Advanced Server Energy Monitoring Tools

Advanced Server Energy Monitoring Tools

Advanced server energy monitoring tools are an enhancement to the server management tools. While DCIM (data center infrastructure management) tools monitor energy use across the data center, the server-based energy monitoring tools are specifically designed to monitor within the server units. These tools are quite important for gaining accurate and real-time insights into the amount of energy individual server is using, this measurement is important as energy consumption in data centers is increasing rapidly and has a significant impact on the operating cost of the data centers, and these monitoring tools ensure an efficient power usage.

The advanced server energy monitoring tool market is expected to grow at a strong CAGR of around 13% during the forecast period owing to the increasing data generation and number of data centers across the world. Furthermore, the market is expected to witness significant growth over the forecast period for reasons such as increasing data traffic, pushing the occupancy rate of existing data centers, and capacity expansion being done at an elevated pace. Moreover, investments in hyper-scale data centers are also rising amidst the cloud migration that is happening across industries, accelerated by their digital transformation. For instance, on April 2022, as per the cloud computing survey done by Foundry (formerly IDG Communications), almost 70% of companies have accelerated their cloud migration over the past 12 months. Furthermore, there has been an expectation that the percentage of companies with most or all IT infrastructure in the cloud will jump from 41% to 63% in the next 18 months. In addition, 60% agree that cloud infrastructure has helped them achieve increased and sustainable revenue growth in the last year. Consequently, organizations plan to allocate an average of 32% of their IT budgets to cloud strategy.

• Based on hardware type, the market is segmented into basic PDU, metered PDU, switched PDU, and intelligent PDU. The intelligent PDUs are expected to witness significant CAGR growth during the forecast period. The need for better energy management and efficiency has given a boost to the demand for these new generations, of remotely monitored and managed intelligent PDUs. Furthermore, these products offer complementary granular rack-level information, which can be gathered and analyzed with the monitoring software, helps in capacity planning, and ensures power availability, which is some of the factors driving the demand and will further boost the industry’s growth over the coming years.
• Based on monitoring type, the market is segmented into cloud, on-premise, and hybrid monitoring systems. Among these cloud monitoring systems are anticipated to witness significant CAGR growth and also hold an impressive share of the market due to factors like, in a cloud-based monitoring setting, the setup and integrations of applications are easy and can immediately start collecting monitoring data. Moreover, all the operational activities such as backup, security update, or installation of new features will be done by the SaaS providers, enabling data center operators to focus on configuring monitoring tasks, activating alerts, and analyzing results instead of dealing with time-consuming deployments. Additionally, cloud-based monitoring systems are also very cost-effective and don’t require a hefty initial investment, which is one of the major drivers boosting the demand and will further drive the industry growth.
• Based on application, the market is bifurcated into small and medium-sized data centers and large data centers. The large data centers are anticipated to witness a significant CAGR during the forecast period fueled by growing cloud computing and mobile internet consumption. Furthermore, increasing e-commerce and financial technology adoption has created new growth opportunities for data centers. Moreover, with increasing rate of cloud migration by organizations due to huge data generation which is overwhelming the company’s infrastructure, is further boosting the growth of this industry, which can also be seen by the huge investments and M&A that are happening in the hyper-scale data center industry. For instance, in 2021, KKR and global infrastructure partners acquire Cyrusone which operates around 50 data centers across the USA, Europe, and Soth America for USD 15 billion. In 2022, digital bridge and IFM a global infrastructure investor acquires Switch inc for USD 11 billion.
• Based on the end-user industry, the market is segmented into BFSI, IT & telecom, government and defense, healthcare, and other end-user industry. The BFSI segment is investing heavily in IT infrastructure and holds the majority of the market share in terms of investments among all sectors. The major reason driving this growth is a dynamic shift towards digitally enabled services which is becoming one of the best ways to add and retain customers. Furthermore, the finance sector is also investing heavily in technologies like artificial intelligence and machine learning to enhance consumer experience and achieve targeted sales. Moreover, the huge amount of data that is generated is becoming an asset for this sector which helps them in developing new products as per the consumer behaviors and ongoing trends in the market, further boosting the digital infrastructure spending by this industry, and because of this reason majority of investments are also getting poured in the leading fintech startups, which in turn is boosting the growth of data center industry. For instance, on May 2023, 8fig, a US start-up that provides funding and supply chain management tools for e-commerce businesses, secured USD 40 million in equity and USD 100 million in debt financing as part of its Series B funding round.
• For a better understanding of the market adoption of advanced server energy monitoring tools, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, India, Japan, Australia, Rest of Asia-Pacific), Rest of World. The advanced server energy monitoring tools market holds a significant market share in the North American region. Out of the world’s 8000 data centers as of 2021, almost 2600 which accounts for almost 33% are spread across the USA. The major reason for this domination is the significant rise of data generation and use across various industries. Furthermore, the USA is known for the location of many data-intensive firms such as Google, Facebook, Uber, etc are further increasing the demand for data centers in North America. Moreover, with increasing high-speed internet, internet-connected devices are continuing to grow exponentially and data centers are becoming an integral part of supporting infrastructure which is needed to process, store, and transmit a huge amount of data, and to be able to do all this and generate profits, energy efficiency is the key parameter that data center operators tend to achieve which is enabled bt the server energy monitoring tools, leading to further growth of this industry and rising investments in data centers. For instance, on November 2022, Stack Infrastructure announced that it will build a 230 MW campus, that will feature 1.78 million square feet of space across five large data centers in Downtown Pheonix.
• Some of the major players operating in the market include Schneider Electric; Cisco Systems, Inc.; Intel Corporation; Dell Inc.; HP Development Company, L.P; Siemens; Huawei Technologies Co., Ltd; Vertiv Group Corp.; Eaton; and Rittal GmbH & Co. KG.