Global Rugged Servers Market Overview:
Rugged Servers Market Size was valued at USD 0.53 Billion in 2023. The Rugged Servers Market industry is projected to grow from USD 0.56 Billion in 2024 to USD 0.89 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.83% during the forecast period (2024 - 2032). Increasing need for high-performance computer systems and the growing reliance on technology are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Rugged Servers Market Trends
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Rising adoption of cloud applications is driving market growth
Market CAGR for rugged servers is being driven by the rising adoption of cloud applications. Enterprises are attempting to embrace cold-climate data storage centres in order to reduce the power consumption of cooling systems, which are required to maintain a steady temperature within the data centre. Furthermore, the growing popularity of cloud storage has affected the worldwide data centre business. Several networking service providers, including Facebook, Google, and Amazon, provide cloud storage services. Cloud computing delivers centralized compute via a data centre.
One of the key causes for the expansion in the number of data centres worldwide has been the development of the cloud computing platform. Investments in cold-weather data centres will benefit the market for robust servers. Aside from the enterprise segment, the military's growing emphasis on data centres will have a favourable impact on the industry.
The rise of containerized data centres will drive the growth of the worldwide rugged servers market. Containerized data centres are mobile data centres that can be utilized to expand data centre capacity as needed. These data centres can be located anywhere that meets the capacity requirements. These data centres are built with a variety of modules that may be transported, retrofitted, or added to an existing data centre. It is important to highlight that these modular data centres are built with standard components.
This was done to make it easier to integrate with current data centre networks. Containerized data centres, as the name implies, are made up of servers, storage, and networking equipment that are housed in a normal shipping container. These are then delivered to the destination. Containerized data centres have been created by several leading companies, including IBM and CISCO. Containerized data centres must be outfitted with servers that can function at any moment in time, regardless of location. This opens the door for suppliers in the worldwide rugged servers market to produce servers that are compatible with containerized data centres.
Due to expanding consumer trends and industrial technology, enterprises offering electronics and computer equipment are rapidly altering and adapting to the latest technologies, including loT and edge computing. Manufacturers are adapting to market developments and incorporating innovative technologies into their businesses. As a result, product functionality and regulatory compliance are becoming increasingly important.
Device integrations allow service providers to include multi-functional gadgets into their business strategies. By changing stand-alone gadgets into highly functioning multi-purpose devices, this method improves device capabilities and accelerates sales growth. Commercial off the shelf (COTS) items are used in defence standard equipment, providing assurance and compliance to operate under harsh conditions. These servers meet military-grade specifications for operating temperature and humidity, among other things, easing consumer needs and enhancing growth and expansion.
For instance, in March 2021, Lenovo introduced a new series of embedded computers with tough functionality and cutting-edge processing capability. Because of its capacity to integrate different medical equipment, the Lenovo ThinkEdge S50 enabled deployment in the healthcare business. As a result, such variables have a beneficial impact on the industries and accelerate expansion in this market.
Rugged Servers Market Segment Insights:
Rugged Servers Component Insights
The Rugged Servers Market segmentation, based on Component includes Hardware, Software, and Services. The hardware category dominates the market, due to the increasing demand for high-performance computing systems in numerous industries. The hardware portion contains components such as CPUs, memory, storage, and others that are required for rugged servers. As organizations and consumers become more reliant on technology, the demand for high-performance computer systems grows, propelling the hardware market forward.
Rugged Servers Type Insights
The Rugged Servers Market segmentation, based on Type, includes store Dedicated, Standard. In 2022, dedicated category is predicted to account for a bigger share of the market. Because rugged servers are mostly employed in mission-critical applications, the military, aerospace, and industrial sectors are the primary end users. These industries work in harsh environments with high temperatures, vibrations, and dust, making data access and transfer difficult.
Figure1: Rugged Servers Market, by Type, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Rugged Servers Capacity Insights
The Rugged Servers Market is divided into four segments based on capacity: 256 GB, 256GB-512GB, 512GB-1TB, and >1TB. The rugged server market is dominated by the 256 GB category. This is due to the fact that it is less expensive than greater capacity servers, making it more accessible to organizations and individuals who require a tough server. The 256 GB capacity sector is the most popular in the market because it provides a good combination of cost and performance, making it an excellent choice for people who need a tough server but don't want to spend too much money.
Rugged Servers Application Insights
Military & defence, Industrial, IT & telecommunications, Aerospace, Energy & power, and others are the application segments of the worldwide Rugged Servers Market. The military & defence category is expected to dominate, since rugged servers are widely used in defence and military applications to withstand harsh weather, extreme temperatures, and vibrations. Furthermore, these servers offer the possibility of extra non-consumer software and add-on equipment. The capabilities of the server are also relevant to various defence forces such as marine, aerospace, and naval forces.
Rugged Servers Regional Insights
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Rugged Servers Market area will dominate this market, Because of its ruggedness; rugged servers are widely used in mission-critical applications, military and aerospace, and industrial industries. Furthermore, high-end advancements and research and development efforts, as well as the increased demand for greater process flexibility and efficiency, will drive the growth of the rugged servers market in the area during the projection period.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure2: Rugged Servers Market SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Rugged Servers Market accounts for the second-largest market share owing as rise in defence spending. Further, the German Rugged Servers Market held the largest market share, and the UK Rugged Servers Market was the fastest growing market in the European region
The Asia-Pacific Rugged Servers Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to raise in the requirement for smart energy solutions. Furthermore, the influx of industrial IoT is expected to drive the growth of the region's rugged servers market in the approaching years. Moreover, China’s Rugged Servers Market held the largest market share, and the Indian Rugged Servers Market was the fastest growing market in the Asia-Pacific region.
