Latin America Data Center Server Market Report 2022-2027: Migration of On-Premises Infrastructure to Colocation Facilities An Important Industry Trend

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Jul 22, 2022, 15:00 ET

DUBLIN, July 22, 2022 /PRNewswire/ -- The "Latin America Data Center Server Market - Industry Analysis and Forecast 2022-2027" report has been added to ResearchAndMarkets.com's offering.

The server market growth is expected to grow during the forecast period as the market is witnessing investments from telecom & colocation data center operators.

KEY HIGHLIGHTS OF THE LATIN AMERICA DATA CENTER SERVER MARKET

Brazil's data center server market dominates server infrastructure procurement, with a combined share of over 32% in 2021.
Advanced technologies such as artificial intelligence, big data, IoT, and cloud computing is leading to a demand for increasing the rack power density, with data center operators now needing to upscale their existing infrastructure. This will create a demand for highly advanced servers in Latin American data centers.
Hyperscale investments in Latin America will increase the demand for intelligent servers to support the facility's data processing. For instance, HostDime in its Mexico data center has installed a Super Micro Computer server, including a built-in Intelligent Platform Management Interface (IPMI).
The procurement of rack servers still dominates the market, with the adoption of blade servers not far behind. The growing edge data center investments will boost the market share of micro servers during 2022-2027.
The migration of on-premises infrastructure to colocation facilities and an increase in workload deployments will grow the capital spending for server infrastructure across industry verticals.

SEGMENTAL ANALYSIS
Hyperscale server innovation continues through Open Compute Project

Hyperscale operators such as Amazon Web Service (AWS), Facebook, Google, and Microsoft are developing their customized server infrastructure with the help of the Open Compute Project (OCP) to improve the performance of data center facilities.
Due to edge data centers and growing BFSI sectors, the market for micro servers is expected to grow during the forecast period. The companies such as Dell Technologies, IBM, and HPE are the prominent players offering micro servers in the market.
In Latin America, e-commerce companies are also deploying highly efficient servers to reduce the operational cost of the data center facilities. For instance, Market Group, a mobile advertising and e-commerce company, faced the challenge of maintaining mobile transaction performance while reducing data center costs; the company deployed HPE ProLiant DL385 Gen10 Server and HPE ProLiant DL385 Gen10 Plus Server in Advanced Micro Devices AMD EPYC processors to overcome the challenge, and also reduced the 40% of operational costs, and 25% of power expenditure.

Rack servers still dominate, whereas workload requirements will drive blade server procurement.

The blade servers are adapted to fulfill the requirement of the data center operators, that is, minimum space with high power density.

Brazil will witness the highest growth over the forecast period, growing at a CAGR of around 9.05%.

In Brazil and Mexico, the demand for ARM-based servers is likely to increase as high-performance computing solutions in the facilities dominate the countries. For instance, Alibaba is installed with Inspur Rack Scale Server, SR 4.5, expected to reduce the power and cooling consumption cost by around 5% for the data center facilities. Inspur acts as one of the major hardware providers for Alibaba data centers.
In Latin America, telecom companies dominate the market compared to hyperscale data centers. Therefore, we expect that the demand for a compact with prefabricated software-based servers will grow in Latin America.

Market Segmentation by Industry Type

BFSI Sector
Government Sector
Cloud Sector, It & Telecom
Other Industry Sectors

Market Segmentation by Server Type

Rack Servers
Blade Servers
Micro Servers

Key Vendors

Advanced Micro
Black Box Network
Cisco Systems
Dell Technologies
Fujitsu
Huawei
Hitachi Vantara
IBM
Intel
Lenovo
NEC
SuperMicro
Tripp Lite (Eaton)

Key Topics Covered:

1 Research Methodology

2 Research Objectives

3 Research Process

4 Scope & Coverage

5 Report Assumptions & Caveats

6 Market at a Glance

7 Premium Insights

8 Introduction

9 Market Opportunities & Trends

10 Market Growth Enablers

11 Market Restraints

12 Market Landscape

13 Sector

14 Server Type

15 Geography

16 Brazil

17 Mexico

18 Chile

19 Other Latin American Countries

20 Competitive Landscape

21 Key Company Profiles

22 Report Summary

23 Quantitative Summary

24 Appendix