The global microserver market is expected to reach a value of USD 30,205.56 million by 2019, growing at a CAGR of 43.4% from 2013 to 2019. The total volume sale for microserver stood at 89.00 thousand units in 2012 is estimated to register total sales of 2,137.92 thousand units in 2019. Data center and Cloud form the two significant application segments for microserver where again they can be used for simple storage or webpage hosting to high-end analytics applications. The growth in microserver market is being propelled by increasing demand for power and space efficacy among data center and cloud service providers and growing emphasis on low cost server ecosystem implementation. Data consumption across the globe has been growing significantly and there has been an increase in workloads that do not demand intense processing power and are highly scalable.

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Microservers offer better overall cost-performance, higher reliability in SoC-based implementations and overall reduction in total cost of ownership due to better self-management. Microservers are estimated to experience growth at a CAGR of 62.0% in the cloud application segment during 2013 to 2019. North America was the largest market in 2012 for microserver with the total market size standing at USD 496.73 million. However, Europe and Asia Pacific are expected to experience higher growth rate over the forecast period from 2013 to 2019. It is estimated that microserver market in Asia Pacific would grow at a CAGR of 50.8% over the forecast period.

The various processor types being deployed for microserver include Intel (Xeon and Atom), ARM, AMD and Others (Tilera, Power and MIPS). Intel has been dominating the market scenario with its very low power processor chips, however; multiple vendors with license from ARM had begun challenging Intel since 2011. The market is expected to take a new shape in 2014 with multiple players launching multicore 64-bit processors designed for hyperscale applications. Further, in recent years there has been lot of activity around developing software around microservers in recent times and concerned players are also developing an ecosystem of open source software around microserver and this is expected to boost the growth of microservers. The total market value for microserver hardware stood at USD 67.85 million in 2012 and is estimated to grow at CAGR of 38.7% during 2013 to 2019. Small-size enterprises segment held 44.7% of the total market in 2012 while medium-size enterprises segment occupied 37.9%. It is expected that large-size enterprises segment would gain significantly during the forecast period to reach a market share of 33.9% by 2019, however, most of this growth would come due to higher use of application software by larger enterprises.

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Hewlett-Packard Co. led the global market in 2012 in sales of low power servers followed by Dell Inc. Other server vendors included Quanta Computer Inc., Penguin Computing, Acer Inc, SeaMicro (AMD) and Super Micro Computer Inc. Microserver hardware market has been undergoing constant evolution stage, with each stage creating a new definition of microserver. It is anticipated that with multiple vendors foraying into market offering servers with multicore, 64-bit processors from different ARM licensees and Intel in 2014, the market would get a significant boost.

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The global microserver market is segmented as below:

Microserver Market

By Processor Type

Intel

Intel Xeon

Intel Atom

ARM

AMD

Others (Tilera, Power, MIPS)

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By Components

Hardware

Application software

Operating system

By Application

Data center

Cloud

By End-use Industry

Small-size enterprises

Medium-size enterprises

Large-size enterprises

By Geography

North America

Europe

Asia Pacific

Rest of the world (Latin America, Middle East, Africa)

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