Composable Infrastructure Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 5.69 Billion |
| Market Size (2029) | USD 13.46 Billion |
| CAGR (2024 - 2029) | 18.79 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Composable Infrastructure Market Analysis
The Composable Infrastructure Market size is estimated at USD 5.69 billion in 2024, and is expected to reach USD 13.46 billion by 2029, growing at a CAGR of 18.79% during the forecast period (2024-2029).
Composable infrastructure refers to the IT infrastructure formed by disintegrating various components such as computing, networking, and storage of the data center infrastructure and integrating them in different ways per the needs of specific workloads. Major factors expected to drive the growth of the composable infrastructure market are rising business analytics workload, increased customer expectations, implementation of methodologies such as DevOps, the rise of automation and standardization tools, and the increasing adoption of hybrid cloud.
- The conventional siloed IT infrastructure cannot provide the flexibility required by the modern world's enterprise-critical applications. Additionally, an increasing number of IT firms are shifting to the DevOps methodology for application development, which needs an agile framework to keep up with the rapidly evolving application requirements and often uses an "infrastructure as code" methodology to optimize resource allocation.
- A composable infrastructure turns "infrastructure into code" with the help of an easy-to-use API. For a large enterprise, the infrastructure as a code solution delivered efficiency to the IT infrastructure team with ease and agility to deploy. FireFly Cloud Management Solution launched Open Source Project 'AIaC' to Generate AI-powered Infrastructure-as-Code. AIaC will eliminate the need for manual coding as it will automatically generate the corresponding IaC code templates, code comments, and execution instructions.
- Micron advanced OCP storage support for cloud-scale and enterprise data centers. With features like intelligent management, performance optimization, seamless integration, and error handling, the clients can accelerate time to market and lower operating costs. The solution extends benefits like core firmware leveraged across the enterprise and hyper scalers, resulting in more features, better quality, and rapid access to those leading-edge features brought to market by companies like HPE and Micron.
- Post-COVID-19, major infrastructure players, be it in IT or financial services, are diverting their functionalities to digitized solutions such as hybrid cloud, IoT, and edge computing. UAE-based Invest Bank partnered with Temenos, which specializes in enterprise software for banks and financial services. This was the first bank in UAE to adopt a full SaaS model for its digital and core banking platform.
Composable Infrastructure Market Trends
This section covers the major market trends shaping the Composable Infrastructure Market according to our research experts:
IT and Telecom Vertical is Expected to Grow at a Significant Rate Over the Forecast Period
- IT and telecom enterprises are willing to accelerate their apps, data, and innovation in the current scenario. It needs to manage conventional bare-metal and virtualization applications more efficiently while supporting containerized applications with software-driven automation and a fluid pool of resources that may flexibly custom fit the specific requirements.
- Composable IT platforms are being adopted by the majority of businesses to speed up transformation and cut down on implementation time. A poll indicates that 50% of companies have changed to operate in this environment in the last two years.
- January 2023 - Microsoft acquired Fungible, a provider of composable infrastructure, to accelerate networking and storage performance in data centers with high-efficiency, low-power data processing units (DPUs).
- February 2023 - AWS Lambda, a computing platform by Amazon, launched a digital experience testing cloud for enterprises. This cloud service will enable enterprises to pick and choose across cross-browser testing, accurate devices testing, visual regression testing, and OTT app testing.
North America is Expected to Hold a Significant Share Throughout the Forecast Period
- The North American region dominates the composable infrastructure market, with the United States occupying a significant market share. The region's dominance is the presence of leading composable infrastructure solution providers, such as Cisco, Juniper Networks, Liqid Inc., Nutanix Inc, and Hewlett Packard Enterprise. These players focus on partnerships, mergers and acquisitions, and innovative solutions to stay in the regional and global competitive landscapes.
- The growing number of SMEs and concerns over increasing the infrastructure's efficiency in computing, storage, and network fabric resources are some of the primary drivers of the market. According to a report published by CBRE, New York and New Jersey together, they were flagged as the top markets for data center leasing activity during the first half of 2022, driven by the financial services sector. To meet the rising demand, the under-construction activity of data centers hit a 10-year high of 67 MW in H1 2022.
- Event-Driven Architecture, or EDA, is a new phenomenon adopted by leading enterprises, which complements market growth. Event-driven microservices are followed to transform business processes and customer experience using real-time data and asynchronous interactions. A recent study by O'Reilly depicted that almost 61% of software engineers and technical professionals have been using microservices for a year or more. The finance and banking sector topped the chart for using microservices, followed by other industries like e-commerce, telecom, manufacturing, transportation, and logistics.
- Oct 2022 - Finxact, a Fiserve company in the US, teamed up with PwC to offer financial institutions cutting-edge cloud solutions for the industry. By this agreement, financial institutions will be able to introduce their clients to commercial cloud products.
Composable Infrastructure Industry Overview
There are many major international and local competitors in the fiercely competitive market for composable infrastructure. These companies control a sizeable portion of the market and concentrate on growing their customer bases across the world. Throughout the projected period, these businesses will focus on R&D initiatives, strategic alliances, and other inorganic and organic growth strategies.
In October 2022, Huawei Technologies unveiled new network architecture for oil field technologies at Huawei Connect that lets users control and secure networks. Customers can access numerous services using a single physical network, lowering enterprise investment. Retail oil firms may now manage station data remotely thanks to this new solution, which offers a thorough analysis and presentation platform.
