The server virtualization industry is expected to develop at a compound annual growth rate (CAGR) of 5.3% over the forecast period.
The market is growing because to the increasing adoption of cloud computing and OS container-based virtualization.
SDDC is an abbreviation for a software-defined data center, also known as a software-defined datacenter (SDD) or virtual data center. Server virtualization technology was developed over two decades ago, and since then, organizations have pooled infrastructure resources. Server virtualization has helped to speed up provisioning, improve system utilization, and minimize hardware costs. SDDC technology is the product of years of advancements in server virtualization. The demand for SDDC is projected to rise as virtualization extends beyond computing to storage and networking resources. SDDC provides a unified software for managing virtualized resources. Furthermore, SDDC offers policy-driven automation of provisioning and management, which accelerates resource delivery and improves efficiency. SDDC is the next step in the growth of virtualization and cloud computing by offering a solution that supports both traditional enterprise applications and new cloud computing services.
Market Segment insights
The server virtualization market is divided into three components: hardware, hypervisors, and services.
The market is divided into two segments based on deployment mode: on-premises and cloud.
The Server Virtualization Market is divided into two segments based on organization size: small and medium companies and large enterprises.
The market is split by vertical: BFSI, Healthcare, Government and Public Sector, Transportation and Logistics, Manufacturing, IT & Telecommunication, Others.
Regional insights
North America is divided into the United States, Canada, and Mexico. According to the MRFR analysis, the United States is predicted to gain the largest market share, followed by Canada and Mexico. As cloud computing becomes more popular in North America, the demand for server virtualization grows. The presence of significant firms such as Microsoft Corporation, Google, Oracle Corporation, Red Hat Inc., Google, Amazon Web Services Inc., and others is one of the driving forces behind the market's growth in this region.
Europe has been divided into the United Kingdom, Germany, France, Spain, and the rest of Europe. The country's high degree of industrial automation, as well as the increasing use of cloud-based solutions, are two drivers driving market expansion. Stringent rules and efforts, such as the EU Cloud Strategy, Digital Services Act (DSA), and Digital Markets Act (DMA), promote the growth of the server virtualization market in this region.
The Asia-Pacific server virtualization market is predicted to grow at the fastest rate, with a CAGR of 6.7% from 2024 to 2032. According to the MRFR analysis, China is predicted to hold the largest market share, followed by India and Japan. Asia-Pacific is one of the most important markets for the IT and telecom industries, followed by BFSI and healthcare for server virtualization.
The Middle East and Africa virtualization market is predicted to grow significantly in the next years. Several local service companies provide consultation, integration, and support services for virtualization in the region. The GCC countries and South Africa are rising markets that are rapidly adopting digital transformation.
Brazil, Peru, Chile, and Argentina are seeing an increase in the use of virtualization technologies. Many firms are adopting the technology since it reduces costs and increases returns on investment, which is projected to drive the South American market's growth.
Major Players
According to MRFR analysis, the key players in the Server Virtualization industry include VMware, Promox Server Solutions GmbH, Red Hat, Inc, Oracle Corporation, Citrix System Inc, OpenStack, Microsoft Hyper-V, and Nutanix Inc.
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