White Box Server Market is Expected to Grow to Reach $37.89 Billion by 2028, Driven by Data Center Expansion

The white box server market size has grown rapidly in recent years. It will grow from $15.98 billion in 2023 to $18.94 billion in 2024 at a compound annual growth rate (CAGR) of 18.5%. The growth in the historic period can be attributed to open compute project (ocp) influence, increased data center buildouts, commoditization of hardware, hyper-scale data center deployments, vendor independence.

The white box server market size is expected to see rapid growth in the next few years. It will grow to $37.89 billion in 2028 at a compound annual growth rate (CAGR) of 18.9%. The growth in the forecast period can be attributed to increasing focus on energy efficiency, demand for high-performance computing, focus on security and compliance, market liberalization and competition, digital transformation initiatives. Major trends in the forecast period include customization and open architecture, gpu acceleration for ai workloads, software-defined infrastructure, transition to 5g networks, competition with traditional oems.

Market Overview -
White box servers refer to data center computer servers that are not manufactured by a well-known brand name and are built using off-the-shelf components from multiple vendors rather than being produced and sold by a specific brand or manufacturer.

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Data Center Expansion Fuels White Box Server Market Growth
Growing numbers of data centers are expected to propel the growth of the white box server market going forward. Data centers refer to facilities that offer shared access to applications and data through a sophisticated network, computing, and storage infrastructure. A white box server is used as an operating system and can also be used as virtualization software for data centers. For instance, in August 2021, according to Savills Korea, a Korea-based consulting firm, the total capacity of data centers reached 430 MW (megawatts) in terms of IT load at the end of 2020. Further, in 2021, the United States International Trade Commission, a US-based agency of legislative and executive branches on matters of trade, in the US, there over 2,600 data centers in 2021, and there were nearly 8,000 new data centers globally in 2021. Therefore, growing numbers of data centers are driving the growth of the white box server market.

Competitive Landscape -
Major companies operating in the white box server market report are Fujitsu Ltd., Foxconn Electronics Inc., Hon Hai Precision Industry Company Ltd., Dell Inc., Huawei Investment and Holding Co. Ltd., Cisco Systems Inc., Pegatron Corporation, Quanta Computer Inc., Compal Inc., Jabil Inc., Wistron Corporation, Hewlett Packard Enterprise Company, Inventec Corporation, Wiwynn Corporation, Celestica Inc., Super Micro Computer Inc., ASpeed Technology Inc., ZT Systems Co, Hyve Solutions Corp., MiTAC Holdings Corp, Silicon Mechanics Inc., Iron Systems Inc., Equus Computer Systems, Penguin Computing Inc., Servers Direct LLC, Stack Velocity Group.

High-Performance White Box Edge Server For Next-Gen Networking Solutions
Product innovation is a key trend gaining popularity in the white box server market. Companies operating in the white box server market are working on new product innovations to sustain their position in the market. For instance, in February 2021, ADLINK Technology Inc., a Taiwan-based technology company, launched the MECS-6110 edge server, which offers network and communication service providers a verified networking platform. The MECS-6110 is a high-performance white-box edge server with an Intel Xeon D CPU that is optimized for virtualized networking and other communication applications.

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Key Segments -
The white box server market covered in this report is segmented -
1) By Form Factor: Rack And Tower Servers, Blade Servers, Density Optimized Servers
2) By Business Type: Data Centers, Enterprise Customers
3) By Processor: X86 Servers, Non-X86 Servers
4) By Operating System: Linux, Other Operating System

Key highlights covered in the report -
1. Detailed market size forecast and historical data analysis
2. Key drivers influencing market growth
3. Identification of upcoming trends and potential opportunities in the market
4. Analysis of major players strategies, to understand competitive dynamics and market positioning
5. Evaluation of regional dynamics

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