SUNNYVALE, Calif., June 7, 2019 — Leading HPC and hyperscale analyst firm Intersect360 Research has completed its market sizing and new five-year forecast for the High Performance Computing (HPC) industry, announcing that the total worldwide HPC market grew 3.2% year-over-year, hitting $36 billion in 2018.

As part of its HPC Advisory Service, Intersect360 Research Intersect360 Research tracks spending on HPC servers, storage, software, networking, services, and cloud computing worldwide. Top-level insights from this year’s forecast include:

·       Revenue growth was led by HPC server components, the largest product category, due primarily to end user’s configuring more components within server nodes, including additional processing elements to handle artificial intelligence (AI) workloads in machine learning, as well as an increase in non-volatile memory and storage components.

·       Cloud computing for HPC workloads also continued its double-digit growth trajectory, becoming a more prevalent portion of the budget, with $2.17 billion in spending.

·       Commercial HPC use cases—already more than 50% of the market by revenue—continued to be the driver of growth, as the public sector sector showed a slight decline. The energy market showed the greatest percentage gain of all vertical markets (8.7% growth year-over-year), while the manufacturing industry, combining automotive/aerospace and consumer product manufacturing, contributed the most absolute revenue growth, with over a quarter of a billion dollars in new revenue to reach $4.77 billion in 2018.

·       Growth was concentrated more to the higher end of the market, with supercomputing-class systems (over $1.5 million expenditures) outpacing all categories, and entry-level systems (under $50,000) trailing.

·       Growth was relatively evenly spread among geographic regions.

·       HPE held the number-one position for HPC server revenue for the sixth straight year, but its gap over number-two Dell EMC has narrowed to a thin margin. Dell EMC also has the number-one revenue share position for storage for HPC applications, ahead of number-two NetApp. Counting all products and services, Dell EMC is the leader in total HPC solutions revenue.

·       Based on strong market fundamentals and increases in machine learning and analytics workloads, the worldwide HPC market is forecast to at a compound annual growth rate of 6.8% over the next five years, surpassing $50 billion in spending in 2023.

“HPC applications are the ones that matter to innovation and advancement in science, research, and engineering,” said Addison Snell, CEO of Intersect360 Research. “HPC will continue to merit investment as long as people want to do more tomorrow than they do today.”

In addition, Snell says, the HPC market is continuing to feel the impact of advances in machine learning. “AI workloads are sweeping through all types of enterprises and research, which is affecting both the HPC and Hyperscale markets. In HPC, we’re seeing not only a measurable affect on top-line budget expectations, but also different technology choices being made to accommodate machine learning workloads.”

The newest HPC market data will be available from Intersect360 Research in a series of reports covering the following segmentations:

·       Products and Services (Servers, Storage, Software, Services, Networking, Cloud)

·       Industry Sectors (Commercial, Government, Academia)

·       Vertical Markets

·       Regions (North America, EMEA, Asia Pacific, Latin America)

·       Cloud computing categories (Raw cycles, Storage, IaaS/PaaS, SaaS)

·       Server categories (entry-level, midrange, high-end, supercomputing)

·       Software categories (applications, operating environments, middleware, developer tools, storage software)

·       Services categories (maintenance and repair, systems engineering, systems integration, training, programming)

·       Server vendor revenue shares (current year only, not forecast)

·       Storage vendor revenue shares (current year only, not forecast)

Data is available immediately to clients of the Intersect360 Research HPC market advisory service. Reports can be purchased individually on the Intersect360 Research website, or as a discounted ten-report package through the Intersect360 Research sales team. New clients to Intersect360 Research and members and sponsors of the HPC Advisory Council may be eligible for additional discounts. Inquire with [email protected] for pricing.

About Intersect360 Research

Intersect360 Research is a market intelligence, research, and consulting advisory practice focused on high-performance data center trends, including High Performance Computing (HPC), artificial intelligence (AI) and machine learning, cloud computing, big data, and hyperscale. Intersect360 Research utilizes both user-based and supplier-based research to form a complete perspective of market dynamics, trends, and usage models, including both technical and business applications. The company’s end-user-focused research is inclusive from both a technology perspective and a usage standpoint, allowing Intersect360 Research to provide its clients with total market models that include both traditional and emerging HPC applications.
 
In addition to its market advisory subscription services, Intersect360 Research offers customers an array of client-specific services, including custom surveys, white papers, custom analysis, and both marketing and general business consulting.

More information on Intersect360 Research can be found at: www.intersect360.com.

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Source: Intersect360 Research