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Data Center Server Market to Grow by USD 169.3 Billion from 2024-2028, Driven by In-House Data Center Expansion, Report on How AI is Driving Market Transformation – Technavio

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NEW YORK, Feb. 14, 2025 /PRNewswire/ — Report with the AI impact on market trends – The global data center server market size is estimated to grow by USD 169.3 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of  18.52%  during the forecast period. Investments in scaling up in-house data centers is driving market growth, with a trend towards use of server disaggregation to improve utilization rates. However, server workload optimization  poses a challenge. Key market players include Atos SE, Cisco Systems Inc., Dell Technologies Inc., Digital Realty Trust Inc., Egenera Inc., Fujitsu Ltd., Hewlett Packard Enterprise Co., Hitachi Ltd., Huawei Technologies Co. Ltd., Inspur Systems Inc., International Business Machines Corp., IRON Global Inc., Lenovo Group Ltd., NEC Corp., Oracle Corp., Quanta Computer Inc., Schneider Electric SE, Super Micro Computer Inc., Trend Micro Inc., and Unisys Corp..

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Data Center Server Market Scope

Report Coverage

Details

Base year

2023

Historic period

2017 – 2021

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 18.52%

Market growth 2024-2028

USD 169.3 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

15.18

Regional analysis

North America, APAC, Europe, South America, and Middle East and Africa

Performing market contribution

APAC at 37%

Key countries

US, China, UK, Australia, and Japan

Key companies profiled

Atos SE, Cisco Systems Inc., Dell Technologies Inc., Digital Realty Trust Inc., Egenera Inc., Fujitsu Ltd., Hewlett Packard Enterprise Co., Hitachi Ltd., Huawei Technologies Co. Ltd., Inspur Systems Inc., International Business Machines Corp., IRON Global Inc., Lenovo Group Ltd., NEC Corp., Oracle Corp., Quanta Computer Inc., Schneider Electric SE, Super Micro Computer Inc., Trend Micro Inc., and Unisys Corp.

Market Driver

The Data Center Server Market is experiencing significant growth due to technology advancements and the increasing adoption of cloud computing for digital services. Businesses require more data storage and better scalability, leading to trends like green data centers, energy-efficient solutions, and the development of broadband internet infrastructure. The 5G network and edge computing are also driving demand for smaller, more distributed data centers like micro and portable data centers. Key players in the market include CPU, GPU, and memory drive manufacturers, as well as virtual machine providers. Power usage efficiency is a major focus, with initiatives like solar, wind, and hydroelectric power being adopted for sustainability. AI, machine learning, and big data analytics are also transforming the market, with high-functioning servers and blade servers gaining popularity. However, challenges like hardware failure and cybersecurity risks remain, necessitating continued innovation in areas like power usage efficiency, CPU performance, and cybersecurity solutions. The market is expected to continue growing, with mega data centers and hyperscale data centers leading the way. IoT technologies and hybrid, multicloud architectures are also expected to shape the future of the data center server market. 

Data centers face a significant challenge as their power consumption increases due to the expanding use of cloud computing, AI, machine learning, and IoT workloads on servers. To address this issue, data centers are exploring methods to enhance server utilization rates and decrease power consumption. One such solution is server disaggregation, which allows for greater flexibility in resource allocation and improved server utilization. By increasing the efficiency of server usage, fewer servers are needed to handle existing workloads, thereby reducing overall power consumption. 

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 Market Challenges

•         The Data Center Server Market is facing several challenges in today’s business landscape. With technology advancements, there is a constant need for upgrading hardware, such as CPUs, servers, storage devices, GPUs, and memory drives, to keep up with the latest trends. Cloud computing adoption is increasing, leading to the development of new data centers, including mega data centers and hyperscale data centers. Businesses require scalability and efficiency, driving the demand for green data centers, energy-efficient solutions, and sustainability initiatives using renewable energy sources like solar, wind, and hydroelectric. The rise of 5G networks, edge computing, micro data centers, and portable data centers is also transforming the market. However, challenges persist, including power usage efficiency, hardware failure, cybersecurity risks, and the integration of artificial intelligence, machine learning, big data analytics, IoT technologies, and hybrid, multicloud architectures. The market must adapt to these changes while addressing the growing data storage needs and the environmental focus.

