The data center accelerator market is set to grow significantly by 2028 on account of the widespread establishment of hyper scale data centers across key regions. Moreover, burgeoning adoption of IoT and cloud computing around the world is likely to further foster market development over the forecast period.

Growing prominence of big data analytics, machine learning/artificial intelligence (ML/AI), IoT, and other high-demand workloads has brought about a change in the structure and emphasis of data centers. In addition, increasing focus of enterprises on specialized workloads has augmented industry uptake over the past few years. Latest technological advancements and mounting demand for high-performance computing have also propelled market expansion in recent years.

Furthermore, to capitalize on emerging trends in the market, industry players have been implementing lucrative strategies, thereby enhancing the overall business scenario. For instance, in January 2022, Advanced Micro Devices, Inc., a U.S.-based semiconductor company, launched novel additions to its mobile and desktop workstation graphics lineup dubbed the AMD Radeon PRO W6000 Series. The new products include the AMD Radeon PRO W6300M and AMD Radeon PRO W6500M as well as GPUs for professional mobile workstations that offer high-performance, higher viewport frame rates dependability for professional applications.

The data center accelerator market has been segmented on the basis of application, processor type, end-use, type, and region. In terms of processor type, the market has further been divided into ASIC, CPU, FPGA, and GPU. The CPU sub-segment is slated to witness sturdy expansion by 2028, registering a notable CAGR over the analysis period. CPUs possess the ability to process complex instruction and tasks, which is likely to accelerate product adoption over the following years.

From the end-use perspective, the data center accelerator market has been bifurcated into enterprise interface, deep learning training, and public cloud interface. The public cloud interface sub-segment is expected to reach a considerable valuation by the end of 2028 owing to surging demand for cloud computing services by SMEs.

From the application point of view, the data center accelerator market has been classified into manufacturing, IT & telecom, energy, healthcare, government, BFSI, and others. The healthcare sub-segment is anticipated to progress at a robust pace to generate sizable gains by 2028. Increasing penetration of digitalization across the healthcare sector is estimated to boost segmental growth in the coming time period.

On the regional front, the Latin America data center accelerator market is projected to gain substantial traction through the stipulated timeline. This growth is attributed to the rapidly developing data center industry in LATAM.