by High performance computing (HPC) refers to the practice of aggregating computing power in a way that delivers much higher performance than one could get out of a typical desktop computer or workstation in order to solve large problems in science, engineering, or business. HPC systems are capable of trillions of calculations per second, which accelerate the modeling and simulation of complex phenomena, such as artificial intelligence, deep learning, weather forecasting, molecular modeling for drug discovery or disease research. Industries such as manufacturing, oil and gas, finance, transportation, entertainment and life sciences extensively use HPC systems for R&D, product development and testing.
The global high performance computing market is estimated to be valued at USD 54.32 bnin 2024 and is expected to exhibit a CAGR of 11.18%over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the high performance computing market is the growing adoption of HPC-as-a-Service (HPCaaS). HPCaaS offers advanced computation and storage capabilities over the internet on a need-to-use basis. It helps users access hardware capabilities without large upfront capital expenditure on hardware, facilities and support staff. HPCaaS provides optimized utilization of expensive HPC hardware, automated maintenance and easier scalability. Leading cloud service providers such as Amazon Web Services, Microsoft Azure, Google Cloud and IBM Cloud offer HPCaaS solutions. The adoption of HPCaaS is growing among small and medium enterprises as well as educational and research institutes due to its easy access and pay-per-use pricing model. This trend is expected to accelerate the growth of high performance computing market size over the forecast period.
Porter’s Analysis
Threat of new entrants: The High Performance Computing Market requires huge investment in R&D and infrastructures which creates barrier for new players to enter the market.
Bargaining power of buyers: Individual buyers have low bargaining power due to limited options and supplier dominance in the market. However, large corporate and government buyers have moderate bargaining power.
Bargaining power of suppliers: A few global players dominates the supply market which gives them significant bargaining power over buyers in terms of pricing and supply.
Threat of new substitutes: There are limited substitutes available for High Performance Computing as it caters unique requirements. However, other parallel computing options pose moderate threat.
Competitive rivalry: Being an emerging market, competition is intense among key global players to gain market share through product innovation, acquisitions and partnerships.
Key Takeaways
The Global High Performance Computing Market Demand is expected to witness high growth over the forecast period. North America currently dominates the market due to heavy investments by government organizations and availability of advanced infrastructure in the region.
Regional analysis: Asia Pacific is expected to be the fastest growing market due to increasing adoption in emerging economies like China and India along with focus of governments towards development of supercomputing facilities. Countries like Japan and South Korea are already mature markets in the region.
Key players: Key players operating in the High Performance Computing market are Wienerberger, Excluton, Ter Stege Betonvormen, Kooy Baksteencentrum, Steenfabriek Spijkenisse, Normteq, Kalkzandsteenfabriek Harderwijk, Mulderij Metsel- en Timmerbedrijf, Daas Baksteen Zeddam. These players are focusing on new product development and partnerships to increase their market share.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
