Servers - South Korea

South Korea

Revenue in the Servers market is projected to reach US$1.24bn in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2028) of 7.24%, resulting in a market volume of US$1.64bn by 2028.
The average Spend per Employee in the Servers market is projected to reach US$43.93 in 2024.
In global comparison, most revenue will be generated in the United States (US$36,230m in 2024).

Key regions: Japan, Europe, Indonesia, United Kingdom, China

Market

Region

Region comparison

Currency

Analyst Opinion

The Servers market in South Korea is experiencing significant growth and development.

Customer preferences: In South Korea, customers have a strong preference for high-performance servers that can handle large amounts of data and provide reliable and fast processing speeds. They also value servers that offer advanced security features to protect sensitive information. Additionally, customers in South Korea are increasingly interested in servers that are energy-efficient and environmentally friendly.

Trends in the market: One of the key trends in the Servers market in South Korea is the increasing demand for cloud-based servers. As businesses in South Korea continue to adopt cloud computing technologies, the need for servers that can support cloud-based applications and services is growing. Cloud servers offer scalability, flexibility, and cost-efficiency, which are highly valued by businesses in South Korea. Another trend in the market is the rising popularity of edge computing. Edge computing involves processing data closer to the source, rather than sending it to a centralized data center. This approach helps reduce latency and improves the performance of applications and services. With the increasing adoption of Internet of Things (IoT) devices and the need for real-time data processing, edge computing is becoming more important in South Korea, driving the demand for servers that can support this technology.

Local special circumstances: South Korea is known for its advanced technology infrastructure and high-speed internet connectivity. This provides a favorable environment for the growth of the Servers market. The country has a strong IT industry and is home to many technology companies, which contribute to the demand for servers. Additionally, South Korea has a large and tech-savvy population. The country has one of the highest smartphone penetration rates in the world, and people in South Korea are highly connected and reliant on technology. This creates a demand for servers to support the increasing digital activities of individuals and businesses.

Underlying macroeconomic factors: The South Korean economy is one of the largest in Asia and is driven by industries such as electronics, telecommunications, and manufacturing. These industries heavily rely on servers for their operations, which contributes to the growth of the Servers market. Furthermore, the government of South Korea has been actively promoting digital transformation and the adoption of advanced technologies. Initiatives such as the "Digital New Deal" and the "Korean New Deal" aim to accelerate the digitalization of various sectors, including healthcare, education, and transportation. These initiatives create opportunities for server vendors and drive the demand for servers in South Korea. In conclusion, the Servers market in South Korea is growing due to customer preferences for high-performance, secure, and energy-efficient servers. The increasing adoption of cloud computing and edge computing technologies, as well as the favorable local circumstances and government initiatives, contribute to the development of the market.

Methodology

Data coverage:

The data encompasses B2B enterprises. Figures are based on hardware-related expenses of businesses for setting up and maintaining an IT infrastructure.

Modeling approach / Market size:

Market sizes are determined through a top-down approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports and national statistical offices. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of digitization. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques, such as exponential trend smoothing and the S-curve function, is based on the behavior of the relevant market.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.