•         With the increasing adoption of advanced technologies like big data analytics and artificial intelligence, businesses analyze vast amounts of detailed data to gain valuable insights into various aspects of their operations (production, customers, distribution, and supply chain). To manage these complex workloads, enterprises and data center providers require powerful and efficient servers. However, upgrading existing infrastructure to accommodate these demanding workloads can lead to underutilized computing capacity, power and space constraints in data centers, and unforeseen increases in enterprise server capacity demands. These challenges necessitate the need for high-performance, scalable, and energy-efficient servers to optimally handle the growing workload demands.

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Segment Overview 

This data center server market report extensively covers market segmentation by  

ApplicationCommercial ServerIndustrial ServerTypeRack ServerBlade ServerTower ServerMicroserverOpen Compute Project (OCP) ServerGeographyNorth AmericaAPACEuropeSouth AmericaMiddle East And Africa

1.1 Commercial server-  Data centers consist of servers, switches, firewalls, storage systems, and routers, delivering processing power, memory, local storage, and network connectivity for applications. The infrastructure shift from on-premises physical servers to virtual networks and multi-cloud environments is driving market growth. Companies like Dell, Cisco, and Fujitsu are investing in new data centers, such as Cisco’s expansion for WebEx services in India. Digital transformation necessitates flexible, agile data centers to accommodate changing business needs, making commercial servers an attractive choice with on-demand resources and flexible pricing. This ongoing digital transformation will fuel the demand for data centers and, consequently, the data center server market.

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Research Analysis

The Data Center Server Market is experiencing significant growth due to technology advancements, including the integration of Artificial Intelligence (AI) and Machine Learning (ML) in servers, virtual machines, and GPU technology. Cloud computing adoption is driving the demand for data centers, enabling businesses to scale efficiently and reduce costs. Digital services, such as streaming and e-commerce, are increasing data storage needs, leading to the development of hyperscale data centers. Energy efficiency is a key focus, with the adoption of green data centers, energy-efficient solutions, and renewable energy sources like solar, wind, and hydroelectric power. The market is also witnessing the emergence of edge computing, micro data centers, portable data centers, and modular data centers for decentralized processing. Servers, including rack servers, blade servers, micro servers, and tower servers, are essential components of data centers. Storage devices, such as memory drives, are also critical for data processing and management. The market is also witnessing the adoption of CPU, GPU, and virtual machines to enhance processing power and efficiency. However, challenges such as hardware failure and cybersecurity risks remain, necessitating continuous innovation and investment in data center infrastructure. The 5G network is expected to further revolutionize the market by enabling faster data transfer and processing, making data centers more agile and responsive.

Market Research Overview

The Data Center Server Market is experiencing significant growth due to technology advancements, including the adoption of cloud computing, digital services, and the integration of Artificial Intelligence (AI), Machine Learning (ML), and Big Data Analytics. Businesses are increasingly relying on data centers to meet their data storage needs and ensure scalability. Green data centers and energy-efficient solutions are gaining popularity due to their environmental focus and cost savings. The market is also witnessing the development of broadband internet infrastructure, leading to the construction of mega data centers and hyperscale facilities. The emergence of 5G networks, edge computing, micro data centers, and portable data centers is further driving growth. Power usage efficiency is a critical factor, with CPU, servers, storage devices, GPU, memory drives, virtual machines, and environmental focus all playing essential roles. Renewable energy sources, such as solar, wind, and hydroelectric, are being integrated into data centers as part of sustainability initiatives. Hardware failure and cybersecurity risks are significant challenges, necessitating the use of high-functioning servers, blade servers, rack servers, micro servers, tower servers, small, medium, large, industrial, and commercial servers. The market is also witnessing the development of new data centers, hybrid, and multicloud architectures, as well as the integration of IoT technologies.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

ApplicationCommercial ServerIndustrial ServerTypeRack ServerBlade ServerTower ServerMicroserverOpen Compute Project (OCP) ServerGeographyNorth AmericaAPACEuropeSouth AmericaMiddle East And Africa

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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SOURCE Technavio

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Hexagon Composites ASA: Third quarter 2026

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OSLO, Norway, Nov. 6, 2026 /PRNewswire/ — Hexagon Composites (OSE: HEX.OL), world leader in composite cylinder technology and related systems for storage and transportation of gaseous energy, reported revenues of NOK 929 million for third quarter 2026 (Q3’25: 538 million). The reported EBITDA was NOK 108 million (Q3’25: NOK -54 million), resulting in a 12% EBITDA margin (Q3’25: -10%).

“This quarter marks a significant step-up year-over-year, delivering our strongest quarterly performance since the record fourth quarter of 2024,” said Philipp Schramm, CEO of Hexagon Composites. “Over the past year, we have built a stronger foundation for our next phase of growth. We have entered new regions, consolidated markets and delivered into exciting new verticals such as aerospace and data centers. Alongside this important progress, we have also improved our financial strength, with a strong free cash flow conversion, and are well on track to deliver on our full-year targets.”

