Data Center GPU Market Size, Trends, Share, Growth, and Opportunity Forecast, 2023 - 2030 Global Industry Analysis By Workload Type (AI, HPC, Data Analytics), By Industry Vertical (Healthcare, Finance, Gaming), By Enterprise Size (SMEs, Large Enterprises), By Application (Cloud, On-Premises, Edge), By Performance Tier (Entry-Level, Mid-Range, High-End) and By Geography (North America, Europe, Asia Pacific, South America, and Middle East & Africa)

The global data center GPU market was valued at USD 10,643.2 Million in 2022 and is anticipated to reach a value of USD 123,829.3 Million by 2030 expanding at a CAGR of 36.0% between 2023 and 2030.

The market for graphics processing units (GPUs) in data centers is the area of the technology sector dedicated to providing GPUs that are specially made and optimized for data center applications. GPUs or graphic processing units are microprocessors that are used to process and render images and videos. They are typically used for gaming, digital content creation, and other graphics-intensive tasks. Some of the prominent GPU manufacturers include NVIDIA, Intel, AMD, and others. The GPUs are employed in data centers for the purpose of research, cloud computing, and enterprise applications and help in reducing workloads and improving overall efficiency. GPUs are utilized in data centers to speed up and improve the performance of a variety of compute-intensive tasks. They are especially well-suited for jobs involving intricate computations, rendering, and managing big datasets since they are proficient at parallel processing. GPUs are therefore crucial parts of data centers that need a lot of processing power and efficiency.

Data Center GPU Market Major Driving Forces

Growing Adoption for Artificial Intelligence:  The large-scale adoption of artificial intelligence in various sectors such as healthcare, self-driven cars, finance, and others has propelled the need for GPUs to perform sophisticated and parallel computing.

Big Data Analytics: As more and more businesses grow, there is a huge demand to handle, analyze and process the data. GPUs speed up data analytics, enabling quicker processing and analysis of big datasets.

Increase in Cloud Services: Since cloud services are employed to handle large business data, GPUs can play a vital role in handling and analyzing such huge data.

Rise of Edge Computing: In order to facilitate real-time processing and decision-making, edge data centers that use edge computing must have GPUs. Edge computing includes processing data closer to the source

Data Center GPU Market Key Opportunities

High-Performance Computing (HPC): GPUs have the capability to handle and perform high-performance computing which includes financial modeling, weather forecasting, and scientific research. As these sectors become an integral part of today’s generation, the market for data center GPU is bound to grow.

Cloud Computing: In order to manage and analyze huge data in could servers, the cloud service providers prefer to use GPUs to speed up the analysis more precisely and accurately.

IoT and 5G: The proliferation of IoT devices and the development of 5G networks result in massive data flows. GPU-equipped data centers are essential for handling and interpreting this data, which opens up a sizable industry.

Data Center GPU Market Key Trends

·         The integration of artificial intelligence and machine learning has driven the demand for GPUs in order to optimize the workloads.

·         Edge computing is another technology that is in trend regarding the data center GPU market. Edge computing provides real-time, low-latency processing in distributed data centers.

·         To serve their clients with high-performance computing capabilities, cloud service companies keep on investing in data center GPUs.

·         As sustainability and energy efficiency have grown in importance, more power-efficient GPUs for data centers have been developed.

·         Development of GPUs that can cater to the specific needs of the specific application is in huge demand.

Region-wise Market Insights

North America accounted for the largest market share at 41.2% in 2022 whereas, Asia Pacific is expected to register the fastest growth, expanding at a CAGR of 37.1% between 2023 and 2030.

In North America, the United States of America is the prominent region that is home to some of the biggest industries operating in this market such as NVIDIA, Intel, AMD, and others. The easy adoption of technology and the well-developed cloud computing industry with a strong emphasis on artificial intelligence and machine learning is driving the market in North America. In Europe, besides major economies such as the United Kingdom, Germany, France, and others, Nordic countries are also keen on investing big in data centers, cloud computing, and AI, leading to a growing demand for GPUs. The European data center GPU industry is also influenced by laws and policies pertaining to energy efficiency and data security. The Asia-Pacific region witnessed tremendous expansion in the data center GPU market owing to the sizable and growing technology industry in countries such as China, Japan, and India. Latin America on the other hand, has a slower adoption rate of this technology due to underdeveloped data center infrastructure.

Market Competition Landscape

The growing need for high-performance computing and workloads involving artificial intelligence has created a dynamic and fiercely competitive environment in the data center GPU industry. The main competitors in the market contest on the basis of variables such as total data center solutions, software compatibility, energy efficiency, GPU performance, and developer support. Prominent players in the market include:

·         NVIDIA

·         AMD (Advanced Micro Devices)

·         Intel

·         Google

·         Amazon Web Services (AWS)

·         Microsoft

·         IBM

·         Huawei

·         Inspur

·         Dell Technologies

·         HPE (Hewlett Packard Enterprise)

·         Supermicro