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Add to CartGlobal Data Center Accelerator Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Processor Type;
CPU (Central Processing Unit), GPU (Graphics Processing Unit) and FPGA (Field-Programmable Gate Array).By Application;
Deep Learning Training, and Enterprise Inference.By Accelerator Type;
High-performance Computing Accelerator, and Cloud Accelerator.By End-user;
IT & Telecom, Healthcare, Energy.By Geography;
North America, Europe, Asia Pacific, Middle East and Africa and Latin America - Report Timeline (2021 - 2031).Introduction
Global Data Center Accelerator Market (USD Million), 2021 - 2031
In the year 2024, the Global Data Center Accelerator Market was valued at USD 35,325.34 million. The size of this market is expected to increase to USD 316,729.90 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 36.8%.
The global data center accelerator market is experiencing rapid growth driven by the increasing demand for high-performance computing (HPC), artificial intelligence (AI), and data-intensive applications. Data center accelerators are specialized hardware components designed to enhance the processing power and efficiency of servers, enabling faster computation and analysis of large datasets. With the proliferation of cloud computing, big data analytics, and machine learning, there is a growing need for accelerators that can handle the massive workloads generated by these technologies. As organizations strive to extract insights and derive value from their data, the adoption of data center accelerators is becoming increasingly critical to meet performance requirements and maintain competitiveness.
Key players in the global data center accelerator market include industry giants such as NVIDIA Corporation, Intel Corporation, and Advanced Micro Devices, Inc. These companies are at the forefront of developing cutting-edge accelerator technologies, including graphics processing units (GPUs), field-programmable gate arrays (FPGAs), and application-specific integrated circuits (ASICs). GPUs, in particular, have emerged as a popular choice for accelerating AI and HPC workloads due to their parallel processing capabilities and high computational throughput. Additionally, FPGA-based accelerators offer flexibility and reconfigurability, making them suitable for a wide range of applications, from data analytics to networking and cybersecurity.
As data center workloads continue to grow in complexity and scale, the demand for specialized accelerators is expected to surge. Emerging trends such as edge computing, 5G networks, and the Internet of Things (IoT) are driving the need for efficient and powerful processing solutions closer to the point of data generation. Data center accelerators play a crucial role in supporting these trends by enabling real-time analysis and decision-making at the edge. Moreover, advancements in accelerator architectures, coupled with increasing investments in AI and HPC research, are driving innovation in the market, leading to the development of more efficient and specialized accelerator solutions tailored to meet the evolving needs of modern data centers.
Global Data Center Accelerator Market Recent Developments
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December 2022 - Atos has announced the development of a new solution in collaboration with AWS that allows clients to expedite and properly monitor company key performance indicators (KPIs) by offering simple access to SAP and non-SAP data silos. "Atos' AWS Data Lake Accelerator for SAP" is a new solution that delivers self-service and enterprise-wide reporting for significant insights into daily changes that swiftly influence choices to drive the bottom line.
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October 2022 - Accenture and Google Cloud announced an expansion of the global partnership, including a renewed commitment to growing their respective talent pools, expanding their joint capabilities, developing new data and AI solutions, and providing enhanced support to help clients build a solid digital core and reinvent their enterprises on the cloud.
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June 2022 - Sanofi has launched its first digital accelerator to help achieve its goal of being a premier digital healthcare company. The accelerator would create products and solutions to help Sanofi's objective of transforming medicine via the use of digital, data, and artificial intelligence (AI).
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June 2022 - GE Digital announced the launch of its new accelerator product line, which includes software solutions to enable customers in asset-intensive energy industries quickly set up its Asset Performance Management (APM) and other services. GE Digital Accelerators are intended to accelerate time to value, extend APM to a wider variety of assets, and assist organizations in gaining financial benefit at their facilities and throughout the enterprise.
Segment Analysis
This report extensively covers different segments of Global Data Center Accelerator Market and provides an in depth analysis (including revenue analysis for both historic and forecast periods) for all the market segments. In this report, the analysis for every market segment is substantiated with relevant data points and, insights that are generated from analysis of these data points (data trends and patterns).
The global data center accelerator market has been segmented based on processor type, accelerator type, and geography, reflecting the diverse needs and preferences of organizations deploying these technologies. Processor type segmentation includes central processing units (CPUs), graphics processing units (GPUs), and field-programmable gate arrays (FPGAs), among others. CPUs serve as the general-purpose processors in data centers, handling a wide range of tasks, while GPUs and FPGAs are specialized accelerators designed to optimize specific workloads such as AI, machine learning, and high-performance computing. By segmenting the market based on processor type, organizations can choose the most suitable hardware architecture to meet their performance, scalability, and efficiency requirements.
