The high-performance computing (HPC) market is changing, and much has to do with the cloud.
Two leading analysts’ reports, from Intersect360 Research and Hyperion Research, show the HPC has reached an inflection point. The cloud segment includes Microsoft, Amazon Web Services, and Google.
Intersect360 says high-performance cloud spending by HPC customers grew by 44 percent from 2016 to 2017, to about $1.1 billion—much faster than the growth in the total HPC market, which is still mostly traditional on-premises hardware clusters.
The two related reasons for the faster cloud adoption of high-performance computing are pretty clear to me.
First, most on-premises HPC hardware has aged poorly, with clearly inferior capabilities compared to the newer high-performance computing hardware in the public clouds. It’s much cheaper to use a public cloud’s HPC service rather than replacing the HPC servers in your datacenter, so the cloud providers are the ones buying lots of this gear to keep up with the growing cloud demand.