White Box Server Market predicted to grow

The global white box server market is estimated to reach USD 25.53 billion by 2025, according to a new study by Grand View Research, progressing at a CAGR of 22.0% during the forecast period.

A white box server can be considered as a customized server built either by assembling commercial off-the-shelf components or unbranded products supplied by Original Design Manufacturers (ODM) such as Supermicro; Quanta Computers; Inventec; and Hon Hai Precision Industry Company Inc. These servers are easier to design for custom business requirements and can offer improved functionality at a relatively cheaper cost, meeting an organization’s operational need.

Increasing adoption of open source platforms such as Open Compute Project and Project Scorpio coupled with surging demand for micro-servers and containerization of data centres, evolving business needs of major cloud service and digital platform providers is expected to stoke the growth of the market. Spiraling demand for low-cost servers, higher uptime, and a high degree of customization and flexibility in hardware design are likely to propel the market over the forecast period.

Data Analytics and cloud adoption with increased server applications for processing workloads aided by cross-platform support in a distributed environment are also projected to augment the market.

Additionally, ODMs are focused on price reduction as well as innovating new energy-efficient products and improved storage solutions, which in turn will benefit the market during the forecast period.

However, ODMs limited service and support services, unreliable server lifespans, and lack of technical expertise to design and deploy Whitebox servers can hinder market growth over the forecast period.

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