- IDC says AI demand driver hyperscalers to speed up server infrastructure investments
- Super Micro challenges Dell with rapid revenue growth in 2024
- Nvidia leads GPU servers as AI -Adoption continues to expand rapidly
The global server market saw a record -breaking increase in the last quarter of 2024, when revenue was almost doubled compared to the same period in 2023.
New figures from the IDC requirement total server sales reached $ 77.3 billion in the 4th quarter of 2024, marking an increase of 91% over the year.
This rapid expansion, driven by Hyperscalers, Cloud Storage Service Providers (CSPs) and companies investing in high performance computing, is expected to push the market past an annual $ 300 billion driving rate in 2025.
Record growth fuel server market expansion
A significant portion of this increase came from X86 servers, which saw a 59.9% revenue jump, while non-X86 servers experienced an unprecedented 262.1% year-over-year wave.
The growing adoption of AI-powered workloads has also contributed to the increase of servers equipped with embedded GPUs, with Nvidia maintaining a dominant 90% market share in this segment.
As the AI integration accelerates, the demand for high performance servers and the best dedicated server hosting providers continue to reshape the industry.
Super Micro has also emerged as one of the fastest growing server suppliers, with its turnover increasing by 55% in the 4th quarter of 2024. With $ 5 billion in sales, it is now in a statistical draw with Dell Technologies, which experienced a more modest 20.6% increase in revenue in the same period.
The company’s wave is largely driven by the demand for AI-optimized infrastructure, and the best small business server solutions also favor other key players, including Hewlett Packard Enterprise, Lenovo and IEIT systems, all of which reported revenue growth exceeds 50% year-over-year.
“IDC expects AI adoption to continue to grow at a remarkable pace as Hyperscalers, CSPs, private companies and governments around the world are increasingly prioritizing these investments,” said Lidice FernandezAt Group Vice President, Worldwide Enterprise Infrastructure Trackers.
“Growing concerns about energy consumption for server infrastructure will be a factor in data centers looking for alternatives to optimize their architectures and minimize energy consumption”
Providers and Hyperscals for Sky Services accounted for almost half of all server sales in the 4th quarter of 2024, while ODM Direct category consisting of manufacturers selling directly to major operators such as Amazon Web Services, Microsoft Azure, and Google Cloud generated a staggering $ 36.57 billion in the quarter of a quarter, marking a 155.5.5.5 the year.
This increase in spending reflects the increasing demand for the best web hosting and cloud computing solutions as organizations migrate more workloads to the cloud and invest in AI-driven infrastructure.
