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The external hard disk market size is forecast to increase by USD 3.34 billion at a CAGR of 5.93% between 2023 and 2028. The market is experiencing significant growth due to the multiple advantages it offers, including high storage capacity, portability, and ease of use. Another trend driving market growth is the increasing popularity of wireless external hard disks, which eliminates the need for cables and provides greater convenience. Additionally, the emergence of cloud storage services has not deterred the demand for external hard disks, as they continue to be preferred for their offline storage capabilities and faster data transfer rates. Despite these growth factors, challenges such as data security concerns and the ongoing competition from cloud storage providers persist. Nevertheless, the market is expected to continue its growth trajectory, driven by the ongoing demand for additional storage and the need for data backup solutions.
External hard drives have become an essential accessory for computer users, offering additional storage capacity for files, folders, documents, software, high-quality images, videos, games, and game libraries. With the increasing size of files and the need for backup, external hard drives have gained popularity in various sectors, including the gaming industry. These devices come in different storage capacities, ranging from megabytes to terabytes, catering to diverse user needs. USB external hard drives have been the most common choice due to their ease of use and compatibility with computers. However, the emergence of external Solid-State Drives (SSDs) and USB 4 connectivity standards has led to faster data transfer rates and improved performance.
Despite their advantages, external hard drives are susceptible to damage from water and dust, making it crucial for users to handle them with care. In summary, the external hard drive market continues to grow, driven by the need for increased data storage and the expanding gaming sector, which requires large amounts of data for high-definition videos, live-streaming, and downloadable content (DLC).
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.
The personal computers segment is estimated to witness significant growth during the forecast period.The external hard drive market is witnessing significant growth due to the increasing need for additional storage capacity in computers, particularly in laptops where internal storage ranges from 250 GB to 2 TB. Users often turn to external hard drives for storing and transferring files, folders, documents, software, and multimedia content such as high-definition photos and videos. Both external SSDs and HDDs find applications in personal computers, with SSDs being preferred for performance enhancement, albeit at a higher cost. External HDDs, on the other hand, offer larger storage capacities, starting from terabytes, making them an affordable option for many users.
The demand for external hard drives is also driven by the growing usage of smart devices like smartphones, tablets, and mobile devices, as well as the increasing internet usage and internet population. With the rise in online video, audio streaming, downloading, video conferencing applications like Zoom, data centers require large-scale storage solutions. Hard disks come in various designs, including HDDs with advanced technologies like heat-assisted magnetic recording, shingled magnetic recording, and helium, as well as SSDs, Optane memory, and RRAM. Hard drive interfaces continue to evolve, with USB being a popular choice, while operating systems and laptops support various interfaces.
RGB LED illumination is also becoming a trend in external hard drives, adding an aesthetic appeal to the device.
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The personal computers segment was valued at USD 4.51 billion in 2018 and showed a gradual increase during the forecast period.
APAC is estimated to contribute 42% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The external hard drive market is witnessing significant growth due to the increasing demand for additional data storage in desktop computers and laptops. Solid state drives (SSDs) have gained popularity in the PC sector, but moving components in traditional hard drives continue to cater to the needs of consumers seeking larger storage capacities. The laptop segment, in particular, is driving market growth, as high-speed internet infrastructure enables users to download high-quality images, videos, games, and live-stream content. The gaming sector is another key contributor, with its vast game libraries and downloadable content (DLC) requiring ample storage space. External SSDs offer advantages such as faster data transfer rates and durability, making them an attractive option for consumers.
USB 4 connectivity standards are further enhancing the market's growth potential. Enterprises are also investing in external hard drives for data backup and storage solutions, both online and offline. Despite advancements, concerns regarding water, dust, shock, and fieldworks continue to impact the market, with demand for ruggedized external hard drives on the rise. The market is segmented into below 1 TB, 1 TB to 4 TB, and above 4 TB categories, catering to various consumer needs and budgets.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Multiple advantages of external hard disks is the key driver of the market. External hard drives serve as an essential solution for computer users seeking additional storage capacity beyond that offered by their devices. With storage capacities exceeding 16 terabytes (16,384 gigabytes), these external drives allow users to save vast amounts of documents, software, and multimedia files in various formats. The convenience of an external hard drive extends beyond desktop computers, as it can be easily connected to smart devices such as smartphones, tablets, and mobile devices via USB, enabling users to expand their storage for these devices as well. High-speed data transfer is another significant advantage of external hard drives. USB connections, including USB 2.0
and USB 3.0, provide transfer rates of up to 480 Mbps and 5 Gbps, respectively. Moreover, drives with higher revolutions per minute (RPM) enhance data transfer speeds. In comparison to flash drives, external hard drives offer greater storage capacity at a more affordable price point. Advancements in hard drive technology include hard drive interfaces like Optane memory, SSDs, HDDs, RRAM, heat-assisted magnetic recording, shingled magnetic recording, and helium-filled drives. These innovations contribute to increased storage capacity, faster data transfer rates, and improved energy efficiency. The increasing internet usage, online video and audio streaming, downloading, and video conferencing applications, such as Zoom, necessitate larger storage capacities for users.
