Thin Client Market - Forecast(2024 - 2030)

Thin Client Market is forecast to reach $1.35 billion by 2025, growing at a CAGR 2.08% from 2020 to 2025. It is also known as a lean client and is a low-priced endpoint computing system that relies primarily for its computational function on a server. It is basically a device operating from resources stored on a central disk, rather than a hard drive. It works by connecting remotely to a server-based computing environment where apps, sensitive data, and memory are stored. The market's growth is driven by lower cost and energy usage, simple and unified handling, and improved protection of infrastructure. Industries are searching for low-cost devices that can dramatically minimize desk space and can quickly replace / upgrade old systems. The thin customer systems qualify for these criteria and can also reduce energy usage over a period of time, which is the primary reason why the market for such devices in various industries is growing. The healthcare industry is also experiencing a wide adoption of these devices as a computing solution due to their safety advantages, while the IT and telecom industries are also installing these devices primarily to promote the creation of a virtual network. This has led to companies like Dell Technologies launching the latest Dell Wyse 5070 thin client, the most flexible and scalable thin customer platform in the business that allows companies to pick the correct configuration based on the needs of their workers.

The report: “Thin Client Market – Forecast (2020-2025)”, by IndustryARC covers an in-depth analysis of the following segments of Thin Client Market. 

By Type - Hardware, Mobile Based, Desktop Based, Software, Services.

By Product Type - Zero Client, Cloud Client, Virtualization Client.

By Memory - Upto 512 MB RAM, 512 MB - 1 GB RAM, 1-2 GB RAM, 2-4 GB RAM.

By Application - Enterprise, Retail, Manufacturing, IT & Telecom, Transpotation & Logistics, Healthcare, BFSI, Legal, Government, Education, Industrial, Others.

By Geography - North America, South America, Europe, APAC, RoW.

During the forecast period the Desktop Based segment is expected to grow at a CAGR of 1.8%. The growing adoption of the Thin Clients with Desktop in the education and healthcare industries contributes to this segment's fastest estimated growth during the forecast period. The industries are looking for tools that would lower the desk space and provide a simple replacement choice for old systems. Thin customers with Desktop systems meet these criteria and therefore reduce the energy usage over a long period of time, which in turn increases the market for these customers. The largest share of the standalone market is due to the availability of thin client customers at lower prices than the desktop-based thin client customers.

The Enterprise Segment is expected to grow at a higher CAGR of 2.1% during the forecast period. The thin clients provide security-related risk solutions such as unauthorized account access, third-party identity theft and data leaks caused by external devices such as a USB memory stick, as a result of which the market is expected to see more growth. The enterprise applications include financial and business services, IT, telecommunications, utilities, wholesale and retail, construction, transportation market. Different organizations across the globe are heading into the hybrid and multi-cloud world, and a thin client provides a comparatively less costly, stable hardware solution that is one of the driving forces for the market.

North America currently dominates the global Thin Client market with a share of more than 38%. Factors such as the growing adoption of cloud technologies and high-tech goods needing active and scalable IT support, which is available for most businesses in the region, are likely to drive market growth. The region has contributed to the growth of the thin client market with the emergence of industry leaders in the cloud service provider domain and a growing number of hosted servers and datacenters in the U.S. In fact, the North American IT and Telecommunications sector is one of the biggest regional markets. In addition, sectors such as banking, healthcare and public agencies that manage a vast amount of confidential information often look forward to implementing thin client approach, as they can help protect the dignity of intellectual property than a fat client. HP is a leading thin client business group, with 59 % of HP Thin Client Hardware clients in the U.S., North America, 9 % in the U.K. And in India it is 5 %.

Growing demand for energy-efficient devices from various business sectors is a key factor expected to drive growth in the global thin client market over the forecast period due to various advantages offered by thin client such as cost efficiency, reduced energy consumption and improved productivity. Another factor expected to fuel growth of the global thin client market in the near future is increased adoption of smart thin clients across the globe due to various features provided by thin clients such as improved resource management, unified management capability, enhanced security system and easy delivery of applications and platforms.

Demand for thin client from the information technology (IT) sector and gaming individuals is increasingly growing due to the powerful computing and high data integrity characteristics provided by thin client systems, which in turn expected to proliferate growth in the global industry. Growing technological advancements in thin client systems and the production of ultra-thin client and zero client technology by manufacturers are expected to create substantial business expansion opportunities for existing players as well as easy entry for new entrants to the global market.

The simple availability of numerous replacements for thin-customer systems is a major factor expected to hinder the growth of the global thin client market. Furthermore, low response time and high resource loading associated with the sector of thin client systems is another factor expected to hamper target market growth to some extent. Some factors, such as network lags for cloud computing in developed countries, are also impeding the development of this market.

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in Thin Client Market. Thin Client Market is expected to be dominated by major companies such as Dell, HP, Centerm, Igel, Samsung, LG Electronics, NEC, Fujitsu, Lenovo, Asus.