Serial Device Server Market Size, Share & Industry Analysis, By Type (External Serial Device Servers and Embedded Serial Device Servers), By Port (Single-Port Serial Device Servers and Multi-Port Serial Device Servers), By Application (Remote Management, Data Acquisition, Point-of-Sale (POS) Systems, and Industrial Control Systems), By End-user (Industrial, Retail, Telecommunications, Healthcare, Energy and Utilities, Transportation, and Others), and Regional Forecast, 2024 – 2032

The global serial device server market size was valued at USD 301.6 million in 2023. The market is projected to grow from USD 314.2 million in 2024 to USD 451.1 million by 2032, exhibiting a CAGR of 4.6% during the forecast period.

The serial device server market refers to an industry focused on the production, distribution, and sale of these servers. These servers are used to connect advanced serial devices to a network, enabling communication and data exchange over Local Area Networks (LANs) or the Internet. The market includes various types of servers, catering to different interfaces, such as RS-232, RS-485, and RS-422, and serves a wide range of industries, including telecommunications, industrial, healthcare, retail, energy & utilities, transportation, and others. The market's growth is driven by the increasing need for network connectivity of legacy serial devices, advancements in industrial automation, and growing adoption of Internet of Things (IoT) technologies.

The COVID-19 pandemic accelerated the adoption of remote monitoring and management solutions, boosting the demand for these servers as industries sought to ensure operational continuity. Additionally, the increased focus on automation and IoT technologies to reduce human intervention in various processes further drove the market growth during this period.

Serial Device Server Market Trends

Increasing Use of Data Centers and Cloud Storage to Fuel Market Growth

The increasing use of data centers and cloud storage is significantly fueling the market as businesses shift toward digital and connected infrastructures. As organizations migrate their operations to cloud-based platforms, the demand for efficient data management and connectivity solutions rises. These servers play a crucial role in integrating legacy systems with modern cloud architectures, enabling seamless communication between various networked devices and the cloud. Companies, such as Cisco and HPE provide these servers that facilitate the connection of on-premises equipment to cloud storage solutions, thereby enhancing data accessibility and analytics. For instance,

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According to Techjury, in 2023, 60% of corporate data was expected to be housed in the cloud, indicating a substantial transition to cloud-based environments. This trend is also influencing the serial device server market growth as businesses are increasingly relying on cloud solutions for data management and connectivity. They play a crucial role in facilitating seamless communication between devices and cloud services, making them essential in this competitive landscape.

Serial Device Server Market Growth Factors

Automation in Various Industrial Processes to Drive Market Growth

Automation is revolutionizing access control systems in industrial processes across various sectors, driving a significant increase in the product demand. As industries strive to enhance their operational efficiency and lower costs, the integration of serial device servers into automated systems is becoming increasingly critical. This connectivity enables seamless data communication, allowing automated systems to gather, transmit, and analyze data from legacy equipment in real-time. As businesses continue to prioritize efficiency and cost reduction, the role of these servers in automation will become more prominent. For instance,

In March 2023, EPEVER launched the EPEVER TCP 306, a server designed for real-time remote monitoring of controllers and inverters. This server facilitates high-speed data transfer over long distances while consuming less power. These launches are significantly contributing to the market growth. Therefore, the increasing trend of automation across industries is fueling the serial device server market share.

RESTRAINING FACTORS

Shift Toward Advanced Wireless and IoT Connectivity to Impede Market Expansion

The adoption of advanced networking technologies is hampering the market as industries increasingly shift toward more modern wireless solutions, such as Wi-Fi, Bluetooth, and IoT-based systems. These technologies offer higher speeds, greater flexibility, and enhanced capabilities compared to traditional serial communication methods. As a result, the reliance on these servers, which utilize older protocols, including RS-232, RS-485, and RS-422, is declining. Additionally, the perception of these servers as outdated further limits their application in new and technologically advanced projects. This shift toward more advanced networking solutions is making it challenging for servers with serial devices to maintain their market relevance.

Serial Device Server Market Segmentation Analysis

By Type Analysis

Higher Capability Requirements by Businesses to Boost External Serial Device Server Demand

By type, the market is segmented into external serial device servers and embedded serial device servers.

The external server segment holds the highest revenue share in the market as they offer greater flexibility and easier integration into existing network infrastructures. Their ability to connect multiple serial devices to a network without altering existing hardware makes them ideal for various applications, from industrial automation to healthcare. This will drive their widespread adoption and revenue generation.

The embedded server segment is expected to record the highest CAGR in the market due to their compact design and seamless integration into devices, which enhances functionality without requiring additional hardware. As industries increasingly adopt IoT solutions and smart devices, the demand for embedded servers will rise, allowing for efficient data management and connectivity in diverse applications.

By Port Analysis

Growing Need for Multiple Connectivity in Industrial Environments Boosts Multi-Port Serial Device Segment Growth

By port analysis, the market is classified into single-port serial device servers and multi-port serial device servers.

The multi-port serial device segment holds the highest revenue share and is expected to record the highest CAGR in the market due to the ability of these devices to connect multiple serial devices simultaneously, making them ideal for complex industrial environments. This capability reduces the need for several devices and wiring, thereby streamlining network management and minimizing costs, which appeals to businesses seeking efficient and scalable solutions.

The single-port serial device segment holds a smaller market share as these devices are designed to connect only one serial device at a time, limiting their scalability and utility in larger applications. While they are cost-effective and suitable for simple setups, businesses with complex networks and multiple devices prefer multiport solutions for their efficiency and reduced wiring requirements.

By Application Analysis

Need for Remote Monitoring in Industries to Drive Segment Growth

By application, the market is segmented into remote management, data acquisition, Point-of-Sale (PoS) systems, and industrial control systems.

