Server Operating System Market is Projected to Grow Expeditiously: to Reach $45.3 Billion by 2031, Report

According to a new report published by Allied Market Research, The server operating system market was valued at $15.2 billion in 2021, and is estimated to reach $45.3 billion by 2031, growing at a CAGR of 11.9% from 2022 to 2031.

The server operating system market is driven by factors such as the rise in spending of the business to build up the robust data center infrastructure and the surge in adoption of the hybrid cloud environment. Furthermore, the increasing rollouts of 5G networking technology and a surge in government regulations & policies regarding the operating system drive the growth of the server operating system market.

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However, the high server downtime and cost related to server operating systems, along with the lack of trained IT staff in data center facilities restrict the growth of the server operating system market. On the contrary, the rise in demand for advanced technologies along with the increase in the need for secured IT infrastructure is expected to offer remunerative opportunities for expansion during the server operating system market forecast.

Depending on organization size, the large enterprise segment holds the largest server operating system market share owing to the rise in preference for cloud technology compared to on-premise models across large enterprises.

However, the SMEs in the server operating system market is analyzed to witness the fastest growth due to a rapid increase in the need for efficient data storage solutions along with growing government programs accelerating the SME sector. In addition, the rise in need for exceptional server to improve product quality and business efficiency is further driving the growth of server OS market among SMEs.

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Depending upon region analysis, the server operating system market share was dominated by North America in 2021 and is expected to retain its position during the forecast period, owing to the early adoption of the Internet of Things (IoT) and other emerging technologies in varied industries is positively impacting the growth of server operating system industry.

However, Asia-Pacific is expected to witness significant growth during the forecast period, owing to a rise in focus on reducing dependence on physical servers and ensuring long-term sustainability in corporate networking is anticipated to drive the server operating system market size.

The COVID-19 pandemic is expected to negatively impact the overall economy in the server operating system industry, owing to, the supply of new servers being significantly low or halted due to the imposition of strict lockdown by government authorities. Thus, several vendors have reported a reduction in their industrial profit during the second quarter of 2020.

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However, the pandemic increasingly affects consumer preference and reduces spending for on-premises servers, while the impact of COVID-19 on Infrastructure as a service (IaaS) servers will be minimal, which supports the server OS market growth in the wake of the pandemic. Moreover, IT companies are incorporating advanced and innovative solutions, as well as establishing green data center infrastructure to mitigate the effects caused by the pandemic on the demand for server operating systems.

For instance, in May 2022, the digital technology and innovation backbone of Alibaba Group, Alibaba Cloud unveiled a new sustainable data center in Frankfurt, Germany. These factors will normalize the situation for paving the demand for server operating systems, which, in turn, is contributing to the growth of the market.

The key players that operate in the server operating system market analysis are Apple Inc., Amazon Web Services, Canonical Ltd, Dell Technologies Inc., Fujitsu, IBM Corporation, Microsoft Corporation, Red Hat, Inc., SUSE, LLC, and Hewlett Packard Enterprise. These players have adopted various strategies to increase their market penetration and strengthen their position in the server operating system industry.

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KEY FINDINGS OF THE STUDY

1. By industry vertical, the IT and Telecom segment accounted for the largest server operating system market share in 2021.

2. By region, North America generated highest revenue in 2021.

3. By virtualization, the virtual server segment generated the highest revenue in 2021.

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