Global Data Center Accelerator Market Overview
The key drivers impacting the data center accelerator market are the growing demand for deep learning and the rise in adoption and demand for cloud-based services. For instance, In 2018, about half of the enterprises or companies had adopted cloud computing worldwide, according to the BSA Global Cloud Computing Scorecard report. Also, during the duration of 2012 and 2015, the cloud computing demand had reached 70% and is likely to stand for 60% of the growth rate during 2020. Around 96 percent of companies have utilized at least one cloud software in the last two years. Also, the growing data storage requirements in the global market and increasing use of mobile data, in turn, is expected to data center accelerator production. Thus, it is expected to drive market growth. Moreover, increasing demand for enhancement of application performance contributes to data center accelerator market demand in the later years. Whereas with regards to volume, the market was calculated XX Million Units in 2022 and foreseen to grow with a CAGR of XX% during 2023-2030.
According to Value Market Research, the global data center accelerator market size was valued at about USD 10.2 BN in 2022 and is estimated to grow at a CAGR of around 37% during the forecast period 2023 to 2030.
The huge application scope of data accelerator in voice recognition, fraud detection, voice search, recommendation engines, sentiment analysis, image recognition, motion detection, etc., will likely augment data center accelerator demand in the forecast period. The growing focus on parallel computing in artificial intelligence (AI) data centers are positively impacted market growth. However, the Premium pricing of accelerators hampers the market in the long run. In addition, integration complexities with legacy infrastructure are negatively impacted the market growth. Nevertheless, the market trends, such as the demand in the market for FPGA-based accelerators, and the rising need for co-processors due to the slowdown of Moore's law, might provide considerable opportunities to the market's leading players.
The data center accelerator market is widespread, with many local and international players. The market leaders follow several business strategies such as extending product portfolio, amalgamation, acquisitions, mergers, contracts, product enhancement to climb their market share globally. The key players in the report are Achronix Semiconductor, HP Inc., Atmel Corporation, Cypress Semiconductor Corporation, Altera Corporation, Lattice Semiconductor, Nvidia, Microsemi Corporation, Xilinx, Inc., Vantis PLC, IBM Corporation, SiliconBlue Technologies, Fujitsu, Cisco Systems, Lenovo, and Advanced Micro Devices.
In this research report, the data center accelerator market is segmented by processor type, application, and region.
Analysis by Processor Type:
By processor type, the report is segmented into CPU, GPU, FPGA, and ASIC. The FPGA segment dominates with the highest market share in the forecast period. It is due to the huge adoption of FPGAs for accelerating enterprise workloads. Moreover, FPGAs provide cheaper solutions and faster time to market than ASIC, which normally requires a lot of resources, in terms of time and capital, to obtain the first device, thus adding growth to the FPGA segment in the forecast period.
Analysis by Application:
By application, the report is segmented into deep learning training, public cloud interface, and enterprise interface. The Enterprise interface segment dominates with the highest market share in the forecast period. It is due to the growing focus on digital transformation to build similar types of cloud-native applications by the key players, which is adding growth to the enterprise interface segment in the forecast period.
Analysis by Region:
In the regional outlook of the global data center accelerator market, the North America region dominates with the largest market share in 2020. It is because the US currently has a huge number of data centers worldwide and is observing vigorous growth in terms of volume of big data and traffic due to the rise in the hyperscale data centers number. Also, Canada is incessantly growing and offering more data center infrastructure solutions due to a rise in the demand for efficient data centers, substantial growth of power density, and initiatives for ecological data center solutions across the region. Asia Pacific region is anticipated to record a significant growth rate in the coming years. The high growth is majorly driven by China due to the growing demand for data center accelerators in China. The rising demand for data centers in the country as organizations search for enhanced connectivity and scalable solutions for their growing businesses may contribute to the vast market growth across the Asia Pacific.
Market Segmentation covered in the Report:
By Processor
By Application
- Deep Learning Training
- Public Cloud Interface
- Enterprise Interface
By Region
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
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