Outlook

Based on the progress delivered during the first three quarters of the year, the strengthening of our financial position, and normalizing demand in our key markets, we reconfirm our full-year EBITDA guidance of around NOK 300 million, with confidence in delivering toward the high side.

For further details, please see the attached third quarter 2026 report and presentation.

Presentation of the results today at 08:30 am CET
Philipp Schramm, CEO, and Eirik Løhre, CFO, will present the results at 08:30 am CET today, broadcasted live via this link.

The presentation of the results will be a virtual event, followed by a Q&A session. The quarterly report, presentation, and webcast recording will be made available at www.hexagongroup.com.

For more information:
Emily Cherry, Senior Communications & Investor Relations Manager, Hexagon Composites
Telephone: +47 480 90 239 I emily.cherry@hexagongroup.com

Berit-Cathrin Høyvik, Senior Director, Communications & Corporate Affairs, Hexagon Composites
Telephone: +47 988 92 161 | berit-cathrin.hoyvik@hexagongroup.com

About Hexagon Composites ASA

Hexagon delivers safe and innovative solutions for a cleaner energy future. Our solutions enable storage, transportation, and conversion to clean energy in a wide range of mobility and industrial applications. Learn more at www.hexagongroup.com and follow @HexagonASA on LinkedIn.

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/hexagon-composites-asa/r/hexagon-composites-asa–third-quarter-2026,c4420876

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Zhejiang aims to be highland of AI innovation

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BEIJING, Nov. 6, 2026 /PRNewswire/ –A news report from China Daily:

The 2026 World Internet Conference Wuzhen Summit concluded on Thursday after a four-day run. Beyond Wuzhen, a profound transformation driven by artificial intelligence is underway in Zhejiang’s workshops, laboratories and daily life. Building on years of efforts to deepen the Digital Zhejiang initiative, the province is aiming to become a hub of AI innovation.

In the first eight months, revenue of enterprises above designated size in Zhejiang’s core AI industry reached 582.87 billion yuan ($87.2 billion), up 26.9 percent year-on-year. The number of core industry enterprises rose to 2,112, forming a full industry-chain layout spanning chips, large models, intelligent agents and application services.

Computing power is one of the key infrastructure pillars of Zhejiang’s AI development. At a sock factory workshop in Zhuji, a designer can generate 20 original patterns within three minutes. In Yiwu, traders rely on an AI computing platform to produce high-definition product images and marketing short videos with a single click.

Powering these AI application scenarios is a province-wide integrated computing network built by China Mobile’s Zhejiang branch.

As of the end of September, Zhejiang’s total computing power reached 197 EFLOPS (short for ExaFLOPS, a unit of computing performance that quantifies the number of floating-point operations a computer can perform per second), ranking among the highest in the country. Of this, 54 enterprises and institutions in the province received national computing-power vouchers totaling 408 million yuan, accounting for 37 percent of the national total.

“As the Hangzhou and Jiashan intelligent computing centers are put into operation, Zhejiang can achieve millisecond-level access to computing, integrated computing-network scheduling and one-stop security assurance,” said Qiu Xiaoyuan, a manager at China Mobile’s Zhejiang branch.

Large models are another key factor to the game. With the Qwen and DeepSeek large models iterating continuously, Zhejiang’s model ecosystem aims to take the leading position.

In the 2026 government work report of Zhejiang, the province proposed the goal of gaining a leading position in AI development and striving to build a high-quality open-source ecosystem. Open source has been listed as one of the core levers of the province’s AI strategy.

Located in Xihu district, Hangzhou, the ModelScope community is among China’s largest AI open-source communities. Online, it brings together more than 29 million AI developers and more than 200,000 models worldwide, lowering the threshold for AI-related innovation.

Chen Tianrun, born after 2000, is a doctoral student at Zhejiang University and founder of Moxin Technology, which independently developed MoWorld, a real-time interactive world model built entirely on domestic neural processing units. An NPU is a specialized computer microprocessor designed to mimic the processing function of the human brain.

“The relationship between AI and humans is not about AI replacing humans, but about AI and humans working together to do more to raise productivity,” Chen said.

Backed by new production factors such as computing power, models and data, Zhejiang is breaking through its natural-resource constraints to become a trendsetter in innovation.

