The composable infrastructure market has seen considerable growth due to a variety of factors.
• The market for composable infrastructure has seen remarkable growth in the past couple of years. Its size is projected to expand from $8.09 billion in 2024 to $11.89 billion in 2025, which represents a 47.0% compound annual growth rate (CAGR).
The factors fueling this rapid development during the historical period include the modernization of data centers, greater flexibility in infrastructure, rising virtualization and adoption of cloud technologies, IT cost reductions, and the emergence of software-defined infrastructure.
The composable infrastructure market is expected to maintain its strong growth trajectory in upcoming years.
• The composable infrastructure market is anticipated to experience explosive growth in the upcoming years, with the market value projected to reach $55.68 billion by 2029, expanding at a compound annual growth rate (CAGR) of 47.1%.
The significant expansion predicted for this period can be credited to a surge in edge computing deployment, an expanding 5g network, hybrid and multi-cloud environments, heightened cybersecurity, data protection measures, and the ability to enable a remote workforce. Key trends that are expected to dominate this forecast period are the integration of AI and machine learning, the adoption of edge computing, hybrid and multi-cloud deployments, containerization and Kubernetes, as well as energy-efficient solutions.
The surging need for adaptable IT structures is propellant for the expansion of the composable infrastructure market. The rising demand for such infrastructure is largely attributed to fostering business development, cost reduction, and enhancing team performance. Moreover, companies can more swiftly embrace new technologies, benefit from deployment alternatives, and hasten the construction of web applications through an agile IT framework. This mounting requirement for agile IT infrastructure will engender substantial demand for composable infrastructure since it facilitates an adaptable IT environment within firms by offering unparalleled application performance, minimizing underuse and over-provisioning, and establishing a more cost-efficient, agile data center. For example, the blog post Agile Adoption Statistics for 2022 by remote job platform GoRemotely noted that agility is adopted by 71% of businesses, while 60% witnessed profit boost post the implementation of agile approach. Furthermore, 80% of federal IT projects make use of agile methods. The US government suffered a $32 billion loss due to botched IT projects, underscoring the need for an adaptable IT infrastructure. Therefore, the escalating demand for agile IT infrastructure will act as a catalyst for the growth of the composable infrastructure market.
The composable infrastructure market covered in this report is segmented –
1) By Component Outlook: Software, Hardware
2) By Cloud: Public, Private, Hybrid
3) By Vertical: BFSI, IT & Telecom, Government, Healthcare, Manufacturing, Other Verticals
Subsegments:
1) By Software: Infrastructure Management Software, Resource Orchestration Software, Monitoring and Analytics Software, Automation and Provisioning Software
2) By Hardware: Compute, Storage, Network, Chassis and Enclosures
The emergence of advanced technology is a crucial trend gaining traction in the composable infrastructure sector. The industry is seeing the utilization of sophisticated technologies in constructing composable infrastructure solutions, such as harnessing SSD technology in storage hardware along with intricate algorithms to extend the lifespan of the devices, thereby boosting efficiency and effectiveness. A large number of corporations in the composable infrastructure sector are aiming to create and propose advanced composable infrastructure hardware or software solutions to consolidate their market standing. As an illustrative case, Inspur Information, a prominent global player in providing IT infrastructure solutions, unveiled a new breed of Enterprise NVMe SSDs in April 2022. This was created using a groundbreaking NAND algorithm that amplifies the longevity of flash memory by 40% and produces 1.6 million IOPS per drive through the use of the PCIe 4.0 ultra-wide channel and ZNS (Zoned Namespace) storage. This SSD technology was instrumental in boosting the performance of Inspur's storage system and enhancing Inspur's fundamental storage competitiveness in terms of consolidated system-level troubleshooting and optimization, consistency, and performance. This is fundamental to actualizing composable infrastructure within businesses by facilitating capable storage for swift application deployment.
Major companies operating in the composable infrastructure market include:
• Lenovo Group Limited
• One Stop Systems Inc.
• Dolphin Interconnect Solutions
• Liqid Inc.
• Inspur Group Co. Ltd.
• Hewlett Packard Enterprise Company
• NetApp Inc.
• Dell Inc.
• Nutanix Inc.
• Juniper Networks Inc.
• TidalScale Inc.
• Quanta Cloud Technology LLC
• Cloudistics Inc.
• DriveScale Inc.
• Cisco Systems Inc.
• Fungible Inc.
• Pure Storage Inc.
• Super Micro Computer Inc.
• Fujitsu Limited
• NEC Corporation
• Huawei Technologies Co. Ltd.
• Hitachi Ltd.
• International Business Machines Corporation
• Oracle Corporation
• Microsoft Corporation
• Amazon Web Services Inc.
• Google LLC
North America was the largest region in the composable infrastructure market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the composable infrastructure market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.