Worldwide High Performance Computing 2018 Total Market Model and 2019–2023 Forecast: Economic Sectors

EXECUTIVE SUMMARY

EXECUTIVE SUMMARY

This Intersect360 Research report presents the 2018 total market model and five-year forecast for the overall High Performance Computing (HPC) market,
segmented into primary economic sectors: industry, government, and academia. The forecast horizon is from 2019 through 2023, with compound annual growth
rates (CAGRs) using 2018 as a base.

Intersect360 Research defines HPC as the use of servers, clusters, and supercomputers—plus associated software, tools, components, storage, and services—for
scientific, engineering, or analytical tasks that are particularly intensive in computation, memory usage, or data management. Intersect360 Research
reports available in this series include the following segmentations:

  • Products and Services: servers, storage, networks, software, service, cloud, other
  • Economic sectors (this report):industry, government, academia
  • Vertical markets:academia, national security, national research labs, national agencies, state or local governments, bio sciences, chemical
    engineering, consumer product manufacturing, electronics, energy, financial services, large product manufacturing, media and entertainment, retail,
    transportation, other
  • Regions:North America, EMEA, Asia-Pacific, Latin America
  • Server class (HPC server revenue): entry-level, midrange, high-end, supercomputer
  • Cloud categories (HPC cloud revenue):raw cycles, cloud storage, application hosting (SaaS), infrastructure hosting (IaaS, PaaS), other
  • Software categories (HPC software revenue):operating environments, developer tools, middleware, storage software, transfer costs, application
    software, other
  • Services categories (HPC services revenue):maintenance and repair, system engineering, system integration, training, programming services,
    other
  • HPC server market shares(current year only, not forecast)
  • HPC storage market shares(current year only, not forecast)

Total HPC market revenue was $36.1 billion in 2018, growing 3.2% over 2017. This was the ninth consecutive year of growth for the HPC market. The commercial
sector continued to be the driving force for the HPC market in 2018. With commercial usage accounting for over half of HPC revenue, this sector has
also continued to have the highest growth rate over the past several years.

After another year of slight decline in 2018, public-sector (academic and government) segments will also return to growth over the forecast period. However,
revenue growth over the next five years will still be concentrated in the industrial sector, with commercial vertical markets contributing three-quarters
of the net-new revenue in the five-year forecast through 2023.

  • HPC system elements
    • Systems, clusters
    • Server technologies
  • Storage elements
    • Storage systems
  • Interconnect elements
    • System interconnects
  • Software elements
    • Operating systems
  • Services
  • Cloud computing, grid computing, utility computing
  • Other technology trends
    • Artificial intelligence and machine learning trends
    • Big Data trends
    • Government programs or investment in HPC

TABLE OF CONTENTS

    INTRODUCTION

    What Is HPC?

    HPC 2018 TOTAL MARKET MODEL: ECONOMIC SECTORS

    2018 Market Performance

    Table 1: Total HPC Market Revenue ($000), 2018 vs. 2017, by Economic Sector

    Figure 1: Total HPC Market Revenue Share, 2018, by Economic Sector

    2018–2023 HPC MARKET FORECAST: ECONOMIC SECTORS

    Table 2: Total HPC Market Revenue ($000), 2018 Actuals, 2019 to 2023 Forecast, by Economic Sector

    Figure 2: Total HPC Market Revenue ($000), 2018 Actuals, 2019 to 2023 Forecast, by Economic Sector

    Figure 3: HPC Market Revenue Growth over 2018 Base ($000), 2019 to 2023 Forecast, by Economic Sector

    CONCLUSIONS

    APPENDIX A: METHODOLOGY

    Methodology Updates

    APPENDIX B: HPC MARKET DYNAMICS MODEL AND FUNDAMENTAL FORECAST ASSUMPTIONS

    Market Maturity

    Fundamental Market Dynamics Model

    Figure A1: Traditional HPC Market Dynamics

    Fundamental Market Assumptions

    Fundamental Drivers

    Fundamental Market Dampeners

    Model-Based Assumptions

    Basic Market Drivers

    Basic Market Dampeners