Increasing Demand for Data Centers to Augment the Microserver IC Market Growth

 

Microserver IC Market

A microserver is a small device used on low power microprocessor chips and in places where space is a major constraint. A microserver IC consists of thousands or millions of capacitors, resistors, or transistors. A microserver IC is used as a microprocessor to perform calculations. Moreover, microserver ICs are very small and are measured in nanometers.

Furthermore, the microserver is very economical for use in small office environments and is able to share the resources of a large server without the need to purchase more hardware. It also offers a higher level of security than a dedicated server, as all the processes are isolated from each other. Microservers are ideal for small and medium-sized businesses as they offer high levels of performance and reliability.

Market Dynamics:

Increasing demand for data centers in various domains such as government, agricultural, healthcare, banking, telecom, IT, etc. and increasing popularity of microserver ICs in data center applications (they consume less power, inexpensive, and save physical space compared to enterprise-class rack servers) is expected to propel the growth of the microserver IC market. For instance, Google now has 19 data centers worldwide, with 11 in the United States, 5 in Europe, two in Asia/Pacific, and one in South America.

Moreover, increasing demand for cloud-based services and solutions and growing trend web hosting is expected to augment the growth of the microserver IC market. For instance, cloud traffic is expected to represent 95% of global data center traffic by 2021, according to the CISCO. Both consumer and business applications are contributing to the growing dominance of cloud services over the Internet.

Advancements in microserver IC technology are expected to fuel the growth of the microserver IC market. However, lack of standard specifications and lack of awareness among small and medium enterprises are expected to restrain the growth of the microserver IC market.

Competitive Analysis:

Major players operating in the microserver IC market are Ambedded Technology, Penguin Computing, Dell Technologies, Cavium Inc., Group Ltd., Marvell Technology, Applied Micro Circuits Corporation, Quanta Computer Inc., Hewlett Packard Enterprise, ARM Holdings PLC, and Intel Corporation among others.

Major players in the market are adopting various strategies, such as product launch, to enhance their product portfolio or to strengthen their market position. For instance, in March 2020, Hewlett Packard Enterprise (HPE) introduced its latest MicroServer to meet the needs and constraints of small businesses and the channel partners who service them.


Location: India

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