Market Size of Taiwan Data Center Server Industry
Study Period | 2019 - 2030 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2030 |
Historical Data Period | 2019 - 2022 |
CAGR (2024 - 2030) | 7.00 % |
Market Concentration | High |
Major Players*Disclaimer: Major Players sorted in no particular order |
Taiwan Data Center Server Market Analysis
The Taiwan Data Center Server Market is expected to register a CAGR of 7% during the forecast period.
The Taiwan data center server market reached a value of USD 1.1 billion in the previous year, and it is further projected to register a CAGR of 7.0% during the forecast period. The increasing demand for cloud computing among small and medium-sized enterprises (SMEs), government regulations for local data security, and growing investment by domestic players are some of the major factors driving the demand for data centers in the country.
Under Construction IT Load Capacity: The upcoming IT load capacity of the Taiwan data center market is expected to reach 300 MW by 2029.
Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase to 1.5 million sq. ft by 2029.
Planned Racks: The country's total number of racks to be installed is expected to reach 76K units by 2029. Taipei City is expected to house the maximum number of racks by 2029.
Planned Submarine Cables: There are close to 10 submarine cable systems connecting Taiwan, and many are under construction. One such submarine cable that is estimated to start service in 2024 is Apricot, which stretches over 11,972 Kilometers with landing points from Toucheng, Taiwan.
Taiwan Data Center Server Industry Segmentation
A data center server is basically a high-capacity computer without peripherals like monitors and keyboards. It is a hardware unit installed inside a rack, having a central processing unit (CPU), storage, and other electrical and networking equipment, making them powerful computers that deliver applications, services, and data to end-user devices.
The Taiwan data center server market is segmented by form factor (blade server, rack server, and tower server) and by end-user (IT and telecommunication, BFSI, government, media and entertainment, and other end users). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
Form Factor | |
Blade Server | |
Rack Server | |
Tower Server |
End-User | |
IT & Telecommunication | |
BFSI | |
Government | |
Media & Entertainment | |
Other End-User |
Taiwan Data Center Server Market Size Summary
The Taiwan data center server market is experiencing significant growth, driven by the increasing demand for cloud computing, particularly among small and medium-sized enterprises, and supportive government regulations aimed at enhancing local data security. The market is further bolstered by substantial investments from domestic players and the strategic development of infrastructure, such as IT load capacity, raised floor space, and the installation of racks. The cloud and telecom sectors are expected to dominate the market, with major cloud service providers collaborating with local companies to expand their presence. As Taiwan positions itself as a regional hub, the government's push for digital transformation and the creation of a cloud-based smart digital blueprint are key factors fueling the demand for data centers.
The market is characterized by a relatively low level of competition, with major players like Dell Inc., Cisco Systems Inc., and Hewlett Packard Enterprise focusing on expanding their customer base through strategic collaborations and technological advancements. The adoption of energy-efficient technologies, such as blade servers, is contributing to market growth by reducing power consumption and operational costs. Recent innovations, including Cisco's UCS X servers and Dell's Generative Artificial Intelligence Solutions, highlight the industry's shift towards energy-efficient and high-performance solutions. These developments, alongside the growing semiconductor sector and increased smartphone usage, are expected to drive the demand for data center servers in Taiwan, supporting the market's expansion over the forecast period.
Taiwan Data Center Server Market Market Size - Table of Contents
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1. Market Dynamics
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Increase in construction of new data centers, development of internet infrastructure
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1.2.2 Increasing adoption of cloud and IoT services
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1.3 Market Restraints
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1.3.1 Rising CapEx for data center construction
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1.4 Value Chain / Supply Chain Analysis
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1.5 Industry Attractiveness - Porter's Five Forces Analysis
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1.5.1 Threat of New Entrants
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1.5.2 Bargaining Power of Buyers/Consumers
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1.5.3 Bargaining Power of Suppliers
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1.5.4 Threat of Substitute Products
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1.5.5 Intensity of Competitive Rivalry
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1.6 Assessment of COVID-19 Impact
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2. MARKET SEGMENTATION
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2.1 Form Factor
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2.1.1 Blade Server
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2.1.2 Rack Server
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2.1.3 Tower Server
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2.2 End-User
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2.2.1 IT & Telecommunication
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2.2.2 BFSI
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2.2.3 Government
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2.2.4 Media & Entertainment
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2.2.5 Other End-User
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Taiwan Data Center Server Market Market Size FAQs
What is the current Taiwan Data Center Server Market size?
The Taiwan Data Center Server Market is projected to register a CAGR of 7% during the forecast period (2024-2030)
Who are the key players in Taiwan Data Center Server Market?
Dell Inc., Hewlett Packard Enterprise, Cisco Systems Inc., Kingston Technology Company Inc. and Fujitsu Limited are the major companies operating in the Taiwan Data Center Server Market.