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The High Performance Computing (HPC) Market size is forecasted to be USD 57.28 billion in 2027, at a CAGR of 7.1%. The growth of the market depends on several factors, including the increasing utilization of big data analytics, the high demand from the government sector owing to national security concerns, and the development of smart cities using supercomputers.
Analysis Period | 2017- 2027 |
Market Size (2017) Historic Year | USD 30.84 billion |
Market Size (2027) - Forecasted Year | USD 57.28 billion |
Historic Opportunity (2017- 2021) | USD 7.35 billion |
Historic CAGR | 5.49% |
Forecasted Opportunity (2023-2027) | USD 16.62 billion |
Market Opportunity Transformation Growth | 86% |
Market Opportunity Capitalization | USD 23.98 billion |
This industry report extensively covers market segmentation Components, Deployment Type, and Geography. The market sizes and forecasts are provided in terms of value (USD billion) for all the above segments.
The high performance computing market share shows accelerating growth during the forecast period.
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Our researchers analyzed the data with 2022 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.
Increasing utilization of big data analytics is the key factor driving the growth of the market growth.
The advent of big data analytics has led to significant growth in clustered supercomputers. The increasing cross-industry application of big data analytics is accelerating the adoption of supercomputers. Big data requires computing systems capable of handling data-intensive workloads. Organizations want to shift their focus beyond data management to deriving value from data that enables faster and more informed decision-making. There is an increasing trend to gain insights from big data. This will require a better computing infrastructure.
With their ample storage and high processing capabilities, supercomputers are ideal for processing large volumes of data available in the market. The growth of high-performance data analysis using cluster supercomputers is mainly driven by the need to achieve advanced analytics in real-time. Many companies are likely to adopt this strategy to improve their decision-making capabilities and market competitiveness. Such factors are expected to drive the growth of the global market during the forecast period.
The growing use of the cloud is the primary market trends.
One of the main drivers of this trend is the increasing availability and affordability of cloud computing services, especially from large providers such as Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform. These providers offer a variety of high-performance virtual machines and storage solutions. Another factor driving the growth of cloud-based HPC is the growing demand for compute-intensive workloads in various industries such as research, engineering and finance. With cloud-based HPC, organizations can quickly and easily scale computing resources to meet these demands without having to build and maintain their own HPC infrastructure.
Additionally, cloud-based can offer increased flexibility and agility, as well as improved collaboration and data-sharing capabilities. This can be particularly beneficial for research organizations and other groups that require large-scale computing resources but may not have the resources or expertise to build and manage their own cloud infrastructure. Such factors are expected to drive the growth of the computing market growth and trends during the forecast period.
The short lifecycle of supercomputers is a major challenge to the growth of the global market.
Supercomputers don't have a very long lifespan. It has a shorter lifespan than your average electronic product, such as a personal computer. Industry experts opine that this happens because supercomputers are built with cutting-edge technology to achieve high processing speeds and computational power. Also, supercomputers have a lifespan of about three years, after which they need to be upgraded. Factors such as heat generation and power consumption that reduce component life make supercomputers very expensive.
Thus, it is not wise to keep a supercomputer system operational for a long time. Instead, a company can easily opt for a new system, which will have the latest hardware and other upgraded components. Therefore, the short lifespan of supercomputers may be a significant factor hindering the adoption of such systems, which, in turn, is expected to hinder the growth of the global market during the forecast period.
The market share growth by the server segment will be significant during the forecast period. The server industry is split into four segments, namely supercomputers, divisional systems, departmental systems, and workgroup systems. The major reason for the growth of the server segment is the substantial growth of the global supercomputer market.
The server segment was valued at USD 14.81 billion in 2017.
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The major reason for the growth of the segment is the growing interest in divisional servers. The main reason for the growth of divisional servers is the growing interest in cluster computing. Clusters and largescale clusters are prominently used in divisional systems due to their features, such as lower initial cost, fast processing speeds, and several others. As a result, It can be used by departments within the enterprise, leading to lower overall costs. Such factors are expected to drive the growth of the server segment, which in turn is expected to drive the growth of the computing market during the forecast period.
APAC is estimated to contribute 46% to the growth of the global market during the forecast period.
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Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The regional market is primarily driven by technology-oriented countries such as China, Japan, and South Korea. The Chinese government has made a concerted effort to support supercomputing and boost advances in all fields, from life science research to manufacturing designs for its companies based out of China.
Moreover, countries such as India, Taiwan, Singapore, and other emerging nations in the region are gaining ground in this market. For instance, India currently has 15 supercomputing systems. The country uses these systems for various applications such as weather forecasting and earthquake analysis. Some government agencies in the region are also focusing on developing supercomputers. Government initiatives are likely to lead to the development of new supercomputers that will impact the regional market growth during the forecast period.
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.
Advanced Micro Devices Inc.: The company offers solutions with AMD EPYC processors, AMD 3D VCache technology, and AMD Instinct MI200 series accelerators.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market 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 Market forecasting research 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 market research and growth report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth and forecasting strategies.
Global High-Performance Computing (HPC) Market Customer Landscape
The market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
High-Performance Computing (HPC) Market Scope |
|
Report Coverage |
Details |
Page number |
181 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 7.1% |
Market growth 2023-2027 |
USD 16.62 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
6.65 |
Regional analysis |
APAC, North America, Europe, South America, and Middle East and Africa |
Performing market contribution |
APAC at 46% |
Key countries |
US, China, Japan, Germany, and France |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Advanced Micro Devices Inc., Alphabet Inc., Amazon.com Inc., Atos SE, Cisco Systems Inc., Dassault Systemes SE, DataDirect Networks Inc., Fujitsu Ltd., Hewlett Packard Enterprise Co., Intel Corp., International Business Machines Corp., Landsea Group Co. Ltd., Lenovo Group Ltd., Microsoft Corp., NEC Corp., NetApp Inc., NVIDIA Corp., Oracle Corp., Super Micro Computer Inc., and Dell Technologies Inc. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period. |
Customization purview |
If our 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 Component
7 Market Segmentation by Deployment
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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