Hyper-Converged Infrastructure Market - Technology Advancement, Growth, Trends and Forecast 2016 - 2024

Hyper-converged infrastructure (HCI) is a software based information technology (IT) infrastructure in which various elements of storage and compute components are optimized for working collectively on a single commodity appliance supported by one single vendor. A hyper-converged infrastructure system curtails the necessity of making individual purchase of various servers, virtualization software that is running on those servers and different management tools. Moreover, the HCI system also reduces the requirements for installation of a separate network-attached storage (NAS) or storage-area network (SAN). Thus, a hyper-converged infrastructure system reduces the overall operating cost of an infrastructural system. The market of hyper-converged infrastructural system is at the nascent stage at present and is anticipated to grow at an exponential rate in the coming years owing to the adoption of virtual desktop infrastructure (VDI) across various application sectors.

For the purpose of providing in-depth information regarding the market trend, the global hyper-converged infrastructure market has been segmented on the basis of application, end user and geography. By end users, the market is classified into IT and telecom industry, government sector, health care industry and media and entertainment sector. On the other hand, various application of hyper-converged infrastructure includes cloud computing, virtualization, data center consolidation and data protection. Cross sectional analysis of all the above mentioned segment across various regions including Europe, North America, Asia Pacific, Middle-East and Africa and Latin America is also highlighted in this report.

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Increasing demand from various application segments to reduce the overall IT operating cost coupled with increasing the efficiency of IT infrastructure is the primary factor predicted to boost the demand of hyper-converged infrastructure during the forecast period from 2016 to 2024. Moreover, the rising necessity of managing various integrated technologies from a common toolset in order to improve ROBO (Remote Branch Office) operational efficiency across various end user segments is also anticipated to increase the adoption rate of hyper-converged infrastructure in the coming years. In addition, availability of virtual machine mobility benefits associated with hyper-converged infrastructure system provides a competitive advantage to HCI system over the conventional converged infrastructure.

However, less flexibility is one of the major concern anticipated to deter various end users to switch to hyper-converged infrastructure system in the coming years. It requires huge cost to add a new resource to the existing hyper-converged infrastructure. External components such as storage can be added to the infrastructure, but in turn reduces the advantages of an integrated system. In addition, low level of customer confidence on new vendors is also predicted to limit various manufacturers to enter into the hyper-converged infrastructure market. These factors in turn is expected to restrain the growth of hyper-converged infrastructure market in the coming years.

Based on end user segment, the global hyper-converged infrastructure market is majorly driven by the IT and telecom industry during the forecast period. Installation of hyper-converged infrastructure system in IT and telecom industry improves the simplicity of operation and reduces the ongoing management cost. This in turn is anticipated to propel the demand of hyper-converged infrastructure system during the forecast period.

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Geographically, North America held the largest share in the global hyper-converged infrastructure market in 2015. The primary factor behind this region’s dominance is attributed to the presence of large number of HCI manufacturers such as Pivot3 (U.S.), Nutanix, Inc. (U.S.) and SimpliVity Corporation (U.S.) among others. However, Asia Pacific region is predicted to witness a promising market growth in the coming years owing to the increasing demand for advanced information technology services for storing data at an economical cost and to improve the backup recovery system. Moreover, rapid growth of IT and telecom industry in this region is also expected to create a better opportunity for different hyper-converged infrastructure providers in the coming years.

Some of the Key players operating in the hyper-converged infrastructure market includes, EMC Corporation (U.S.), Dell Inc. (U.S.), Hewlett Packard (U.S.) and Fujitsu Ltd. (U.S.) among others.

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