Hyperion Research Slices and Dices the HPC-AI Market
The market for HPC and AI for science solutions grew a healthy 17% in 2025, Hyperion Research said during a briefing at 2026 ISC today in Hamburg, Germany. While the growth figures don’t match the scorching 23.4% growth figure recorded in 2024, they still are respectable from a historical perspective.
“Prior to the AI boom, the market was growing around 7%, 8%, 9%,” said Hyperion Research CEO Earl Joseph. “So it’s basically growing at twice the rate that it used to grow at.”
Hyperion recorded 15% growth in sales of on-prem HPC and AI for science gear (including servers, storage, software, middleware, applications, and services), accounting for $58.2 billion in sales. The cloud grew substantially faster, at 29.7%, but it’s significantly smaller, accounting for just $12.4 billion in sales in 2025.
Source: Hyperion Research
Hewlett-Packard Enterprises is still the number one vendor for on-prem HPC systems, with $6.5 billion in sales, accounting for 22.1% of the market, according to Hyperion’s tally. But Dell Technologies is coming on strong, racking up $5.4 billion in sales last year for an 18.2% share. Lenovo is a distant third with $1.7 billion in sales, followed by Inspur and Sugon with $1.2 billion and $693 million, respectively.
Hyperion saw broad growth across different verticals, with HPC and AI for science spending by government labs dominating the field with $7.1 billion in spending, followed by university and academic institutions at $4.5 billion. Defense accounted for $3.2 billion in spending, while CAE (computer aided design) drove $3.1 billion in spending and bio-science drove $2.6 billion.
The growth caught Joseph’s eye. “Just a few years ago, I was commenting how we had two or three segments that were $1 billion in size,” he said during the breakfast briefing, which Hyperion traditionally holds on the first full day of the SC and ISC events. “Right now, most of the segments are greater than $1 billion.”
In terms of system size, larger supercomputers ($10 million and up) are growing quickly, representing 32% of overall HPC and AI for science spending, while the entry-level portion of the market (machines $250,000 or less) is shrinking. Joseph attributes this to the price of hardware, the growth in the size of each node, and the power consumption curve.
“Systems for less than $250,000 is shrinking quite a bit just because you can’t get that much equipment nowadays for that price tag,” Joseph said. “This is just showing the split out of the market. It’s amazing to me because 10 years ago, we were concerned that the supercomputing segment was getting too small, and now that’s starting to inch into me almost a third of the market.”
Source: Hyperion Research
From Hyperion’s point of view, the lines between HPC and AI are getting blurry. Hyperion’s figures show the amount of money spent on traditional HPC and AI for science servers as being roughly equal, around $16 billion today, with traditional HPC systems having a slight lead. In the future, the growth curves for the two system types diverge, with AI for science servers growing faster and reaching $30 billion by 2030, while traditional HPC systems grow to about $23 billion by then.
“This is really getting hard [to] separate what kind of systems are doing traditional HPC workloads and what kind of systems are being purchased to do AI workloads,” Joseph said. “The AI for science workload…is growing much faster than the rest of the market. But the two of them combined are what’s causing the market to go into such an accelerated growth mode.”
Hyperion predicts the overall HPC and AI for science market (which includes servers, storage, services, software and cloud, etc.) to approach $140 billion in spending by 2030, up from about $70 billion in 2025. On-prem HPC and AI servers are projected to hit $54 billion in sales by 2030, while the broader on–prem HPC and AI market (including storage, services, software) is projected to pass $100 billion by then.
In terms of cloud, AWS owns the biggest share of the market for cloud-based HPC and AI for science at 44.8%, according to Hyperion’s figures, followed by Google Cloud at 19.7% and Microsoft Azure at 18.7%. The cloud portion of the HPC and AI for science market is projected to grow from the $12.4 billion in 2025 to more than $30 billion by 2030, representing a compound annual growth rate of nearly 20%, according to Hyperion Analyst Mark Nossokoff.
“We’re seeing the increased overall spending in the cloud as a percentage of total spending,” Nossokoff said. “Some of that growth in the cloud may be somewhat muted…as some of the supply chain challenges for getting access to resources on-prem are driving more and more people into the cloud.”
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