The remote management segment holds the highest revenue share in the market as it allows organizations to monitor and control devices from anywhere, improving operational efficiency and minimizing downtime. This capability is vital in industries, such as manufacturing and healthcare, where real-time data access is essential for effective decision-making and system optimization.

The data acquisition segment is expected to record the highest CAGR in the market due to the increasing need for real-time data collection and analysis across various industries. As businesses adopt IoT and automation technologies, the demand for efficient data acquisition solutions that enable seamless connectivity between sensors, devices, and networks will rise, driving the segment’s growth.

By End-user Analysis

Increasing Integration of Legacy Systems With Modern Network Systems to Boost Product Use in Industrial Sector

 In terms of end-user, the market is categorized into industrial, retail, telecommunications, healthcare, energy and utilities, transportation, and others.

The industrial sector segment holds the highest revenue share in the market due to its extensive reliance on legacy equipment that requires integration with modern network systems. These servers facilitate the connection of multiple machines and devices for streamlined communication and data exchange. This makes them essential for optimizing manufacturing processes, enhancing automation, and improving overall operational efficiency in industrial environments.

The healthcare industry segment is expected to register the highest CAGR in the market due to the increasing demand for remote patient monitoring and telemedicine solutions. As healthcare facilities adopt connected medical devices for real-time data collection and analysis, the need for reliable serial device servers will rise to integrate these devices with hospital networks, driving the growth of this segment.

REGIONAL INSIGHTS

The global market scope is classified into five regions: North America, Europe, Asia Pacific, the Middle East & Africa, and South America.

North America holds the highest revenue share in the market due to the region's advanced technological infrastructure and early adoption of automation and IoT solutions across various industries. The presence of key market players, significant investments in R&D, and a robust manufacturing sector will further contribute to the demand for serial device servers, driving the growth of the regional market.

Asia Pacific is expected to record the highest CAGR in the market due to rapid industrialization, increasing investments in smart manufacturing, and the increasing adoption of IoT technologies in various sectors. The region's growing emphasis on automation and connectivity in industries, such as manufacturing, healthcare, and transportation is driving the demand for these servers, leading to significant growth opportunities for the regional market.

The Middle East & Africa are expected to register the second-highest CAGR in the market due to increasing infrastructure development and a rising focus on smart city initiatives. Investments in telecommunication and automation technologies, along with growing industrial sectors, are driving the demand for efficient data management and connectivity solutions. This factor will position the region for significant growth in this market.

Europe holds a significant share of the market due to its established industrial base and strong emphasis on technological innovation and automation. The region's stringent regulatory standards and focus on enhancing operational efficiency in manufacturing, healthcare, and other sectors will drive the demand for reliable servers. This will facilitate seamless integration and data communication across various devices and systems.

South America is expected to register an average CAGR in the market due to increasing investments in infrastructure development and digital transformation across various industries. While the adoption of automation and IoT technologies is growing, the pace may be slower compared to other regions due to economic challenges and varying levels of technological advancement, resulting in moderate growth projections for the regional market.

KEY INDUSTRY PLAYERS

Key Players Launch New Products to Strengthen Market Positioning

Players in the market are launching new products to enhance their positioning by leveraging the latest technological advancements, addressing diverse consumer needs, and staying ahead of competitors. They are prioritizing portfolio enhancement and strategic collaborations, acquisitions, and partnerships to strengthen their product offerings. Such strategic product launches will help them maintain and grow their market share in a rapidly evolving industry.

List of Top Serial Device Server Companies:

• Moxa Inc. (U.S.)


• Mencom Corporation (U.S.)


• Perle Systems (U.S.)


• Advantech Co., Ltd. (Taiwan)


• Siemens (Germany)


• 3onedata Co., Ltd. (China)


• Silex Technology America, Inc. (U.S.)


• ORing Industrial Networking Corp. (Taiwan)


• Atop Technologies, Inc. (Taiwan)


• Lantronix, Inc. (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• In June 2024, Lantronix Inc., an IoT solutions provider, launched its next-generation EDS5000 series device servers. These desktop or 1U rack-mountable servers support 8, 16, or 32 serial devices over Ethernet, enabling easy remote access and management of serial-based equipment, such as medical devices, POS terminals, and security systems.


• In March 2023, EPEVER released two new products: the EPEVER TCP 306 network serial port and the EPEVER WIFI 2.4G RJ45 D WiFi adapter. The WIFI adapter transmits power generation data from EPEVER inverters and controllers to the cloud server for wireless monitoring and parameter setting via mobile apps, cloud servers, or large screens.


• In December 2021, Digi International, a provider of IoT connectivity products and services, launched Connect EZ, a next-generation family of device servers. These servers are designed for connectivity in business, commercial, and industrial automation applications.


• In August 2021, Advantech introduced the EKI-1511 series to its line of serial-to-Ethernet device servers. These industrial-grade, entry-level devices offer serial-to-Ethernet protocol conversion using RS-232/422/485 serial modes. Their small size and low cost make them ideal for space-constrained applications and projects requiring partial serial device integration.


• In March 2021, Advantech expanded its portfolio with the EKI-1511 series serial-to-Ethernet device servers. These servers are designed for safe data transmission and widely used in the IT and healthcare industries to prevent cyber threats.

REPORT COVERAGE

The report provides a detailed analysis of the market and focuses on key aspects, such as leading companies, product/service types, and applications of the product. Besides, it offers insights into the market trends and highlights key industry developments. In addition to the factors mentioned above, the report encompasses several factors that have driven the growth of the market in recent years.

Report Scope & Segmentation