Technavio predicts that the global server market will grow by USD 41.95 billion from 2025 to 2029, with a CAGR of 7.6%, and digital transformation will be one of its key drivers.
Market Drivers
Trends in data centres, cloud service providers, IT and telecom, healthcare, e-commerce, and the work-from-home model drive significant market growth.
The report revealed that digital transformation is a key driver. Additionally, emerging technologies like AI, IoT, 5G, Edge Computing, and Big Data drive demand for server infrastructure initiatives from IT hardware manufacturers.
Market Challenges
Macroeconomic factors such as inflation, economic activity, supply chain disruption, geopolitical conflict, and energy can challenge market growth.
Moreover, confidential data in the Banking, Financial Services, and Insurance (BFSI) and healthcare sectors are increasingly vulnerable to cyberattacks that threaten sensitive information, such as financial transaction details and customer personal data.
Mitigating risks
The report advises enterprises to implement security solutions, such as data encryption, firewalls, web application firewalls, intrusion detection systems (IDS), and deep packet inspection (DPI), to mitigate risks in the server market.
Global Server Market 2025-2029
The Global Server Market 2025-2029 included analysis from six regions, including APAC. Key countries included the US, China, Germany, France, Canada, India, Japan, South Korea, the UK, and Italy.