Data centers also rely on high-capacity hard disks for efficient data management and storage. As operating systems and laptops continue to evolve, external hard drives remain an indispensable tool for managing and backing up files. External hard drives come in various designs, including those with RGB LED illumination, making them not only functional but also aesthetically pleasing. With the growing internet population and the increasing demand for data storage, external hard drives will continue to be an essential component of digital storage solutions.
The increasing popularity of wireless external hard disks is the upcoming trend in the market. External hard drives have long been a preferred solution for expanding the storage capacity of computers and laptops. With advancements in technology, these devices have evolved to include features such as USB interfaces, larger storage capacities in Terabytes, Gigabytes, and even Megabytes, and various designs to cater to different user needs. Flash drives, while convenient for transporting files and folders, lack the storage capacity of their larger counterparts. As the number of internet users and the internet population continues to grow, the demand for external storage solutions has increased. Smart devices such as smartphones, tablets, and mobile devices have become integral to our daily lives, leading to an increase in the amount of data being generated and consumed.
Cloud storage has become a popular alternative for storing large files and folders, but it may not always be feasible for those with limited or unreliable internet connectivity. Wireless external hard disks offer a solution to this problem by providing a local storage option that can be accessed wirelessly. These devices, which include an inbuilt battery and Wi-Fi network, can be connected to various devices such as computers, laptops, smartphones, tablets, and even smart TVs. They offer the convenience of not requiring any additional wiring and can be used to backup important documents, software, and media files. As technology continues to advance, external hard drives are being designed with new interfaces such as Optane memory, SSDs, HDDs, RRAM, and advanced recording technologies like heat-assisted magnetic recording, shingled magnetic recording, and Helium.
Hard disks are also being designed with features such as RGB LED illumination and operating system compatibility for added functionality. With the increasing demand for online video, audio streaming, downloading, video conferencing applications like Zoom, and data centers, the market for external hard disks is expected to grow significantly in the coming years.
The emergence of cloud storage services is a key challenge affecting the market growth. The external hard drive market is experiencing a decline in demand due to the increasing popularity of cloud storage among consumers. With cloud storage services like Dropbox, Yandex Disk, Media Fire, and Mega offering free storage to their clients, the need for physical external hard disks for storing files and folders has diminished. Cloud storage offers several advantages, including the ability to access data from anywhere, collaborate on projects in real-time, and implement backup and disaster recovery strategies. However, the market for external hard disks is not expected to vanish entirely, as there are still instances where large storage capacities, such as terabytes, gigabytes, and megabytes, are required.
These include the storage of documents, software, and multimedia files on computers, smart devices like smartphones and tablets, and in data centers. External hard drives continue to be an essential tool for backing up important data, especially for businesses and individuals who deal with large volumes of data. The market for external hard drives is expected to remain stable, with advancements in hard drive interface technologies, such as Optane memory, SSDs, HDDs, RRAM, heat-assisted magnetic recording, shingled magnetic recording, and helium, driving innovation and growth. The increasing use of online video, audio streaming, downloading, video conferencing apps like Zoom, and the growing internet usage by the global population have also contributed to the continued demand for external hard drives.
Despite the growth of cloud storage, external hard drives remain an essential tool for storing large files and folders, especially for those who require high-capacity storage or who prefer the security and privacy of having their data physically stored on their own devices. Operating systems and laptop manufacturers continue to support external hard drives, making them a reliable and convenient solution for expanding the storage capacity of computers.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The external hard drive market is witnessing significant growth due to the increasing need for additional storage for computers, smart devices, and the growing population of internet users. External hard drives offer large storage capacities, ranging from terabytes to gigabytes and even megabytes, providing ample space for storing files, folders, documents, software, and multimedia content. With the proliferation of smartphones, tablets, and other mobile devices, the demand for external hard drives has expanded beyond computers. USB external hard drives have become a popular choice due to their convenience and compatibility with various devices. However, other interfaces, such as Thunderbolt and FireWire, are also gaining traction.
Further, the market is also witnessing innovation with the introduction of new technologies like Optane memory, SSDs, HDDs, RRAM, Heat-Assisted Magnetic Recording, and Shingled Magnetic Recording. The rise of online video, audio streaming, downloading, and video conferencing applications like Zoom have further fueled the demand for external hard drives as a backup solution for storing large files. The growth of data centers and the increasing usage of cloud storage have also contributed to the market's growth. HDD designs continue to evolve, with advancements like RGB LED illumination and operating system compatibility enhancing their appeal.
Market Scope |
|
Report Coverage |
Details |
Page number |
175 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 5.93% |
Market growth 2024-2028 |
USD 3.34 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
5.6 |
Regional analysis |
APAC, North America, Europe, South America, and Middle East and Africa |
Performing market contribution |
APAC at 42% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
ADATA Technology Co. Ltd., Apple Inc., Buffalo Americas Inc., Hewlett Packard Enterprise Co., Intel Corp., Kingston Technology Co. Inc., LITE ON Technology Corp., Micron Technology Inc., Quantum Corp., Samsung Electronics Co. Ltd., Seagate Technology Holdings Plc, SK hynix Co. Ltd., Sony Group Corp., Toshiba Corp., Transcend Information Inc., and Western Digital Corp. |
Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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