Rugged Servers Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Rugged Servers Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Rugged Serversindustry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Rugged Servers industry to benefit clients and increase the market sector. In recent years, the Rugged Servers industry has offered some of the most significant advantages to medicine. Major players in the Rugged Servers Market, including Systel (US), Trenton Systems (Georgia), ACME Portable Machines (US), Amity Technologies (India), Beltronic IPC AG (Switzerland), Elma Electronic (Switzerland) and others, are attempting to increase market demand by investing in research and development operations.
Mercury Systems, Inc. is a technology business that provides services to the aerospace and defence industries. It creates secure embedded processing modules and subsystems, avionics mission computers and displays, rugged secure computer servers, and trusted microelectronics components, modules, and subsystems using open architecture computer hardware and software. Mercury offers its products to defence prime contractors, the US government, and commercial aircraft businesses that are original equipment manufacturers (OEM). August 2022, Mercury Systems introduced a rugged data storage system that used edge computing to provide faster transfer and access to large amounts of data. These gadgets were built for rugged terrain, lowering maintenance expenses.
Dell Inc. is a technology corporation established in the United States. It creates, sells, fixes, and maintains computers as well as related products and services. Dell's parent company, Dell Technologies, owns the corporation. Dell sells PCs, servers, data storage devices, network switches, software, computer peripherals, HDTVs, cameras, printers, and electronics manufactured by other companies.
The organization is well-known for its supply chain management and electronic commerce. This includes Dell selling directly to clients and delivering desired PCs. October 2022, Dell's product line was broadened by incorporating the Frontier software platform into its rugged and edge computing capable products. This grants access to multi-cloud technologies and Internet of Things infrastructure. By bringing services and goods to the industrial edge, the corporation has also increased its partner ecosystem.
Key Companies in the Rugged Servers market include
Rugged Servers Industry Developments
March 2021, Ametek announced the acquisition of Abaco, a developer of rugged computing systems and equipment for the military and defence, as well as the industrial consumer markets. This acquisition cost USD 1.35 billion and resulted in corporate expansion in multiple geographical markets.
February 2021, Motorola collaborated with Bullitt Group, a manufacturer of rugged smartphones and tablets. The collaboration resulted in product innovation and commercial expansion. Bullitt has also collaborated with CAT on the integration of data into rugged devices.
Rugged Servers Market Segmentation:
Rugged Servers Component Outlook
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Hardware
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Software
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Services
Rugged Servers Type Outlook
Rugged Servers Capacity Outlook
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<256 GB
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256GB-512GB
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512GB-1TB
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>1TB
Rugged Servers Application Outlook
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Military & defense
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Industrial
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IT & telecommunication
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Aerospace
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Energy & power
Rugged Servers Regional Outlook
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Germany
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France
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UK
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Italy
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Spain
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Rest of Europe
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China
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Japan
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India
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Australia
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South Korea
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Australia
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Rest of Asia-Pacific
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Middle East
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Africa
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Latin America
Report Attribute/Metric |
Details |
Market Size 2023 |
USD 0.53 Billion |
Market Size 2024 |
USD 0.56 Billion |
Market Size 2032 |
USD 0.89 Billion |
Compound Annual Growth Rate (CAGR) |
5.83% (2024-2032) |
Base Year |
2023 |
Market Forecast Period |
2024-2032 |
Historical Data |
2018- 2022 |
Market Forecast Units |
Value (USD Billion) |
Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
Segments Covered |
Component, Type, Capacity, Application and Region |
Geographies Covered |
North America, Europe, AsiaPacific, and the Rest of the World |
Countries Covered |
The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
Key Companies Profiled |
Dell Technologies (US), Mercury Systems (US), Siemens AG (Germany), Core Systems (Switzerland), Crystal Group (Hong Kong), CP Technologies (US), Symmatrix (Singapore), Systel (US), Trenton Systems (Georgia), ACME Portable Machines (US), Amity Technologies (India), Beltronic IPC AG (Switzerland), Elma Electronic (Switzerland), General Micro Systems (US), Getac (Taiwan) |
Key Market Opportunities |
Significant shift of manufacturing industries towards digitization |
Key Market Dynamics |
Industrial IoT is becoming more popular.Military forces are increasing their demand for robust servers. |
Rugged Servers Market Highlights:
Frequently Asked Questions (FAQ) :
The Rugged Servers Market size was valued at USD 0.53 Billion in 2023.
The global market is projected to grow at a CAGR of 5.83% during the forecast period, 2024-2032.
North America had the largest share in the global market
The key players in the market are Systel (US), Trenton Systems (Georgia), ACME Portable Machines (US), Amity Technologies (India), Beltronic IPC AG (Switzerland), Elma Electronic (Switzerland).
The hardware category dominated the market in 2022.
The dedicated had the largest share in the global market.