Hyperion Research Announces a 36.7% Increase in the HPC/AI Market Size

By Doug Eadline

August 13, 2024

AI has changed everything, including HPC. A recent HPCwire article discussed how AI-augmented HPC is creating a large paradigm shift in many aspects of the market and community.

Supporting this shift, Hyperion Research announced today that it has updated its market sizing for the HPC (technical computing servers) market precipitated by AI’s unprecedented impact on the market. In addition to revenue from traditional HPC suppliers, revenue attributed to non-traditional HPC suppliers, often from non-traditional HPC buyers, is now included. These new types of servers are called “AI-centric Servers” in the figure and table below.

This change in scope increases the overall HPC server market growth rate from our January 2024 forecast to 36.7% in 2023 and is projected to add $13.6B by 2028. According to Earl Joseph, CEO of Hyperion Research:

As AI is being integrated into traditional HPC workflows, and HPC-class machines are being purchased to adopt AI into enterprise datacenter applications, we are seeing a great increase in new buyers and new suppliers that have entered the HPC market.

Figure 1: Worldwide HPC server market ($B) including revenue from traditional HPC suppliers and revenue attributed to non-traditional HPC suppliers. (Source: Hyperion)

The changes to the HPC market sizing and tracking are based on multiple surveys conducted over the last two years and represent a major adjustment to the overall HPC market, heavily driven by a combination of the use of AI, Large Language Models, and the purchases of large GPU/accelerator-based systems. HPC systems are used as the backbone for many AI and AI-related applications, which has driven the overall HPC market to a new level of growth.

Table 1: Data used for chart in Figure 1. Click for larger image. (Source: Hyperion)

Market Segment Definitions

Hyperion has provided updated market segmentation criteria.

AI-centric Servers (new revenues added to the previous HPC market sizing)

These are on-premises AI-centric HPC servers provided by non-traditional HPC suppliers like NVIDIA, Cerebras, SambaNova, SuperMicro, etc., frequently at non-traditional HPC user sites like large enterprise sites adding AI capabilities.

  • These servers are designed primarily to run AI and AI-related workloads.
  • These servers are a subsegment of the overall HPC market but haven’t historically been accounted for within prior HPC market numbers.

HPC & Advanced AI Servers (previously counted in the HPC market sizing)

These are on-premises servers that are used for highly computational or data-intensive tasks:

  • Hyperion Research uses the terms technical computing and high-performance computing (HPC) to encompass the entire market for computer servers used by scientists, engineers, analysts, and other groups using computationally and/or data-intensive modeling and simulation applications. An on-premises system primarily used for HPC workloads (at least 50%) can be referred to as an HPC/AI system or simply an HPC. These servers also include AI-centric servers used by traditional HPC end-users and are typically sold by traditional server vendors.
  • In addition to scientific and engineering applications, technical computing includes related markets/applications areas such as economic analysis, financial analysis, animation, server-based gaming, digital content creation and management, business intelligence modeling, and homeland security database applications.
  • Systems acquired by cloud service providers for the purpose of hosting cloud workloads are excluded, as Hyperion Research separately tracks spending for HPC usage in cloud environments.
  • The Advanced AI servers previously tracked are primarily sold by traditional HPC system vendors that go to traditional HPC sites.

Find More HPC/AI Discussions at the Fall HPC User Forum

The latest information and expert discussions on HPC and AI are part of the fall Hyperion Research HPC/AI User Forum. According to the agenda many topical HPC and AI talks will be presented including “The Future of AI” by Rick Stevens of ANL and a session on Real-world Large Scale AI Use Cases and Examples. The forum will be held at Argonne National Laboratory from September 4-5, 2024

About Hyperion Research

Hyperion Research is the premier industry analysis and market intelligence firm for high-performance computing (HPC) and associated emerging markets. Hyperion Research analysts provide timely, in-depth mission-critical insight across a broad portfolio of advanced computing market segments, including High-Performance Computing (HPC), Advanced Artificial Intelligence (AI), High-Performance Data Analysis (HPDA), Quantum Computing (QC), Cloud, and advanced technologies.