Furthermore, the market is segmented by accelerator type, encompassing hardware accelerators, software accelerators, and cloud-based accelerators. Hardware accelerators include dedicated accelerator cards or chips that are integrated into servers to offload compute-intensive tasks from the CPU, resulting in improved performance and efficiency. Software accelerators leverage software-based optimizations to enhance processing speed and reduce latency, while cloud-based accelerators provide accelerated computing resources on-demand through cloud service providers. By offering a range of accelerator options, the market caters to diverse deployment scenarios and use cases, allowing organizations to choose the most appropriate acceleration technology based on their specific workload requirements and infrastructure preferences.
Geographical segmentation of the global data center accelerator market provides insights into regional trends, demand dynamics, and market opportunities. Different regions exhibit varying levels of adoption and investment in data center accelerators, influenced by factors such as technological maturity, regulatory environment, and economic conditions. Mature markets like North America and Europe have well-established data center infrastructures and high adoption rates of accelerators driven by the demand for advanced computing capabilities. In contrast, emerging economies in Asia-Pacific and Latin America are witnessing rapid growth in data center investments and digital transformation initiatives, presenting significant opportunities for accelerator vendors and service providers to expand their footprint and capture market share.
Global Data Center Accelerator Segment Analysis
In this report, the global data center accelerator market has been segmented by Processor Type, Application, Accelerator Type, End-user and Geography.
Global Data Center Accelerator Market, Segmentation by Processor Type
The Global Data Center Accelerator Market has been segmented by Processor Type into CPU (Central Processing Unit), GPU (Graphics Processing Unit) and FPGA (Field-Programmable Gate Array).
The segmentation of the global data center accelerator market by processor type, including CPU (Central Processing Unit), GPU (Graphics Processing Unit), and FPGA (Field-Programmable Gate Array), reflects the diverse range of hardware options available to enhance data center performance. CPUs, traditionally the primary processing unit in servers, excel in handling sequential tasks and general-purpose computing. However, as data center workloads become increasingly parallel and data-intensive, GPUs have gained prominence for their ability to accelerate tasks such as artificial intelligence, deep learning, and high-performance computing. GPUs offer massive parallel processing power, making them well-suited for handling complex calculations and large-scale data processing tasks in data centers. Additionally, FPGAs provide flexibility and reconfigurability, allowing data center operators to customize hardware acceleration for specific applications and optimize performance and energy efficiency.
Key players in the data center accelerator market, including NVIDIA Corporation, Intel Corporation, and Xilinx, Inc., offer a variety of accelerator options catering to different workload requirements and application scenarios. NVIDIA's GPUs, such as the Tesla series, are widely used for accelerating AI and HPC workloads in data centers, leveraging the company's CUDA parallel computing platform and deep learning frameworks like TensorFlow and PyTorch. Intel's CPUs remain prevalent in traditional server applications, while the company's acquisition of Altera has bolstered its FPGA offerings, enabling hardware acceleration for a broad range of applications. Similarly, Xilinx is a leading provider of FPGA-based accelerators, offering adaptable computing solutions for data center acceleration, networking, and storage applications.
As the demand for data center acceleration continues to grow, driven by trends such as AI, big data analytics, and IoT, the market is witnessing ongoing innovation in accelerator technologies and architectures. GPU vendors are developing specialized accelerators optimized for AI inference and training tasks, with features like tensor cores and dedicated AI processing units. Meanwhile, FPGA manufacturers are focusing on improving performance, power efficiency, and ease of integration through advancements in programmability and software tools. Additionally, the adoption of hybrid cloud and edge computing models is driving the need for accelerators that can deliver high-performance processing at distributed locations closer to data sources. In this evolving landscape, the segmentation of the data center accelerator market by processor type reflects the diverse range of hardware solutions available to meet the performance, efficiency, and scalability requirements of modern data center environments.
Global Data Center Accelerator Market, Segmentation by Application
The Global Data Center Accelerator Market has been segmented by Application into Deep Learning Training, and Enterprise Inference.
