United States Data Center Server Market Size
| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 28.84 Billion |
| Market Size (2029) | USD 43.37 Billion |
| CAGR (2024 - 2030) | 8.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
United States Data Center Server Market Analysis
The United States Data Center Server Market size is estimated at USD 28.84 billion in 2024, and is expected to reach USD 43.37 billion by 2029, growing at a CAGR of 8.5% during the forecast period (2024-2029).
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 United States data center rack market is expected to reach 24,000 MW by 2029.
Under Construction Raised Floor Space: The country's construction of raised floor area is expected to increase to 80 million sq. ft by 2029.
Planned Racks: The country's total number of racks to be installed is expected to reach 4,035,000 units by 2029. Northern Virginia is expected to house the maximum number of racks by 2029.
Planned Submarine Cables: There are more than 80 submarine cable systems connecting the United States, and many are under construction.
United States Data Center Server Market Trends
IT & Telecommunication Is The Largest Market In The Country
- Of the US corporate infrastructure decision-makers, 94% have at least one cloud deployment, with hybrid or multi-cloud solutions more common. Nearly 74% of US infrastructure decision-makers say their organizations are adopting containers as a platform as a service (PaaS) in on-premises or public cloud environments. Clouds are expected to increase significantly.
- US cloud providers include AWS, Microsoft, and Google. Among enterprise infrastructure decision-makers, 94% use at least one type of cloud deployment, with the majority being hybrid or multi-cloud.
- In the United States, cloud storage is growing due to the growing demand for cost-effective data backup, storage, and backup in every business and the need to manage the data generated by the increasing use of mobile phones.
- With the rise of the digital economy and increased Internet usage in the United States, the need for data storage and processing has increased. The proliferation of hybrid cloud service providers has increased demand for colocation services and increased rack utilization.
- In May 2024, Ampere and Qualcomm, have joined forces to unveil an AI-centric server. This new server harnesses the power of Ampere's CPUs, complemented by Qualcomm's Cloud AI 100 Ultra chips, specifically designed for AI inferencing — focusing on running models rather than training them.
Blade Servers To Grow At A Faster Pace In The Coming Years
- Blade servers are often used for huge processing data, but they also produce a lot of heat. These tend to be more expensive than rack or tower servers and require proper humidity and cooling infrastructure to run efficiently without damaging the hardware.
- Blade servers are installed in server bays, not in racks. This structure allows more servers to be installed in a smaller area. For example, a rack may only hold 10 rack servers, but a blade bay can hold 20 blade servers. The blade chassis can still be rack mounted, but more blade servers can fit in the same space compared to rack servers.
- In August 2023, Mercury Systems, Inc., a United States-based company that delivers computing power for the most demanding aerospace and defense missions, announced Common Module System (CMS) X08, the industry's first robust open standards-based blade server architecture. This is a play-and-play infrastructure model for tactical platforms that operate on sea, land, and air.
- To cater to end-user needs, the top companies are focusing on blade servers in data centers. The growing adoption of technologies such as cloud computing, artificial intelligence (AI), and IT services by businesses is propelling the use of servers in data centers.
- In the coming future, the evolution of healthcare will focus on the reengineering of clinical care and operations around digital health and the pervasive, real-time use of data and advanced analytics to achieve these goals. Such achievements would require a large amount of data to be stored, which would drive the need for data center blade servers over the forecast period.
United States Data Center Server Industry Overview
The United States data center server market is moderately competitive and has gained a competitive edge in recent years. In terms of market share, a few major players, such as Dell Inc., International Business Machines (IBM) Corporation, Hewlett Packard Enterprise (HPE), Lenovo Group Limited, and Cisco Systems Inc., currently dominate the market.
In August 2023, Dell, Intel, and VMware offered an updated ReadyNode infrastructure solution called vSAN 8.0 with Express Storage Architecture (ESA). This release includes performance and efficiency improvements to meet customers' evolving data center needs.
In August 2023, Hewlett Packard Enterprise announced that global IT services provider phoenixNAP is expanding its bare metal cloud platform with cloud-native HPE ProLiant RL300 Gen11 servers powered by energy-efficient processors from Ampere Computing.
United States Data Center Server Market Leaders
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Dell Inc.
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International Business Machines (IBM) Corporation
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Hewlett Packard Enterprise (HPE)
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Lenovo Group Limited
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Cisco Systems Inc.
*Disclaimer: Major Players sorted in no particular order
United States Data Center Server Market News
- May 2023: By combining the Intersight infrastructure management platform with Unified Computing System (UCS) X-Series servers, Cisco says it can reduce data center energy consumption by up to 52 percent at a four-to-one (4:1) server consolidation ratio.
- March 2023: Supermicro has launched a new server that uses a standalone liquid cooling system and is designed as a platform for developing and running AI software. SYS-751GE-TNRT-NV1 Server is overheating. It features four NVIDIA A100 GPUs consuming 300 W each and is liquid-cooled by a standalone system.
United States Data Center Server Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumption & Market Definition
1.2 Scope of the Study
2. Research Methodology
3. Executive Summary
4. Market Dynamics
4.1 Market Overview
4.2 Market Drivers
4.2.1 Significant investment in IT infrastructure
4.2.2 Digitalization in Healthcare sector
4.3 Market Restraints
4.3.1 Increasing number of Data Security Breaches
4.4 Value Chain / Supply Chain Analysis
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers/Consumers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
4.6 Assessment of COVID-19 Impact
5. MARKET SEGMENTATION
5.1 Form Factor
5.1.1 Blade Server
5.1.2 Rack Server
5.1.3 Tower Server
5.2 End-User
5.2.1 IT & Telecommunication
5.2.2 BFSI
5.2.3 Government
5.2.4 Media & Entertainment
5.2.5 Other End-User
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Dell Inc.
6.1.2 Hewlett Packard Enterprise
6.1.3 International Business Machines (IBM) Corporation
6.1.4 Lenovo Group Limited
6.1.5 Cisco Systems Inc.
6.1.6 Kingston Technology Company Inc.
6.1.7 Quanta Computer Inc.
6.1.8 Super Micro Computer Inc.
6.1.9 Huawei Technologies Co. Ltd.
6.1.10 Inspur Group
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
United States 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 United States 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 |
United States Data Center Server Market Research Faqs
How big is the United States Data Center Server Market?
The United States Data Center Server Market size is expected to reach USD 28.84 billion in 2024 and grow at a CAGR of 8.5% to reach USD 43.37 billion by 2029.
What is the current United States Data Center Server Market size?
In 2024, the United States Data Center Server Market size is expected to reach USD 28.84 billion.
Who are the key players in United States Data Center Server Market?
Dell Inc., International Business Machines (IBM) Corporation, Hewlett Packard Enterprise (HPE), Lenovo Group Limited and Cisco Systems Inc. are the major companies operating in the United States Data Center Server Market.
What years does this United States Data Center Server Market cover, and what was the market size in 2023?
In 2023, the United States Data Center Server Market size was estimated at USD 26.39 billion. The report covers the United States Data Center Server Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the United States Data Center Server Market size for years: 2024, 2025, 2026, 2027, 2028, 2029 and 2030.
United States Data Center Server Industry Report
Statistics for the 2024 United States Data Center Server market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Data Center Server analysis includes a market forecast outlook to for 2024 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
United States Data Center Server Market Report Snapshots
