Workstation Market

Workstation Market Outlook 2024 to 2034

The workstation market share is estimated to experience moderate growth throughout the forecast period, expanding at a CAGR of 7.7%. The market value of workstation is expected to expand from USD 59.57 billion in 2024 to USD 125.55 billion by 2034.

Attributes	Key Insights
Estimated Workstation Market Size (2024E)	USD 59.57 billion
Projected Workstation Industry Value (2034F)	USD 125.55 billion
Value-based CAGR (2024 to 2034)	7.7%

Key Trends Guiding the Future Growth of the Workstation Industry

• Manufacturers of workstations are integrating advanced technologies like Virtual Reality (VR) and Augmented Reality (AR) in their offerings to create significant business opportunities.
• Increasing demand for workstations among companies, small engineering architects, graphic designers, organizations, departments, or individuals that require swifter microprocessors.
• Growing demand for 3D animation software in several industrial verticals.
• Surging deployment of workstations among different applications like engineering work, medical diagnostics, and financial modeling.
• Rising availability of developed infrastructure for modern technologies like AR/VR and increasing adoption of networking technology.
• Certain common workstation market drivers include accelerating demand for networking and graphics processing, low energy consumption, digital content creation, and curtailing of hardware-related expenditure.

Category-wise Workstation Market Insights

Desktop Workstation Segment is Expected to Account for a Massive Market Share

Leading Type	Desktop Workstation
Value Share (2024)	49.10%

Based on type, the desktop workstation is expected to acquire a value share of 49.10% in 2024. The segment growth is driven by:

• Growing demand for desktop workstations as it facilitates improved reliability, increased productivity, high performance, limited downtime, and handling heavy computing workloads.
• Surging adoption of desktop workstations for 3D design, scientific research, artificial intelligence, visual effects, engineering, machine learning, and architecture.
• Professionals in multiple fields, with increasing discretionary incomes, are investing in more powerful computing solutions.

Engineering and Design Industry to Deploy Workstations in Increasing Quantities

Leading Industry	Engineering and Design
Value Share (2024)	26.30%

By industry, the engineering and design segment is expected to account for a value share of 26.30% in 2024. Top factors that are compelling segment growth are:

• Increasing adoption of Computer-aided Design (CAD) in industries like engineering architecture, manufacturing, construction, and design.
• Growing demand for workstations to give sufficient power to handle modern engineering and design projects, requiring massive datasets, 3D modeling, and sophisticated simulations.
• Surging utilization of workstations as they provide the necessary power to manage cutting-edge technologies like machine learning, artificial intelligence, and virtual reality. These technologies are increasingly being deployed in design and engineering applications.
• Rising collaborations between individuals and teams across various locations to carry out engineering and design projects are also appreciating this segment’s growth.

Workstation Market Analysis by Country

Countries	Forecast CAGR (2024 to 2034)
The United States	4.40%
Germany	2.20%
Japan	3.20%
China	11.6%
Australia and New Zealand	12.30%

Use of 3D Animation Technology to Propel Sales of Workstations in the United States

The United States workstation industry is projected to expand at a CAGR of 4.4% through 2034. Driving factors behind the use of workstations in the country are as follows:

• Surging use of 3D animation technology is raising the sales of workstations.
• Rising concentration of workstation providers in the United States like Dell EMC, Intel Corporation, NVIDIA Corporation, Microsoft Corporation, Red Hat, and many more.
• Increasing dependence of industries like media and entertainment, design, scientific research, and engineering on workstations for tasks like complex simulations, 3D animation, and data analysis. These tasks often require graphic cards, powerful processors, and memory, which is usually not found in standard desktops.
• Growing popularity of content creation like gaming and video editing is creating demand for workstations that can manage these challenging tasks.

Japan to Observe Significant Investments in the Workstation Industry

Deployment of workstations in Japan is estimated to record a CAGR of 3.2% through 2034. Factors motivating the market growth are as follows:

• The country has smart infrastructure for developed technologies, which is conducive for market players.
• Japan is also witnessing increasing density of market players like Toshiba, Fujitsu Limited, and others. These players are introducing the latest offerings, equipped with advanced features to facilitate 5G communications in Japan.
• Japanese officials are increasing their efforts to boost the workstation industry in Japan. For instance, in May 2023, Fumio Kishida, Japanese Prime Minister, underscored the importance and efforts to boost investments and international exchanges. These exertions are made to invigorate the computer chip supply chain. Computer chips find use in various items, and it is expected to be vital for automated driving systems, artificial intelligence, and other advanced technology.

Use of Latest Technologies to Revolutionize the Workstation Market in Germany

The workstation industry in Germany is forecast to register a 2.2% CAGR over the forecast period. Following factors are propelling the market growth:

• Leading companies in Germany domestically produce workstations with a sleek look and many configuration options. The strict production and testing process of workstations at manufacturing facilities is expected to enhance the reliability rates of PCs and workstations.
• Use of the latest technologies like big data, AI, and virtual reality has raised the requirement for machines offering greater graphics capabilities and processing power. Since workstations effectively serve these demands, their adoption is also rising.
• Growing demand for powerful workstations for employees working in hybrid office environments or from home.

