower and density-optimized servers, out of which, the rack and tower server segment is estimated to hold a significant market share in 2020. The growth of the segment can be attributed to the deployment of rack and tower servers in traditional IT environments. Moreover, these servers offer the necessary level of performance adequate for IT processes and are significantly cheaper than other server types, which is estimated to help the segment maintain dominance throughout the forecast period.
Further, the density-optimized server segment is expected to register the highest CAGR of during the forecast period. The growth of the segment can be attributed to the increasing use of custom, high-density servers across hyper scale data center environments offering high performance, enhanced energy efficiency, and capacity to handle massive server loads.
Based on processor type, the x86 segment dominated the white box server market in 2020. Over the past few decades, x86 architectures and TCP/IP networking protocols have been the default standard offering cheap and more server options to end users. As IT infrastructures become more agile and deploy custom software to support varying organizational needs, the market for non-x86 servers is poised to post a higher CAGR during the forecast period. Increasing demand for virtualization, containerization, and improved power efficiency will spur the growth of the segment.
Our in-depth analysis of the global market includes the following segments:
By Server Type |
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By Business Type |
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By Processor Type |
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By Operating System
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Geographically, the white box server market is segmented into North America, Latin America, Europe, Asia Pacific and the Middle East & Africa region. North America industry is anticipated to dominate majority revenue share by 2036, due to increasing use of ICT technologies and digitalization of enterprises are transforming traditional IT environment. which in turn is contributing to the growth of the regional market. The region is highly saturated with the highest number of data center facilities hosting some of the biggest data centers in the world. Moreover, Asia Pacific is projected to witness the highest CAGR during the forecast period. The regional market can be characterized by increasing adoption of mobile devices and digital services boosting the demand for data centers to support varying consumer and enterprise needs. Presence of prominent market players such as Wistron Corporation; Quanta Computer Inc.; Inventec Corporation; and Hon Hai Precision Industry Company Ltd.; is estimated to boost the white box server market growth over the coming years.
Author Credits: Abhishek Verma
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