The Global Data Center Accelerator Market is primarily segmented by application into two major categories: Deep Learning Training and Enterprise Inference. Deep learning training involves the use of large datasets to train artificial intelligence (AI) models. This process requires significant computational power, making accelerators essential for improving the speed and efficiency of the training process. The demand for deep learning training accelerators is growing due to the increasing adoption of AI technologies across various industries, including healthcare, automotive, and finance. Data center accelerators are designed to handle the high-performance computing demands of deep learning tasks, offering enhanced capabilities over traditional processors.
On the other hand, the Enterprise Inference segment refers to the use of accelerators for running trained AI models to make real-time predictions or decisions. This application is crucial for businesses that rely on data-driven insights, such as recommendation systems, fraud detection, and customer service automation. Accelerators in this segment are optimized for low-latency, high-throughput tasks, ensuring that AI models can deliver results in real-time with minimal delay. With the growing focus on business automation and data analytics, the demand for data center accelerators for enterprise inference is expected to rise in the coming years.
Both segments are witnessing technological advancements that improve performance, energy efficiency, and cost-effectiveness. The development of specialized hardware, such as Graphics Processing Units (GPUs), Tensor Processing Units (TPUs), and Field-Programmable Gate Arrays (FPGAs), is driving growth in both deep learning training and enterprise inference applications. As businesses continue to adopt AI technologies, the need for efficient and scalable data center infrastructure will only increase, making accelerators a key component in meeting these growing demands.
Global Data Center Accelerator Market, Segmentation by Accelerator Type
The Global Data Center Accelerator Market has been segmented by Accelerator Type into High-performance Computing Accelerator and Cloud Accelerator.
The global data center accelerator market has been segmented by accelerator type into high-performance computing (HPC) accelerators and cloud accelerators, reflecting the diverse needs and applications within the data center ecosystem. High-performance computing accelerators are designed to handle complex computational tasks and workloads, making them ideal for applications such as scientific simulations, financial modeling, and weather forecasting. These accelerators, often in the form of graphics processing units (GPUs) or field-programmable gate arrays (FPGAs), excel in parallel processing and are optimized for performance-intensive workloads that require significant computational power.
On the other hand, cloud accelerators are tailored to enhance the performance and efficiency of cloud computing environments, catering to the growing demand for scalable and cost-effective solutions in data centers. These accelerators are typically optimized for virtualized environments and are designed to accelerate specific cloud-based applications or services, such as AI inference, data analytics, and media transcoding. Cloud accelerators help improve the speed and responsiveness of cloud-based services, enabling organizations to deliver better user experiences and optimize resource utilization in multi-tenant environments.
The segmentation of the data center accelerator market by accelerator type reflects the diverse requirements and use cases within the data center industry. While HPC accelerators focus on delivering raw computational power for scientific and technical computing tasks, cloud accelerators target the specific needs of cloud service providers and enterprises operating in virtualized environments. As organizations continue to leverage data-driven insights and adopt emerging technologies such as artificial intelligence and machine learning, the demand for both types of accelerators is expected to grow, driving innovation and expansion in the global data center accelerator market.
Global Data Center Accelerator Market, Segmentation by End-user
The Global Data Center Accelerator Market has been segmented by End-user into IT & Telecom, Healthcare, Energy.
The global data center accelerator market is divided into various end-user segments, including IT & Telecom, Healthcare, and Energy. The IT & Telecom sector is one of the most prominent drivers in the market due to the growing demand for high-speed data processing and storage solutions. Data centers are crucial in ensuring the efficient management and transmission of large volumes of data generated by internet services, telecommunications, and cloud computing. With the increasing adoption of 5G networks and the need for faster data transmission, the IT & Telecom industry is expected to continue its strong demand for data center accelerators.
In the healthcare sector, data centers play a critical role in managing and processing massive amounts of sensitive medical data. The healthcare industry relies heavily on accelerators to handle large-scale data analysis, support artificial intelligence (AI) applications, and enable faster processing of patient data for improved clinical decision-making. With the growing adoption of telemedicine, health monitoring devices, and electronic health records, data centers are essential to maintain the performance and security of these digital systems, which further drives the demand for data center accelerators.
The energy sector also contributes to the growth of the global data center accelerator market. With the increasing integration of renewable energy sources and the growing need for efficient power management systems, energy companies rely on data centers to handle real-time data processing and analytics. Accelerators help optimize the management of power grids, monitor energy consumption, and process large amounts of data generated by smart grids and IoT devices. As the energy sector continues to adopt more advanced technologies to improve efficiency and sustainability, the demand for data center accelerators in this field is expected to rise.