For close to 35 years, the industry analysts at Hyperion Research have been helping private, public, and government organizations make intelligent, fact-based decisions related to business impact and technology direction in the complex and competitive landscape of advanced computing and emerging technologies.

Subscribe to HPCwire's Weekly Update!

Be the most informed person in the room! Stay ahead of the tech trends with industry updates delivered to you every week!

Argonne’s HPC/AI User Forum Wrap Up

September 11, 2024

As fans of this publication will already know, AI is everywhere. We hear about it in the news, at work, and in our daily lives. It’s such a revolutionary technology that even established events focusing on HPC specific Read more…

Quantum Software Specialist Q-CTRL Inks Deals with IBM, Rigetti, Oxford, and Diraq

September 10, 2024

Q-CTRL, the Australia-based start-up focusing on quantum infrastructure software, today announced that its performance-management software, Fire Opal, will be natively integrated into four of the world's most advanced qu Read more…

Computing-Driven Medicine: Sleeping Better with HPC

September 10, 2024

As a senior undergraduate student at Fisk University in Nashville, Tenn., Ifrah Khurram's calculus professor, Dr. Sanjukta Hota, encouraged her to apply for the Sustainable Research Pathways Program (SRP). SRP was create Read more…

LLNL Engineers Harness Machine Learning to Unlock New Possibilities in Lattice Structures

September 9, 2024

Lattice structures, characterized by their complex patterns and hierarchical designs, offer immense potential across various industries, including automotive, aerospace, and biomedical engineering. With their outstand Read more…

NSF-Funded Data Fabric Takes Flight

September 5, 2024

The data fabric has emerged as an enterprise data management pattern for companies that struggle to provide large teams of users with access to well-managed, integrated, and secured data. Now scientists working at univer Read more…

xAI Colossus: The Elon Project

September 5, 2024

Elon Musk's xAI cluster, named Colossus (possibly after the 1970 movie about a massive computer that does not end well), has been brought online. Musk recently posted the following on X/Twitter: "This weekend, the @xA Read more…

Shutterstock 793611091

Argonne’s HPC/AI User Forum Wrap Up

September 11, 2024

As fans of this publication will already know, AI is everywhere. We hear about it in the news, at work, and in our daily lives. It’s such a revolutionary tech Read more…

Quantum Software Specialist Q-CTRL Inks Deals with IBM, Rigetti, Oxford, and Diraq

September 10, 2024

Q-CTRL, the Australia-based start-up focusing on quantum infrastructure software, today announced that its performance-management software, Fire Opal, will be n Read more…

NSF-Funded Data Fabric Takes Flight

September 5, 2024

The data fabric has emerged as an enterprise data management pattern for companies that struggle to provide large teams of users with access to well-managed, in Read more…

Shutterstock 1024337068

Researchers Benchmark Nvidia’s GH200 Supercomputing Chips

September 4, 2024

Nvidia is putting its GH200 chips in European supercomputers, and researchers are getting their hands on those systems and releasing research papers with perfor Read more…

Shutterstock 1897494979

What’s New with Chapel? Nine Questions for the Development Team

September 4, 2024

HPC news headlines often highlight the latest hardware speeds and feeds. While advances on the hardware front are important, improving the ability to write soft Read more…

Critics Slam Government on Compute Speeds in Regulations

September 3, 2024

Critics are accusing the U.S. and state governments of overreaching by including limits on compute speeds in regulations and laws, which they claim will limit i Read more…

Shutterstock 1622080153

AWS Perfects Cloud Service for Supercomputing Customers

August 29, 2024

Amazon's AWS believes it has finally created a cloud service that will break through with HPC and supercomputing customers. The cloud provider a Read more…

HPC Debrief: James Walker CEO of NANO Nuclear Energy on Powering Datacenters

August 27, 2024

Welcome to The HPC Debrief where we interview industry leaders that are shaping the future of HPC. As the growth of AI continues, finding power for data centers Read more…

Everyone Except Nvidia Forms Ultra Accelerator Link (UALink) Consortium

May 30, 2024

Consider the GPU. An island of SIMD greatness that makes light work of matrix math. Originally designed to rapidly paint dots on a computer monitor, it was then Read more…

