The global hyperconverged integrated system market is expected to grow from $1.5 billion last year to nearly $31 billion by 2025 at a compound annual growth rate (CAGR) of 37.3 percent, with Cisco, Hewlett Packard Enterprise (HPE) and VMware among the key players.
That’s according to a new report by Transparency Market Research (TMR). Other key players include Nutanix, Oracle, Pivot3, Scale Computing, Simplivity, NetApp, Fujitsu and Huawei Technologies.
The market is likely to see a steady stream of new players in the near future, increasing competition during the coming years,TMR said.
One of the key drivers for the market, particularly in developing regions, is the rising support provided by government agencies for the use of digitized data storage and monitoring mechanisms. Countries such as India, China, Brazil and Argentina have lent generous support to the use of digitization in various sectors. This is likely to remain a consistent driver for the market in the coming years due to the steady pace of urbanization in these countries.
Also, the rising complexity of data being generated due to the use of gaming devices and smartphones has led to growing demand for data-center consolidation services. This is likely to remain a key driver for the market in the coming years, the report revealed.
The market is divided by application into the following sectors: health care; banking, financial services and insurance (BFSI); government; education; entertainment and gaming; hospitality; and cloud service providers. The health-care sector’s contribution to the market is expected to grow at nearly 42 percent per year between 2017 and 2025, primarily due to the growing adoption of digital information storage mechanisms in developed countries. Growing use of smartphone-based technology for patient interaction also is likely to be a key driver for the market in the coming years.
By region, North America is the leading contributor. It accounted for $1.3 billion this year and is likely to exceed $13 billion during the forecast period. However, Europe and Asia Pacific both are likely to outpace North America market for hyperconverged integrated systems, the report says.