Server Software Market By Depoyment Mode (On-premise, Cloud) , By Server (Web Server Software, Application Server Software, Cloud Computing Server, Database Server Software, File Server Software) : Global Opportunity Analysis and Industry Forecast, 2024-2032
Server Software Market
The server software market was valued at $10.2 billion in 2023 and is projected to reach $21.3 billion by 2032, growing at a CAGR of 8.5% from 2024 to 2032.
A server software is an application that responds to client requests and manages resources over a network. The software interacts with hardware infrastructure of the server such as processor, memory, input/output, and communication ports. The major functionalities performed by server software include request handling, data security, resource management, logging, and monitoring. The key factors that make an effective server software include scalability, compatibility, robust support system, and quick response time.
With increasing operations over the cloud across several industries, the growth of the server software market is driven significantly. In addition, the advent of sophisticated IT infrastructure is boosting the adoption of server software owing to its ability to support novel services and applications. Furthermore, the robust encryption and security features of server software augment the market development substantially. A key trend gaining prominence in the server software market is the integration of AI algorithms into the application. The capabilities of AI offer the flexibility to enhance storage, increase computational requirements, and adjust server scalability as per project demands.
However, high costs associated with the operation and maintenance of server software hampers the development of the market. Moreover, configuration of the ingenious application with existing infrastructure is a complex & time-consuming process, deterring several organizations from its adoption and restraining the market growth. In addition, constant advancements in technology boost the demand for frequent replacements & software upgrades, making organizations hesitant to invest in such solutions and hindering the market growth. On the contrary, as organizations strive to reduce their investments in physical hardware and energy consumption, the server software market is projected to witness several lucrative opportunities. A report by the International Data Cooperation—a market research and consulting firm in the U.S.—mentioned a 40% reduction in hardware and software expenditure for IT departments owing to the adoption of server virtualization. Therefore, rise in the trend toward virtualization is poised to present new avenues for the server software market.
Segment ReviewThe server software market is segmented into deployment mode, server, and region. On the basis of deployment mode, the market is bifurcated into on-premise and cloud. Depending on server, it is divided into web server software, application server software, cloud computing server, database server software, and file server software. Region wise, it is analyzed across North America, Europe, Asia-Pacific, Latin America, and MEA.
Key FindingsOn the basis of deployment mode, the cloud segment is expected to dominate the market during the forecast period.
Depending on server, the cloud computing server segment is projected to account for a high share of the market throughout the forecast period.
Region wise, North America is anticipated to be the highest revenue generator by 2032.
Competition AnalysisThe major players of the global server software market include Dell Corporation, Oracle Corporation, Hewlett Packard Enterprise Development LLC, International Business Machine (IBM) Corporation, SAP SE, Microsoft Corporation, Apache Software Foundation, CodeLathe LLC, Aprelium, and Red Hat Inc. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships, to strengthen their foothold in the competitive market.
Key Market SegmentsBy Depoyment ModeOn-premise
Cloud
By ServerWeb Server Software
Application Server Software
Cloud Computing Server
Database Server Software
File Server Software
By RegionNorth America
U.S.
Canada
Europe
France
Germany
Italy
Spain
UK
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Australia
Rest of Asia-Pacific
Latin America
Brazil
Colombia
Argentina
Rest of Latin America
MEA
Saudi Arabia
South Africa
UAE
Rest of MEA
Key Market PlayersDell Corporation
Oracle Corporation
Hewlett Packard Enterprise Development LLC
International Business Machine (IBM) Corporation
SAP SE
Microsoft Corporation
Apache Software Foundation
CodeLathe LLC
Aprelium
Red Hat Inc.