Worldwide High Performance Computing 2018 Total Market Model and 2019–2023 Forecast: Cloud Categories

September 12, 2019|Addison Snell, Christopher G. Willard Ph.D., Laura Segervall

EXECUTIVE SUMMARY

EXECUTIVE SUMMARY

This Intersect360 Research report presents the cloud segment of the 2018 total market model and five-year forecast for the overall High Performance Computing
(HPC) market, segmented into cloud segments: raw cycles, storage, application hosting (SaaS), infrastructure hosting (IaaS, PaaS), and other. 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: 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, this report): 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)

After a breakout growth year of 38.3% in 2017, cloud growth cooled somewhat but remained the highest-growth HPC segment in 2018, with 16.0% growth. Also
interesting is that the subsegments that attracted the highest growth flipped. After environment hosting and especially application hosting bloomed
in 2017, in 2018 it was raw cycles that showed substantial market growth, as HPC cloud models continued to mature.

Over the forecast period, we expect cloud to remain the highest growth product and service segment, crossing $2 billion in 2021 and $3 billion in 2023,
with growth across all the subsegments. Successful cloud providers have the opportunity to create value-added “cloud-first” strategies with premium
service offerings and competitive advantages other than cost savings.

TECHNOLOGIES COVERED IN THIS REPORT

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
- Big Data trends
- Government programs or investment in HPC
- Artificial Intelligence / AI
- Deep Learning / Machine Learning

TABLE OF CONTENTS

INTRODUCTION

Definitions

What Is HPC?

Additional Reports and Segmentations

HPC 2018 TOTAL MARKET MODEL: CLOUD CATEGORIES

2018 Market Performance

Table 1: Market Revenue for Cloud Computing in HPC ($000), 2018 vs. 2017, by Cloud Computing Category

Figure 1: Graphical Depiction of HPC Cloud Revenue Growth, 2018 vs. 2017, by Cloud Computing Category

Availability of HPC-focused cloud instances

Maturation of software licensing models

The rise of machine learning

2018–2023 HPC CLOUD FORECAST: CLOUD CATEGORIES

Table 2: Market Revenue for Cloud Computing in HPC ($000), 2018 Actuals, 2019 to 2023 Forecast, by Cloud Category

Table 3: Cloud Category Share of HPC Cloud Segment, 2018 Actuals, 2019 to 2023 Forecast

Figure 2: Market Revenue for Cloud Computing in HPC ($000), 2018 Actuals, 2019 to 2023 Forecast, by Cloud Category

CONCLUSIONS

APPENDIX A: METHODOLOGY

Methodology Updates

APPENDIX B: HPC MARKET DYNAMICS MODEL AND FUNDAMENTAL FORECAST ASSUMPTIONS

Market Maturity

Fundamental Market Dynamics Model

Fundamental Market Assumptions

Model-Based Assumptions

Download Report - Advisory Clients

Purchase Report

Apply for Academic Citation

Back to All Reports

Access License

Clear

Purchase Reports

Single User Access

Single-User Access ($490): Report is for the sole use of one person, such as for forecasting or product planning. Redistribution or sharing of the reports is prohibited, even internally within the purchasing organization or department. Citation of quotes or data, such as on a web site, in a press release, or for enterprise use, requires approval from Intersect360 Research.

Enterprise Usage

Enterprise-Wide Usage ($2,400): Report can be shared within the purchasing organization—for example, across product, strategy, sales, or forecasting teams. This does not extend to partner organizations, such as suppliers or resellers, but does include contractors working for the purchasing organization. Public citation of quotes or data, such as on a web site or in a press release, requires approval from Intersect360 Research. Advisory service clients are granted enterprise-wide usage rights for all reports in the subscribed service (HPC Advisory Service or Hyperscale Advisory Service), but not reprint rights unless purchased separately.

Reprints

Reprints ($4,800 per report): Full redistribution rights for some or all of a report, such as for PR purposes, including email, print, web, or other distribution. The reports may not be edited in any way except as approved by Intersect360 Research (such as to excerpt a section or to highlight particular text). An organization must have enterprise usage of a report—either through individual report purchase or advisory service access—to purchase reprints. Contact Intersect360 Research to purchase.