High Performance Computing Market

Demand For HPC As a Service

The growth of big data and the significant demand for cloud computing technology are driving the demand for HPC as a Service. Machine-to-machine communication, internet of things proliferation, and other data-generating sources have led to the generation of huge amounts of data. In order to effectively process data, enterprises are looking for budget-friendly solutions. HPC as a service gives enterprises the capability to process such huge, unstructured data without investing huge sums in hardware implementation and management. As a part of HPC as a Service, a third-party provider completely manages the processing and analysis of data.

Enterprises need not spend huge sums on the deployment of the entire architecture on-premises, empowering enterprises to access high-end computing power without the additional capital investment of building and maintaining their own HPC cluster. Vendors operating in the market can tap the opportunity by providing HPC as a service to enterprises, specifically mid- and small-sized enterprises operating across various industry verticals, including manufacturing, BFSI, retail, and IT. Few companies have been offering HPC as a service, thereby taking early mover advantage in this segment of the market. Among the companies are Advania, Intel, IBM, and UberCloud.

High Performance Computing Market Covid Impact

In 2020, the world was faced with a pandemic like never before, and this completely changed the way the world functions in the most fundamental ways. The pandemic adversely affected many aspects of life and rendered multiple markets unable to sustain huge losses in these times. Computing is playing a key role in combating the COVID-19 pandemic, as it has in other national catastrophes ranging from hurricanes, earthquakes, and oil spills to pandemics, wildfires, and even rapid turnaround modelling when space missions have been endangered, to increase the effectiveness and timeliness of these response.

High Performance Computing Market Russia-Ukraine War Impact

Russia's invasion of Ukraine and the ongoing effects of the pandemic had a negative and unclear impact on the world economy. Many of the downside risks mentioned in April World Economic Outlook have started to manifest. The world's financial conditions have become more rigid due to higher-than-expected inflation, particularly in the United States and major European nations. With COVID-19 outbreaks and lockdowns, China's recession has been greater than expected, and the conflict in Ukraine has had further detrimental effects.

The Global High Performance Computing Market Industry is experiencing a surge in demand for data analytics across various sectors. Organizations are increasingly leveraging HPC systems to process vast amounts of data, enabling them to derive actionable insights. For instance, industries such as finance and healthcare utilize HPC to analyze complex datasets for risk assessment and patient care optimization. This trend is projected to contribute to the market's growth, with the industry expected to reach 45.1 USD Billion in 2024. The need for advanced analytics tools and capabilities is likely to drive further investments in HPC technologies.

By region, the study segments the market into North America, Europe, Asia-Pacific, and the Rest of the World. The North America high performance computing market accounted for USD 10,358.4 million in 2021 and is expected to exhibit an XX% CAGR during the study period. A key factor driving the growth of the market is the continuous investments by various industries, including defense, transportation, manufacturing, BFSI, and retail, in high-performance computing technology.

Additionally, the region is a hub for the largest buyers of supercomputers and has witnessed the presence of leading HPC vendors such as Dell EMC, Lenovo, and IBM, thereby making North America the largest revenue generator globally. North America is expected to register a CAGR of 4.9 % during the forecast period.

The countries considered in the scope of high performance computing market are US, Canada, Mexico, UK, Germany, France, Italy, Spain, Switzerland, Austria, Belgium, Denmark, Finland, Greece, Hungary, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Slovakia, Sweden, Romania, Ireland, China, Japan, Singapore, Malaysia, Indonesia, Philippines, South Korea, Hong Kong, Macau, Singapore, Brunei, India, Australia & New Zealand, South Africa, Egypt, Nigeria, Saudi Arabia, Qatar, United Arab Emirates, Bahrain, Kuwait, and Oman, Brazil, Argentina, Chile, and others.

Figure 5: High Performance Computing Market Size (USD Million) By Region 2022 Vs 2032

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Key competitors are working on growth strategies, partnerships, and mergers and acquisitions in order to stay competitive by expanding their reach, developing market trends, making technological breakthroughs, and delivering services. The global high-performance computing (HPC) market is characterized by the presence of many global, regional, and local vendors. The market is highly competitive, with all the players competing to gain a higher market share.

Some of the major players operating in the global market include IBM Corporation, Hewlett Packard Enterprise Company, Intel Corporation, Microsoft Corporation, Cisco Systems, Inc., Inspur, Inc., Fujitsu Ltd, Oracle Corporation, Dell, Inc., and Dawning Information Industry Co. Ltd. and Others.