AI Servers Now One-third of Global Server Market

0
Oct 11, 2024
  • The server market has grown steeply during Q2 2024 due to the strong demand for AI servers, increasing 35% YoY.
  • Dell, Supermicro, HPE are the big 3. But ODM direct sales dominate as Microsoft, Amazon, Google and Meta continue to custom order their own servers.

Counterpoint Research has published its new “Global AI server market in Q2 2024” report revealing the strong growth of the Global server market and especially the AI server revenue.

Following the introduction of ChatGPT in 2022, the server market has grown rapidly as demand for AI servers increased with the GenAI boom. Global server revenues in Q2 2024 reached $45,422 million, up 35% from last year. AI servers, which led the rise in the server market, now account for almost 30% of all servers in Q2 2024.

Figure 1 shows server revenue, AI server revenue, and the market share of AI servers from Q1 2023 to Q2 2024.

Figure 1. Global Server and AI Server Revenue

The biggest provider of AI servers is ODM Direct, which means servers manufactured by ODMs for Cloud Providers. This is mostly commissioned and manufactured for the four major Big-Tech companies: Microsoft, Amazon, Google, and Meta.

Figure 2. Market share of AI Servers by manufacturer, Q2 2024

Note: Numbers may not add to 100% due to rounding

Click to read the full article in our research portal.

Summary

Published

Oct 11, 2024

Author

Team Counterpoint

Counterpoint research is a young and fast growing research firm covering analysis of the tech industry. Coverage areas are connected devices, digital consumer goods, software & applications and other adjacent topics. We provide syndicated research reports as well as tailored. Our seminars and workshops for companies and institutions are popular and available on demand. Consulting and customer