Rise in demand for high performance computing, rapid development of IoT landscape, and surge in adoption of mainframe as a service drive the growth of the global mainframe market. Additionally, the on-going mainframe modernization and integration of blockchain technology with mainframe would provide lucrative opportunities for emerging market players in the near future. However, high cost associated with mainframe and dearth of skilled professionals impede market growth.

According to the report, the global mainframe market generated $2.09 billion in 2017 and is expected to garner $2.91 billion by 2025, growing at a CAGR of 4.3% during the forecast period, 2018-2025.

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By industry vertical, the retail segment is poised to grow at the highest CAGR of 6.9% from 2018 to 2025, due to the ongoing trend of digitalization of the industry and surge in need to provide unique in-store experiences. However, the BFSI segment is expected to continue its dominance and generate more than one-quarter of the overall revenue by 2025, owing to significant adoption of mainframe solutions among banking industry to meet the increase in financial transaction workloads across various countries.

By type, the Z systems segment occupied more than four-fifths of the global share in 2017 and is expected to continue its dominance through 2025. This is attributed to the high demand of IBM mainframe solution among various end users, owing to its numerous benefits such as costs savings, high reliability, and sharper focus. However, the others segment is projected to register the highest CAGR of 6.5% during the forecast period.

Regionally, North America dominated the market landscape by generating more than two-fifths of the overall revenue in 2017. The region is expected to retain its dominant position owing to well established financial infrastructure and high mainframe spending. However, Asia-Pacific is projected to register the highest growth rate of 6.5% during the forecast period, on account of rapid growth in retail and financial organizations in emerging economies such as China, Japan, and India.

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Leading Market Players:

The key players analyzed in the report include BMC Software, Inc., CA Technologies, Compuware Corporation, Dell EMC, Fujitsu Ltd., HCL, Hewlett-Packard, IBM Corporation, NEC Corporation, and Unisys Corporation. They have adopted different strategies including collaborations, joint ventures, partnerships, expansions, mergers & acquisitions, and others to gain a strong position in the industry.

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