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Converged Systems Market will Reach $21B by 2019

The public cloud service adoption trend has driven many changes at traditional IT organizations. In particular, savvy CIOs have introduced new converged system technology into their enterprise data centers, to improve automation and increase their agility.

As a result, converged systems are now established as a platform of choice for enterprise mission-critical workloads.

According to the latest worldwide market study by Technology Business Research (TBR), converged systems continue to displace traditional, stand-alone infrastructure, establishing the market as critical to the future longevity of data center hardware OEMs.

"The evolution of converged systems represents a landmark in the history of data center infrastructure," said Christian Perry, principal analyst and practice manager at TBR.

According to the TBR assessment, informed business technology decision-makers are overcoming internal resistance to IT change. They're deploying these converged systems rapidly, at the expense of traditional servers and storage arrays.

TBR has forecast that the converged systems market will exceed $21 billion by 2019, thereby directly threatening legacy IT vendor stand-alone infrastructure revenue.


That being said, converged systems are in a period of mainstream adoption, rendering the market crowded and highly competitive. Vendor differentiation is becoming challenging as capabilities across competing systems increasingly overlap.

In this climate, vendors are beginning to balance their portfolios between serving general-purpose workload needs and accommodating specific workloads -- such as big data analytics requiring high performance and reliability with purpose-built systems.

Converged systems vendors continue to seek applications with the most resource-intensive workloads. This creates opportunity, not only for increased converged systems sales, but also for professional services consulting, add-on software and add-on hardware sales.

Further market maturity and saturation will result in a more well-informed customer base, with decisions extending beyond the traditional IT department, to include line-of-business (LoB) executives in the procurement process.

Therefore, successful vendors will focus on balancing their technology-driven workload expertise and their ability to help customers achieve improved business outcomes -- this proven approach will be critical to maximizing market development.

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