EMEA server revenue up 11%
COMPUTING| June 1, 2011, 12:55 p.m.
IDC reports that the EMEA region server market has seen its strongest growth in four years.
According to IDC quarterly server tracker report, server revenue grew by 10.8% to USD3.5 billion in the first quarter of this year. It was the first time in four years that the market had topped double-digit growth.
Unit shipments grew by 2.6%, after nearly 580 000 units were shipped. The strong revenue performance indicated good traction of high-end, and particularly, midrange servers priced between USD25 000 and USD249 000. High-end servers enjoyed healthy revenue growth of 13.2%, with midrange servers growing faster, up 15.3% year on year. Revenue from volume systems grew by a relatively modest 9.2% year on year.
x86 servers were the main market engine again, with 66.6% of total revenue. x86 system sales reached USD2.3 billion, against just USD1.1 billion for non-x86 boxes. Industry standard servers have been the dominant technology in the EMEA server market since 1Q07, making this the 17th consecutive quarter in which this technology surpassed sales of enterprise systems running on CISC RISC EPIC processors. Volume server revenue reached 65.8% share of the total market. 98.6% of high-end revenue came from non-x86 systems, with 50.2% coming from CISC-based mainframes, 29.4% from RISC Unix servers, and 19.1% from EPIC systems running on Itanium processors.
The server market landscape is undergoing a transformation driven by increased demand for datacenter optimization to support virtualization, automation and cloud strategies. Cloud projects are set to profoundly change European server environments, as more customer sites adopt cloud-based infrastructures in 2011, said Nathaniel Martinez, research director in the Enterprise Server Group for IDC EMEA.
Despite the healthy revenue performance of the mainframe, up 46.8% year on year, there was a significant decrease when compared with the 62.2% annual growth rate seen in the previous quarter, said Beatriz Valle, senior research analyst in the Enterprise Server Group for IDC EMEA. The RISC Unix market continued to weaken. Recent technological developments on x86, both at the chip and systems levels, which are boosting the reliability, availability and security features of those environments, are set to accelerate migrations from Unix platforms.
Giorgio Nebuloni, senior research analyst in the Enterprise Server Group for IDC EMEA, said: Once more, blade servers represented an area of increased spending (+18% YoY, versus +11% YoY market average) for EMEA customers. Non-x86 blade platforms delivered another strong quarter, with revenue doubling year on year to $93 million (13% of blade spending), while IDC observed slower growth in x86 blade platforms (1% annual unit growth, 10% annual revenue growth), which performed roughly on average with x86 spending.
He added: A number of disruptive factors —
including virtualization, a new player in the arena in the form of Cisco, and the rise of new scale-out rack platforms —
are resetting the role of blade servers. Their preponderance is declining in technical computing and HPC, but increasing to support traditional enterprise workloads and virtualized environments, where integrated, high-value hardware and software sales are becoming prevalent.
MORE COMPUTING NEWS
Virtualisation in the age of smart dataActifio solution strategist Gareth Donald discusses virtualisation in the age of smart data: the next frontier on the march to the cloud. Read More
SATA confers on customer service and billingThe Southern African Telecommunications Association (SATA) held a Customer Service, Quality of Service (Qos) and Billing Conference. Read More
Study: Payments industry in fluxA new study indicates that cards will account for 273 billion transactions at a combined value of some US$30 trillion by 2018, but as mPOS grows, new forms of payment will flourish. Read More
Nissan parades ‘ICT built’ brand in MalawiNissan has paraded its brand new 2015 y62 Patrol Ti series in Malawi, which is said to have taken advantage of ongoing ICT innovations and features built-in navigation and digital entertainment. Read More
Digital fuels growth in Africa’s entertainment and media industry: PwC reportAfrican entertainment and media industry has entered a new landscape – one where the media is no longer divided into distinct traditional and digital spheres, according to a report from PwC. Read More
Deloitte unveils Tech Trends 2015The sixth annual Deloitte Tech Trends report examining disruptive technologies with the best potential to impact businesses within the next 18 to 24 months, will be released in Johannesburg today. Read More
Microsoft promotes Africa’s innovators through DEMO Africa 2015Using the Demo Africa platform as a veritable vehicle for the development of African innovators, Microsoft, under the 4Afrika Initiative, has confirmed its support for the upcoming DEMO Africa event in Lagos. Read More
NITDA affirms confidence in DEMO Africa 2015Nigeria’s National Information Technology Development Agency (NITDA) has affirmed its confidence in the ability of the DEMO Africa forum to become the continent’s rallying ground to discover technology leaders and entrepreneurs. Read More
Alcatel-Lucent VP calls for collaboration to achieve Data Revolution in AfricaThe Vice president of Alcatel-Lucent Africa, Daniel Jaeger, has reiterated the need for African stakeholders to work together to address challenges in the way of ICT development in Africa. Read More
Gartner's 2015 Hype Cycle for ICT in Africa points to growing importance of digital businessGartner's "Hype Cycle for ICT in Africa, 2015" report identifies over 30 key technologies and describes how they will impact business performance during the next 10 years. Read More
FEATURED STORYInnovative designer takes e-waste to another level
Gladys Muyenzelwa is a Gaborone based artist and designer who has an eye for ethnic and contemporary design. But unlike other designers, Muyenzelwa has found a way of using e-waste to make her creations.
BEST READ NEWS
IN DEPTHHigh tech homes: Just press play
High tech, digital homes where everything is automated and connected aren’t the stuff of science fiction any longer, says BNC Technology.
COMPANY NEWSLuba Freeport streamlines its sea of paper with Sage X3
Luba Freeport has implemented the Finance and Distribution modules of the Sage X3 business management solution to automate its business processes across finance and operations.