The Zhejiang provincial government hosted a series of major events during the 2026 WIC Wuzhen Summit, featuring interactive experiences and surprises.

On Monday, at the Light of Internet Expo, a signature event of the WIC Wuzhen Summit, more than 30 embodied-intelligence robots — from companies such as AgiBot, UBTech, Unitree and Zhongke Fifth Era — brought visitors to the world of perceptual intelligence.

Among them, the world’s first bipedal humanoid robot capable of playing badminton with humans autonomously became the centerpiece. The robot has also mastered table tennis; the faster the ball travels, the faster it reacts.

The Global Internet Competition of “Straight to Wuzhen” is another highlight event of the WIC Wuzhen Summit. Since registration opened in June, it has attracted 1,347 projects and one-person company entries from 31 countries and regions.

The Digital Economy Industrial Cooperation Conference held on Wednesday was a signature event of the Wuzhen Summit’s permanent venue. Over the past three years, annual signings of digital economy industrial projects at the event have each exceeded 100 billion yuan.

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SOURCE China Daily

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Broadridge’s Distributed Ledger Repo Processes $7.6 Trillion in October

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October 2026 ADV reaches $345 billion as Broadridge continues to advance institutional tokenization infrastructure

NEW YORK, Nov. 6, 2026 /PRNewswire/ — Broadridge (NYSE: BR), global Fintech leader, today announced that its Distributed Ledger Repo (DLR) processed an average of $345 billion in daily repo transactions during October, with volumes totaling $7.6 trillion. The total settled volume reflects the continued scale of tokenized securities financing activity as Broadridge expands its digital asset infrastructure through its recently launched DLX platform.

“DLR has laid the groundwork for the next phase of tokenization, as institutions increasingly shift their focus from exploring initial digital assets use cases to scaling these capabilities across their businesses,” said Horacio Barakat, Global Head of Digital Innovation at Broadridge. “In 2027, we anticipate further integration of tokenized assets into everyday financial market operations, helping institutions unlock efficiencies across the asset lifecycle. Through DLR and our broader DLX platform, we’re focused on making these capabilities more accessible and practical for financial institutions.”

Building on DLR’s proven infrastructure and institutional experience, DLX extends Broadridge’s tokenization capabilities beyond securities financing into a broader range of assets and workflows, spanning issuance, trading, settlement, servicing and distribution. Together, DLR and DLX equip financial institutions with the trusted, resilient technology and operational controls needed to integrate tokenized assets into existing market operations, helping bridge traditional and digital markets while reducing complexity.

To learn more about DLR, the world’s largest institutional platform for settling tokenized real assets, visit Broadridge’s DLR.

About Broadridge’s Tokenization Solutions

Broadridge is building the governance layer for tokenized equities, ensuring investors have access to trusted, institutional-grade governance as securities move on-chain. Through proxy voting, investor communications, disclosures, and corporate actions, Broadridge helps investors exercise their ownership rights across tokenized and traditional holdings, including across issuer-sponsored and third-party tokenization models. 

Broadridge connects traditional and digital finance with the trusted infrastructure institutions need to put tokenization to work. DLX, its multi-chain digital asset platform, brings together capabilities across issuance, distribution, trading, financing, settlement, custody, and asset servicing. DLX builds on the production experience of Broadridge’s Distributed Ledger Repo (DLR) solution, the world’s largest institutional platform for settling tokenized real assets, tokenizing more than $345 billion of repo’s a day. 

Through its integrated platform and connected partner ecosystem, Broadridge helps issuers, banks, broker-dealers, asset managers, and wealth firms bring tokenized investments to market, mobilize collateral, and connect investors to new opportunities through existing systems and workflows. By orchestrating the ecosystem rather than requiring clients to rebuild it, Broadridge helps firms manage complexity and scale across traditional and on-chain markets. 

About Broadridge

Broadridge is a global technology leader with trusted expertise and transformative technology, helping clients and the financial services industry operate, innovate, and grow. Broadridge powers investing, governance, and communications for clients – driving operational resiliency, elevating business performance, and transforming investor experiences.

Broadridge’s technology and operations platforms process and generate over 8 billion communications annually and underpin the daily average trading of over $18 trillion in tokenized and traditional securities globally. A certified Great Place to Work®, Broadridge is part of the S&P 500® Index, employing approximately 16,000 associates in 28 countries.

For more information about us, please visit www.broadridge.com.

Broadridge Contacts:

Investors: 
broadridgeir@broadridge.com  

Media:
Gregg.Rosenberg@broadridge.com

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SOURCE Broadridge Financial Solutions, Inc.

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