Global Data Center Accelerator Market, Segmentation by Geography
In this report, the Global Data Center Accelerator Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Data Center Accelerator Market Share (%), by Geographical Region, 2024
As of the latest available data, the global data center accelerator market has witnessed significant growth across various geographical regions. North America has maintained a dominant position in this market, accounting for a substantial share of the overall market. This can be attributed to the presence of major technology companies, extensive investments in data center infrastructure, and the rapid adoption of advanced technologies such as artificial intelligence (AI) and machine learning (ML) in various industries.
Meanwhile, Europe has also emerged as a key player in the data center accelerator market, with countries like the United Kingdom, Germany, and France leading the way. The region has seen increasing demand for data processing capabilities driven by the growing digitalization of businesses and the proliferation of IoT (Internet of Things) devices. Additionally, government initiatives aimed at promoting data center modernization and the adoption of cloud computing technologies have further fueled market growth in Europe.
Asia Pacific is another significant contributor to the global data center accelerator market, experiencing rapid expansion driven by countries like China, Japan, and India. The region's burgeoning e-commerce sector, increasing smartphone penetration, and growing demand for data-intensive applications have spurred the need for efficient data processing solutions. Moreover, investments by both government and private sector entities in building robust data center infrastructure have propelled market growth in Asia Pacific, positioning it as a key market for data center accelerators in the coming years.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Data Center Accelerator Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers:
- Demand for High-Performance Computing
- Growth of Artificial Intelligence Applications
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Expansion of Data-Intensive Workloads-The global data center accelerator market has witnessed remarkable expansion, largely propelled by the surge in data-intensive workloads across various industries. As businesses increasingly rely on data analytics, artificial intelligence, and machine learning to gain insights and remain competitive, the demand for efficient processing power has soared. Data-intensive workloads encompass tasks such as real-time analytics, image and video processing, natural language processing, and deep learning, all of which require significant computational resources. Consequently, data center accelerators, including GPUs (Graphics Processing Units), FPGAs (Field-Programmable Gate Arrays), and ASICs (Application-Specific Integrated Circuits), have become indispensable components in modern data centers, enabling faster and more efficient processing of these workloads.
One of the key drivers behind the expansion of the data center accelerator market is the growing adoption of cloud computing. With the proliferation of cloud services and the migration of workloads to the cloud, data centers are under immense pressure to deliver high-performance computing capabilities to meet the demands of customers. Cloud service providers are increasingly investing in data center accelerators to enhance the performance of their infrastructure and offer more efficient services to users. Additionally, enterprises are leveraging cloud-based solutions to access advanced analytics and AI capabilities without the need for extensive on-premises infrastructure, further fueling the demand for data center accelerators.
The emergence of edge computing is contributing to the expansion of the data center accelerator market. As the volume of data generated at the edge continues to grow exponentially, there is a need for processing capabilities closer to where the data is generated to minimize latency and improve performance. Data center accelerators play a crucial role in enabling edge computing by providing the necessary computational power to analyze and act on data in real-time. With applications spanning autonomous vehicles, IoT (Internet of Things), augmented reality, and smart cities, edge computing is driving the adoption of data center accelerators in distributed environments, further propelling market growth.
Restraints:
- High Initial Costs
- Compatibility Challenges
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Power and Cooling Demands-The global data center accelerator market has experienced significant growth driven by the escalating demand for high-performance computing (HPC) solutions across various industries. Accelerators such as GPUs (Graphics Processing Units), FPGAs (Field-Programmable Gate Arrays), and ASICs (Application-Specific Integrated Circuits) have emerged as key components in enhancing computational efficiency and speeding up complex tasks like AI inference, data analytics, and scientific simulations. This surge in accelerator adoption has led to a corresponding increase in power and cooling demands within data centers.
As data centers deploy more accelerators to meet the burgeoning computational requirements, power consumption becomes a critical concern. Accelerators often demand higher power densities compared to traditional server components, necessitating robust power infrastructure to support their operations. Moreover, the heat generated by these accelerators adds to the cooling burden of data centers, prompting the need for advanced cooling solutions such as liquid cooling and immersive cooling to maintain optimal operating temperatures. Balancing power and cooling requirements is thus paramount for data center operators to ensure efficient and reliable performance while managing operational costs.