In October 2022, UBS group (a multinational investment bank and financial services company in Switzerland) collaborated with Microsoft to offer more than half of its applications running with the Microsoft Azure Cloud. Azure will help advance UBS's sustainability initiatives, drive operational efficiencies, and maintain its standards for compliance and security. Overall, it will help the firm to increase the speed at which it can deliver and improve upon its digital experiences for clients and employees.
In November 2022, Deloitte and Amazon Web Services partnered to provide Cloud-based BaaS (Banking as a Service) platform to help organizations offer customized digital banking services. The service will allow smaller banks to compete in a rapidly changing banking environment and further boost their business.
Composable Infrastructure Market Leaders
Nutanix Inc
Lenovo Group Limited
Western Digital Corp
Hewlett Packard Enterprise Co
Dell EMC (Dell Technologies Inc)
*Disclaimer: Major Players sorted in no particular order
Composable Infrastructure Market News
- Oct 2022: One of the cloud software service providers, Nutanix, expanded its hybrid cloud environment to include dedicated bare metal nodes for Microsoft Azure. This will make it easier for users to regularly manage apps and data in a hybrid multi-cloud environment.
- Oct 2022: Lenovo launched Xclarity One cloud software program. The program combines IaaS (Infrastructure as a Service), and Smarter Support Analytics into a unified customer portal to simplify management from edge to cloud for greater agility.
- Jan 2023: Dell Technologies acquired Cloudify (an Israeli Startup), to expand its cloud service business. Cloudify's environment-as-a-service packages infrastructure, networking, and automation tools help bridge the gap between DevOps and IT service management.
Composable Infrastructure Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Threat of New Entrants
4.2.2 Bargaining Power of Buyers
4.2.3 Bargaining Power of Suppliers
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.2.6
4.3 Industry Value Chain Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Significantly High Scalability of Composable Infrastructure
5.2 Market Challenges
5.2.1 Lack of Awareness and Skill Set to Implement a Composable Infrastructure
6. IMPACT OF COVID-19 ON THE COMPOSABLE INFRASTRUCTURE MARKET
7. MARKET SEGMENTATION
7.1 Type
7.1.1 Software
7.1.2 Hardware
7.2 End-user Verticals
7.2.1 IT and Telecom
7.2.2 BFSI
7.2.3 Healthcare
7.2.4 Industrial Manufacturing
7.2.5 Other End-user Verticals (Retail, Media and Entertainment, Energy and Power)
7.3 Geography
7.3.1 North America
7.3.2 Europe
7.3.3 Asia-Pacific
7.3.4 Latin America
7.3.5 Middle-East and Africa
8. COMPETITIVE LANDSCAPE
8.1 Company Profiles
8.1.1 Nutanix Inc.
8.1.2 Juniper Networks Inc.
8.1.3 Lenovo Group Limited
8.1.4 Dell EMC (Dell Technologies Inc.)
8.1.5 Western Digital Corp.
8.1.6 Hewlett Packard Enterprise Co.
8.1.7 NetApp Inc.
8.1.8 DriveScale Inc.
8.1.9 Fungible Inc.
8.1.10 TidalScale Inc.
8.1.11 Liqid Inc.
- *List Not Exhaustive
9. INVESTMENT ANALYSIS
10. FUTURE OF THE MARKET
Composable Infrastructure Industry Segmentation
By delivering greater efficiencies in system infrastructure operations, the composable infrastructure adds value to support ongoing company operations and growth. The composable infrastructure market study's scope follows the uptake of various infrastructure solutions by a number of end-user sectors. An organization can alter only the relevant modules that are used within the system by using a composable approach instead of changing the entire system.
The Composable Infrastructure Market is Segmented by Type (Software and Hardware), End-user Verticals (IT and Telecom, BFSI, Healthcare, Industrial Manufacturing), and Geography. The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| Type | |
| Software | |
| Hardware |
| End-user Verticals | |
| IT and Telecom | |
| BFSI | |
| Healthcare | |
| Industrial Manufacturing | |
| Other End-user Verticals (Retail, Media and Entertainment, Energy and Power) |
| Geography | |
| North America | |
| Europe | |
| Asia-Pacific | |
| Latin America | |
| Middle-East and Africa |
Composable Infrastructure Market Research FAQs
How big is the Composable Infrastructure Market?
The Composable Infrastructure Market size is expected to reach USD 5.69 billion in 2024 and grow at a CAGR of 18.79% to reach USD 13.46 billion by 2029.
What is the current Composable Infrastructure Market size?
In 2024, the Composable Infrastructure Market size is expected to reach USD 5.69 billion.
Who are the key players in Composable Infrastructure Market?
Nutanix Inc, Lenovo Group Limited, Western Digital Corp, Hewlett Packard Enterprise Co and Dell EMC (Dell Technologies Inc) are the major companies operating in the Composable Infrastructure Market.
Which is the fastest growing region in Composable Infrastructure Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Composable Infrastructure Market?
In 2024, the North America accounts for the largest market share in Composable Infrastructure Market.
What years does this Composable Infrastructure Market cover, and what was the market size in 2023?
In 2023, the Composable Infrastructure Market size was estimated at USD 4.79 billion. The report covers the Composable Infrastructure Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Composable Infrastructure Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Composable Infrastructure Industry Report
Statistics for the 2024 Composable Infrastructure market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Composable Infrastructure analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
