Market Size of Data Center Blade Server Industry
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 8.29 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Data Center Blade Server Market Analysis
The data center blade server market is expected to register a CAGR of over 8.29% over the forecast period. A blade server is a modular server compared to a rack server, which enables multiple servers to be housed in a more compact area than a rack server. These servers are designed to be thin and have only CPUs, memory, integrated network controllers, and sometimes built-in storage drives. Additionally, it consumes less power, resulting in lower operational costs. These are some of the factors driving the market for data center blade servers.
- Single or multiple server blades can be inserted or removed without distressing another running system. It reduces hardware costs, which is likely to entice industry players to adopt the technology, thereby fueling market growth.Additionally, each server blade does not consist of a distinct infrastructure and chassis, owing to which the product is relatively cheaper as compared to other solutions.
- Cloud computing is one of the industries that has had a significant impact on the data center colocation industry.The adoption of cloud computing has been proliferating over the past few years.
- Regarding the data center infrastructure, global corporations offering cloud services and third-party vendors have been identified to support their services with hyper-scale data centers and blade servers to reduce operational costs. Combining blade servers with the cloud can help reduce operational costs and increase efficiency. Cloud provider companies require private networks with high levels of bandwidth and resiliency, as well as support from a robust data center provider.
- However, when compared to rack servers, the adoption of blade servers has a higher initial cost, which limits market growth to some extent.
- With the onset of the COVID-19 pandemic, different supply chains across many industries were affected, including data center infrastructure. All major components of a data center were built off-site, delivered, and then installed, which indicates vulnerable breakage points for the market's supply chain. However, the increased cloud migrations of various industries boosted the demand for data centers in the post-Covid scenario.