Rise in Industrial Automation in China to Fuel Workstation Industry

The China workstation market is accelerating at a CAGR of 11.6% through 2034. The market is poised for significant growth owing to:

• Increasing penetration of industrial automation and expanding manufacturing industry in China.
• Notable progress made by China in the field of generative AI is predicted to propel the workstation industry. The country is utilizing machine-learning models to recognize, grasp, and create content by deploying immense data sets.
• Government policies in China promote technological advancements and the creation of a digital economy. Thus, indirectly boosting the workstation demand in the country.

Rising Demand for Powerful Workstations to Boost Market in Australia and New Zealand

Sales of workstations in Australia and New Zealand are expected to accelerate at a CAGR of 12.3% through 2034. The regional market is driven by following factors:

• Increasing demand for powerful workstations to support processes in scientific research, engineering and workstation, animation, 3D design, and VFX, etc.
• Growth of remote and hybrid work models in various industries to boost the demand for powerful computing capabilities at home. Such market dynamics are creating increasing demand for workstations.

Competitive Landscape

In the IDC report published in 2023, HP and Lenovo came into the limelight for having lost their share to Dell Technologies in the global PC workstation market in the year 2022. The measured approach followed by Dell to manage inventory helped it brave the sector downturn in a better way than its counterparts. HP gained a second position with its focus on mobile form factors. However, the company suffered because of previous aggressive channel shipments.

Lenovo stood at number three due to sluggish demand for its value-tier and premium models. ASUS retained its niche in the desktop workstation space. The market players are predicted to thrive owing to expanding workload requirements that are expected to stimulate shipments to assist solid recoveries over the proceeding years.

Key Strategies Implemented by Key Players

Market participants are incorporating high-performance graphics cards, advanced cooling solutions, powerful processors, and the latest memory technologies to serve the increasing demand from users. Industry players are developing workstations tailored to certain industry requirements like workstations optimized for AI/ML, 3D design workflows, and scientific computing. Additionally, market contenders are expected to continuously innovate and improve workstation designs, performance, and functionalities to stay relevant in the market.

Key players are concentrating their marketing efforts on certain industries and user groups, where workstations are of high importance. They are further partnering with institutions and companies in technology-intensive industries to secure a greater share of the market. Market players are moreover offering flexible payment plans and pricing structures to entice customers, particularly small and medium-sized businesses, to invest in workstations.

Leading companies are expected to increase their visibility in emerging markets where growth potential is rising. They are also seen collaborating with other players in the technology ecosystem like hardware component manufacturers and software developers to create mutually beneficial partnerships and raise their market reach.

Latest Developments Shaping the Workstation Industry

• In July 2023, a news channel published that Acer Inc., after re-entering their workstations and servers’ business with the setting up of a different entity Altos, is gaining market share in India. Up till now, it has acquired 2.2% of the market share in the product category in about a year of operations, as per the senior executives of the firm.
• In October 2023, AMD reportedly announced the launch of two new families of ‘Storm Peak’. This includes the launch of Threadripper Pro 7000 WX-series for the workstation industry. The company claims that the new 96-core workstation processor offers up to 223% swifter performance in v-Ray.

Key Coverage in the Workstation Market Research Report

• Adjacent Study of Digital Audio Workstation Market, Automated Liquid Handling Workstation Market, Active Vibration Isolation Workstation Market, Automated Multi-Purpose Workstation Market, and ENT Workstation Market
• Estimated Sales Records of Workstations Across Key Geographies Over the Forecast Period
• Growth Tactics of Leading Players in the Workstation Market like Dell, Lenovo, and HP

Key Players in Workstation Industry

• Fujitsu Limited
• Microsoft Corporation
• NVIDIA Corporation
• Intel Corporation
• Dell EMC
• Red Hat, Inc.
• Hewlett Packard Enterprise
• HP Inc.
• secunet AG
• Citrix Systems, Inc.
• Lenovo Group Limited
• Cisco Systems, Inc.
• Super Micro Computer, Inc.
• VMware, Inc.
• Others

Workstation Industry by Category

By Type:

• Rack Workstation
• Desktop Workstation
• Mobile Workstation
• Tower Workstation

By Operating System:

• Windows Workstation
• Linux Workstation
• Unix Workstation

By Core:

• 6 Cores
• 8 Cores
• 12 Cores
• 18 Cores
• 28 Cores
• 32 Cores
• 56 Cores
• Others

By Enterprise Size:

• SMEs
• Large Enterprises

By Application:

• Digital Content Creation
• Advanced-Data Modelling
• Industrial Designing
• 3D Modelling
• Others

By Industry:

• Healthcare
• Education
• BFSI
• Manufacturing
• Media and Entertainment
• Engineering and Design
• Others

By Region:

• North America
• Europe
• Asia Pacific
• Middle East and Africa
• Latin America

Frequently Asked Questions

How Big Will be the Workstation Industry in 2024?

The market is estimated to account for USD 59.57 billion in 2024.

At What Rate Will the Workstation Industry Grow?

Throughout the forecast period, the workstation industry is projected to register a CAGR of 7.7%.

What is the Expected Value of the Workstation Industry by 2034?

By 2034, the workstation industry is forecast to be worth USD 125.55 billion.

Which Type is Expected to Acquire a Significant Share in the Workstation Industry?

Desktop workstation is expected to obtain a considerable value share in the workstation industry.

Which Countries are Projected to Find Significant Growth Opportunities?

China, Australia, and New Zealand are expected to find substantial growth prospects in the future.

Who are the Leading Companies in the Workstation Industry?

Leading companies in the workstation industry include Cisco Systems, Inc., Super Micro Computer, Inc., and VMware, Inc.