Dell’Oro Group’s Data Center IT Semiconductors and Components quarterly report tracks revenue, unit and capacity shipments and unit and capacity pricing, along with market share of major semiconductor and component manufacturers that supplies into the data center server and storage system markets starting from 2018. Technology of focus will be major server semiconductors and components such as:
Central Processing Units (CPUs)
Accelerators such as Graphics Processing Units (GPUs), Field Programmable Gate Arrays (FPGAs), and custom processors
Memory (DRAM)
Ethernet and InfiniBand Network Interface Cards (NICs) and Smart NICs
Hard disk drives (HDDs)
Solid state drives (SSDs) and NAND
In addition, we will provide our assessment of the demand for these components based on shipments of servers and storage system to the Top 7 Cloud service providers and to the rest-of-the-market from the original equipment manufacturers (OEMs). In the current report, we breakout our estimates of CPU shipments by vendor and platform type for the following Top 7 Cloud SPs:
Alibaba
Amazon
Baidu
Google
Meta
Microsoft
Tencent
The quarterly report also includes a one-year outlook by technology area.
AI Infrastructure Race Drives GPUs and Accelerators to $54 Billion in 2Q 2024,
According to Dell’Oro Group
General-Purpose Computing Component Revenues Also Soared
REDWOOD CITY, Calif.
According to a recently published report by Dell’Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, sales of GPUs and accelerators reached a record $54 billion in 2Q 2024. This growth was driven largely by high demand for GPUs and custom accelerators in the hyperscale cloud market.
“Server and storage system component revenues surged 127 percent year-over-year in 2Q 2024, reaching a new peak. This growth was propelled by accelerators, such as GPUs and custom accelerators, HBMs, and Ethernet adapters for generative AI applications,” said Baron Fung, Senior Research Director at Dell’Oro Group. “Additionally, memory and storage drive components for non-AI workloads contributed to this growth as prices rose from last year’s low. In anticipation of increased server and storage demand later this year, OEMs and cloud service providers replenished inventories,” Fung added.
Additional highlights from the 2Q 2024 Data Center IT Semiconductors and Components Quarterly Report:
The Server and Storage Systems Component market is forecast to increase by over 100 percent in 2024.
The Server CPU market is also experiencing a recovery, although growth has lagged that of other component categories.
NVIDIA led all vendors in component revenues, followed by Samsung and Intel. NVIDIA accounted for nearly half of the reported component revenues.
Strong growth for accelerators is expected to continue into 2025, as NVIDIA’s Blackwell platform ships in volume. We also anticipate that custom accelerators and other vendors, such as AMD and Intel, will gain some market share in select segments.
Smart NIC and DPU revenues more than doubled in 2Q 2024, driven by strong deployment of network adapters in AI clusters.
About the Report
Dell’Oro Group’s Data Center IT Semiconductors and Components Quarterly Report tracks revenue, unit and capacity shipments, and unit and capacity pricing, along with market share of major semiconductor and component manufacturers that supply into the data center server and storage system markets starting from 2018. Technology of focus will be major server and storage semiconductors and components such as CPUs, accelerators such as GPUs, FPGAs, custom AI ASICs, Ethernet and InfiniBand NICs and Smart NICs, HDDs, NAND/SSDs. In addition, we will provide a forecast of the demand for these components based on shipments of servers and storage systems to the hyperscale cloud service providers and the rest of the market.