To address the escalating power and cooling demands, data center operators are exploring innovative approaches and technologies. This includes optimizing the data center layout to maximize airflow and thermal efficiency, deploying energy-efficient cooling systems, and integrating renewable energy sources to offset power consumption. Additionally, advancements in accelerator design, such as higher performance per watt ratios and improved thermal management features, are helping mitigate some of the challenges associated with power and cooling. Collaborative efforts between hardware manufacturers, software developers, and data center operators are essential to develop sustainable solutions that enable continued growth in the data center accelerator market while minimizing environmental impact.
Opportunities:
- Emerging Edge Computing Trends
- Advancements in Accelerator Technology
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Expansion of Data Center Infrastructure-The global data center accelerator market is witnessing a remarkable expansion, fueled by the rapid growth of data-intensive applications and the increasing demand for high-performance computing solutions. As businesses continue to generate vast amounts of data, there's a pressing need for infrastructure that can efficiently process and analyze this information. Data centers, serving as the backbone of modern digital operations, are consequently undergoing significant expansion and enhancement, with accelerators playing a pivotal role in optimizing their performance. These accelerators, including GPUs (Graphics Processing Units), FPGAs (Field-Programmable Gate Arrays), and ASICs (Application-Specific Integrated Circuits), are specialized hardware designed to offload and accelerate specific tasks such as AI inference, data analytics, and cryptography.
The rise of artificial intelligence (AI) and machine learning (ML) applications is driving the adoption of data center accelerators. These technologies require massive computational power for training and inference tasks, making accelerators indispensable for achieving the required performance levels. With AI and ML becoming increasingly integral to various industries, data center operators are investing heavily in accelerator-equipped infrastructure to stay competitive and meet the growing computational demands of these applications. Additionally, the emergence of edge computing, where data processing occurs closer to the data source, further underscores the importance of accelerators in enabling real-time analytics and decision-making at the network edge.
Advancements in cloud computing and the proliferation of hyperscale data centers are contributing to the expansion of the data center accelerator market. Hyperscale data centers, operated by tech giants like Amazon, Google, and Microsoft, handle immense volumes of data and require highly efficient hardware solutions to deliver scalable and cost-effective services. Accelerators enable these data centers to achieve greater throughput, lower latency, and improved energy efficiency, driving their widespread adoption across the industry. As organizations continue to prioritize agility, scalability, and performance in their IT infrastructure, the demand for data center accelerators is expected to soar, propelling further growth and innovation in the market.
Competitive Landscape Analysis
Key players in Global Data Center Accelerator Market include:
- Intel Corporation
- NVIDIA Corporation
- Advanced Micro Devices Inc.
- Achronix Semiconductor Corporation
- Xilinx Inc.
- Hewlett Packard Enterprise Company
- Dell Technologies Inc.
- IBM Corporation
- Cisco Systems Inc.
- Qualcomm Technologies, Inc.
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Processor Type
- Market Snapshot, By Application
- Market Snapshot, By Accelerator Type
- Market Snapshot, By End-user
- Market Snapshot, By Region
- Global Data Center Accelerator Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Demand for High-Performance Computing
- Growth of Artificial Intelligence Applications
- Expansion of Data-Intensive Workloads
- Restraints
- High Initial Costs
- Compatibility Challenges
- Power and Cooling Demands
- Opportunities
- Emerging Edge Computing Trends
- Advancements in Accelerator Technology
- Expansion of Data Center Infrastructure
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Data Center Accelerator Market, By Processor Type, 2021 - 2031 (USD Million)
- CPU (Central Processing Unit)
- GPU (Graphics Processing Unit)
- FPGA (Field-Programmable Gate Array
- Global Data Center Accelerator Market, By Application, 2021 - 2031 (USD Million)
- Deep Learning Training
- Enterprise Inference
- Global Data Center Accelerator Market, By Accelerator Type, 2021 - 2031 (USD Million)
- High-performance Computing Accelerator
- Cloud Accelerator
- Global Data Center Accelerator Market, By End-user, 2021 - 2031 (USD Million)
- IT & Telecom
- Healthcare
- Energy
- Global Data Center Accelerator Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Global Data Center Accelerator Market, By Processor Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Intel Corporation
- NVIDIA Corporation
- Advanced Micro Devices Inc.
- Achronix Semiconductor Corporation
- Xilinx Inc.
- Hewlett Packard Enterprise Company
- Dell Technologies Inc.
- IBM Corporation
- Cisco Systems Inc.
- Qualcomm Technologies, Inc.
- Company Profiles
- Analyst Views
- Future Outlook of the Market