The composable infrastructure market size is estimated to be USD 616 million in 2018 and expected to reach USD 5,102 million by 2023, at a Compound Annual Growth Rate (CAGR) of 52.6% during the forecast period. The major factors driving the growth of the market include the growing need to bridge the gap between traditional and new infrastructure and high scalability and agility of composable infrastructure.
The scope of this report covers the analysis of the composable infrastructure market by type, by vertical, and by region. The composable infrastructure market by type includes software and hardware. Composable infrastructure software can be referred to as infrastructure as code, which allows the creation of the infrastructure a user wants with the use of software commands (either Graphic User Interface (GUI) or API). Whereas, composable hardware includes appliances and platforms powered by composable software. The composable infrastructure hardware segment is expected to grow at the highest CAGR in the global market by type during the forecast period. The growing demand for composable infrastructure hardware is mainly due to the increasing number of enterprise applications and demand for dynamic hardware requirements to make IT infrastructure more agile and scalable.
The BFSI segment is expected to implement composable infrastructure solutions at the highest CAGR during the forecast period. This infrastructure is expected to help financial institutions and financial service providers improve their operational efficiency and productivity. Some of the key advantages of deploying composable infrastructure solutions include seamless scalability, low operational expenditure, and reduced management overheads. However, the BFSI sector is more likely to deploy composable infrastructure, as these solutions help increase the speed of data processing and alleviate business risks by unifying the control of all operations from a single point.
As per the geographic analysis, North America is expected to account for the largest market share during the forecast period. Factors, including the presence of well-established players, such as HPE, Dell, DriveScale, and Liqid; growing demand for enterprise applications; simplification of existing IT with the advent of new technologies; surging demand for scalability in solutions, reduction in operational expenditure, and low total ownership cost on IT infrastructure are the prime factors driving the growth of the composable infrastructure market in this region.
The major factors that are expected to hinder market growth are vendor lock-in and single point of failure. The key composable infrastructure market players profiled in this report include HGST (US), HPE (US), Dell EMC (US), Lenovo (China), DriveScale (US), TidalScale (US), Liqid (US), One Stop Systems (US), Cloudistics (US), and QCT (Taiwan). These players offer various composable infrastructure software and hardware to cater to the demands and needs of the market space. The major growth strategies adopted by these players are partnerships, collaborations and agreements, and new product launches/product enhancements.
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