The growth of the global data center chip market relies on the relevance of data management across key industrial verticals. There has been an influx of several new technologies for management and analysis of data. Furthermore, the emergence of big data has helped several organizations and industries in meting out problems related to customer relationship management and policy making. Therefore, the global data center chip market is set to reach the apex of expansion the following years. Several large-scale organisations rely on organised sets of data to gather key inferences about their growth and development. In this context, the vendors in the global data center chip are at the forefront of industrial advancement.

  • Several firms undermine the relevance of data sets for the long-term success of their enterprise. However, experts in the field of data analytics have, time and again, emphasized on the need for improved data management by industrial and commercial units. Therefore, the global data center chip market is set to attract increased revenues in the years to follow.
  • The relation between data centers and cybersecurity draws the essence of growth within the global data center chip market. Security experts have made several attempts to preserve the integrity of data sets. This has necessitated the use of data center chip across key data storage units.
  • Advancements in the field of data mining, data analytics, and big data have been at the crux of market growth. Industrial leaders are focusing on outsourcing data management services to trusted entities, and this trend shall usher an era of growth within the global data center chip market.
  • The growing relevance of big data across Chinese and Indian firms has played a vital role in propelling demand across the Asia Pacific. Use of data analytics in lucrative industries such as oil and gas has given a thrust to market growth.

Global Data Center Chip Market: Overview

A data center refers to a building or a specified space within a building, or a group of buildings that is used to accommodate computer systems and related components, such as storage and telecommunications systems. It is a large group of networked computer servers that are utilized by companies for distribution, processing, and remote storage of large amounts of data. 

A business heavily relies on services, applications, and data stored inside a data center. As such, data centers become a focal point and an essential asset for day-to-day activities. A data center chip is generally found in the server area, inside a data center and is one of the essential requirements of the networked premises. 

In an upcoming report, Transparency Market Research has delved deeper into the landscape of the global data center chip market. In the report, it tries to elucidate on every aspect of the market so that substantial data can be offered to make a business flourish in the coming years. The report elaborates key market trends & opportunities, geographical analysis, challenges, and competitive landscape of the market. 

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Global Data Center Chip Market: Notable Developments

Last week American technology giant Intel Corporation agreed to acquire Barefoot Networks, a networking startup. It is a strategic move by Intel Corporation to compete with Broadcom Inc. in the Ethernet switch silicon market. The deal emphasized on Intel's endeavors to expand its share of total spending on data centers.  

The key players profiled in the report include Samsung Electronics Co. Ltd., Intel Corporation, Taiwan Semiconductor Manufacturing Co. Ltd., Global Foundries, Arm Limited (SoftBank Group Corp.), and Advanced Micro Devices Inc.

Global Data Center Chip Market: Key Trends

Below-mentioned market trends and opportunities mark the global data center chip market:

Advancement in Technology Boosts Global Data Center Chip Market

Technological evolution and advancements in programmable solutions and memory chip such as ASICs, FPGAs amongst others, improve their performance in data centers and connected devices. For example, Intel’s 3D XPoint technology substantially betters access to huge amounts of data. Next generation chip such as ASIC and FPGA can effectively cater to the change in requirements for data centers and accelerate performance in various other applications. The combination of ASICs and FPGAs with cloud products assists in the enhancement of data center’s overall performance. As such, progress in technology is fuelling the growth of global data center chip market.

Data localization laws have been passed in many countries across the globe. This is mainly secure security and regulatory practices. Industry verticals, particularly banking, financial services and insurance (BFSI), are strict when it comes to hosting its data in an international data center. Hence, these industries choose to go for local data center. Favorable government initiatives play an essential role in boosting global data center chip market.

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Increasingly mobile networks are being utilized to connect all types of gadgets such as home security, intelligent connectivity of cars, automated reading of utility meters, traffic lights and assisted living amongst many others. Advancement in technology for various mobile computing devices such as smart TV, smartphones and many other smart devices are creating demand for enhanced networking solutions and sophisticated connectivity. Hence, demand for data center chip is further generated. Increased adoption of cloud computing  and IoT is likely to fuel the the need for integration of the chips in the data center servers, which in all probability will offer promising growth opportunities for the global data center chip market.

Global Data Center Chip Market: Geographical Analysis

Based on geographical region, the global data center chip market is divided North America, Europe, Asia-Pacific, and Latin America and Middle East and Africa (LAMEA). LAMEA would register highest growth over the period of forecast.

This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.

Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:

  • Customer Experience Maps
  • Insights and Tools based on data-driven research
  • Actionable Results to meet all the business priorities
  • Strategic Frameworks to boost the growth journey

The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.

The following regional segments are covered comprehensively:

  • North America
  • Asia Pacific
  • Europe
  • Latin America
  • The Middle East and Africa

The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.

Below is a snapshot of these quadrants.

1. Customer Experience Map

The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.

2. Insights and Tools

The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.

3. Actionable Results

The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.

4. Strategic Frameworks

The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.

The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:

1. What can be the best investment choices for venturing into new product and service lines?

2. What value propositions should businesses aim at while making new research and development funding?

3. Which regulations will be most helpful for stakeholders to boost their supply chain network?

4. Which regions might see the demand maturing in certain segments in near future?

5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?

6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?

7. Which government regulations might challenge the status of key regional markets?

8. How will the emerging political and economic scenario affect opportunities in key growth areas?

9. What are some of the value-grab opportunities in various segments?

10. What will be the barrier to entry for new players in the market?

Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.

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