Global High Availability Server Market: Snapshot

Both large and medium-sized companies are competing against one another in the global market for high availability servers. In order to stay ahead of the game, they are focusing hard on configuring high availability server into system infrastructure that will provide better features by improving the skill sets supported by these servers.

A properly designed high availability server offers minimum processing latency and maximum uptime by means of hardware redundancy feature, which serves to lower the risk of hardware failure. This advantage has led to its swift uptake by the banking and financial institutions and the retail sector that needs to store vast amounts of data and access those quickly, efficiently, and securely.

Because of this and also the constant thrust on product development along with the expansion in the data center equipment market, the global market for high availability servers has been expanding at a healthy clip.

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Expensiveness of high availability server and steep cost of its maintenance, on the flip side, is serving to hinder its market’s growth. Besides, the fact that not many are aware of its uses, is also acting as a deterrent to the market.

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Banking, Financial Services, and Manufacturing Drives Growth Primarily

The global high availability server market can be segmented on the basis of service sector into banking, financial service and insurance (BFSI), IT and telecommunication, retail, medical and healthcare, government, and manufacturing.

The BFSI sector, of them, is at the forefront of driving sales as it needs to store massive volumes of data and access them continuously without any glitch for its smooth functioning and a high availability server is nothing but a secured pool storage. The BFSI segment accounted for 19% share in the market in 2016.

Going forward, the BFSI segment will likely outpace most other segments in terms of growth rate because of the little risk of system failure or downtime in high availability servers.

Greater Installed Base in Crucial Industries Makes North America Market Leader

From a geographical perspective, North America dominates the global market for high availability server with a leading share on the back of multinational players trying to tap into the promising U.S. and Canada markets. The phenomenal growth in the market in the region has also been brought about by greater installed base and deep penetration of high availability servers in crucial end-use industries of IT and telecommunication, BFSI, retail, e-commerce,.

In 2016, North America accounted for a substantial 42% of the market share in the global high availability server market.

Going forward, the market in Asia Pacific is predicted to rise at a solid 13.0% CAGR from 2017 to 2025 because of the continued innovations in technology and expansion in data center equipment market, particularly in China.

In Europe, high uptake of advanced cloud based technologies and presence of multinational firms, particularly in the nations of the U.K. and Germany, needing high availability solutions, has majorly boosted the market for high availability server.

Some of the key players in the high availability server market are International Business Machines (IBM) Corporation, Dell Inc., Stratus Technologies, Inc., Hewlett Packard Enterprise, Oracle Corporation, Fujitsu, NEC Corporation, Cisco Systems Inc. and Unisys Global Technologies, and CenterServ International Ltd.

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High Availability Server Market to Meet Demand for Business-Critical Activities in Various Sectors

High availability IT servers are characterized by their capability to perform continuously for a desirably long period of time without any downtime or maintenance. Perfect availability is the ideal point, and the IT providers are keenly pursuing the standard of five 9s, as they are called in the IT parlance, implying 99.999 percent availability.

For this period of time, it is imperative to eliminate single points of failure, and avoid unexpected repairs. In production environments, there is a pressing need for minimizing downtimes and prevent service interruptions so that the IT system functions when needed and at ideal rate.

These are some of the key consumer propositions for the preference of products in the high availability servers market. Growing number of businesses who desire 24 by 7 running operations and services online is a key aspect for the need for high availability servers.

A major application area is in healthcare industry, where 24 by 7 monitoring is increasingly desirable. Growing number of business-critical activities where outages are considered to pose high casualty, either loss of massive dollars or revenue loss, have been spurring the demand in the high availability servers.

Another use case of high availability servers is in stock market.

The COVID-19 pandemic and the fallouts in the past few months have triggered overhauls in IT strategies. Consumer expectations from IT-enabled and IT-based businesses across industries have undergone massive changes, with companies in the ecosystem adopting new IT frameworks to meet these.

Further, the changing nature of digital offerings as well as their sheer variability have paved way to new game-changing strategies in the high availability server market. Companies are realigning their technology imperatives and rechannelling their research and development spending to counter the macroeconomic and microeconomic shocks cause by the pandemic.

The aftermath will motivate industry players in the high availability server market to shift to new normals rapidly to stay relevant.

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