Atos Outlines Plans to Get Acquired, and a Path Forward

May 21, 2024

Atos – via its subsidiary Eviden – is the second major supercomputer maker outside of HPE, while others have largely dropped out. The lack of integrators and Atos' financial turmoil have the HPC market worried. If Atos goes under, HPE will be the only major option for building large-scale systems. Read more…

AMD Clears Up Messy GPU Roadmap, Upgrades Chips Annually

June 3, 2024

In the world of AI, there's a desperate search for an alternative to Nvidia's GPUs, and AMD is stepping up to the plate. AMD detailed its updated GPU roadmap, w Read more…

Nvidia Shipped 3.76 Million Data-center GPUs in 2023, According to Study

June 10, 2024

Nvidia had an explosive 2023 in data-center GPU shipments, which totaled roughly 3.76 million units, according to a study conducted by semiconductor analyst fir Read more…

Shutterstock_1687123447

Nvidia Economics: Make $5-$7 for Every $1 Spent on GPUs

June 30, 2024

Nvidia is saying that companies could make $5 to $7 for every $1 invested in GPUs over a four-year period. Customers are investing billions in new Nvidia hardwa Read more…

Comparing NVIDIA A100 and NVIDIA L40S: Which GPU is Ideal for AI and Graphics-Intensive Workloads?

October 30, 2023

With long lead times for the NVIDIA H100 and A100 GPUs, many organizations are looking at the new NVIDIA L40S GPU, which it’s a new GPU optimized for AI and g Read more…

Google Announces Sixth-generation AI Chip, a TPU Called Trillium

May 17, 2024

On Tuesday May 14th, Google announced its sixth-generation TPU (tensor processing unit) called Trillium.  The chip, essentially a TPU v6, is the company's l Read more…

Shutterstock 1024337068

Researchers Benchmark Nvidia’s GH200 Supercomputing Chips

September 4, 2024

Nvidia is putting its GH200 chips in European supercomputers, and researchers are getting their hands on those systems and releasing research papers with perfor Read more…

Leading Solution Providers

Contributors

IonQ Plots Path to Commercial (Quantum) Advantage

July 2, 2024

IonQ, the trapped ion quantum computing specialist, delivered a progress report last week firming up 2024/25 product goals and reviewing its technology roadmap. Read more…

Intel’s Next-gen Falcon Shores Coming Out in Late 2025 

April 30, 2024

It's a long wait for customers hanging on for Intel's next-generation GPU, Falcon Shores, which will be released in late 2025.  "Then we have a rich, a very Read more…

Some Reasons Why Aurora Didn’t Take First Place in the Top500 List

May 15, 2024

The makers of the Aurora supercomputer, which is housed at the Argonne National Laboratory, gave some reasons why the system didn't make the top spot on the Top Read more…

Department of Justice Begins Antitrust Probe into Nvidia

August 9, 2024

After months of skyrocketing stock prices and unhinged optimism, Nvidia has run into a few snags – a  design flaw in one of its new chips and an antitrust pr Read more…

Nvidia H100: Are 550,000 GPUs Enough for This Year?

August 17, 2023

The GPU Squeeze continues to place a premium on Nvidia H100 GPUs. In a recent Financial Times article, Nvidia reports that it expects to ship 550,000 of its lat Read more…

MLPerf Training 4.0 – Nvidia Still King; Power and LLM Fine Tuning Added

June 12, 2024

There are really two stories packaged in the most recent MLPerf  Training 4.0 results, released today. The first, of course, is the results. Nvidia (currently Read more…

xAI Colossus: The Elon Project

September 5, 2024

Elon Musk's xAI cluster, named Colossus (possibly after the 1970 movie about a massive computer that does not end well), has been brought online. Musk recently Read more…

Spelunking the HPC and AI GPU Software Stacks

June 21, 2024

As AI continues to reach into every domain of life, the question remains as to what kind of software these tools will run on. The choice in software stacks – Read more…

  • arrow
  • Click Here for More Headlines
  • arrow
HPCwire