EMEA server revenue up 11%
COMPUTINGBy BiztechAfrica - 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
African Union marks Science and Technology weekScience and Technology is key for Africa’s socio-economic advancement, says the African Union. Read More
Samsung, 49M embark on consumer educational driveSamsung Electronics South Africa has announced a national consumer education campaign in support of the 49M initiative, offering practical actions to save energy in daily life. Read More
Five technical considerations to resolve before moving into the cloudMoving into the cloud is often not as simple as it seems. If this move is not done correctly, cloud solutions could fail to deliver, says Jasco. Read More
Top backup tips for SMEsGreen Apple IT advises on ways to protect valuable data from load shedding problems. Read More
Mainframes: underpinning the cloudContrary to some beliefs that the cloud will replace the mainframe, IBM Solutions Sales Manager Satish Babu points out that the mainframe supports cloud. Read More
Microsoft announces first African female country managerMicrosoft has announced the appointment of Otema Yirenkyi as the company’s first country manager for Ghana. Read More
Cloud uptake set to explode across AfricaNew research indicates that African organisations are taking cloud seriously, with Nigeria set to lead in cloud adoption. Read More
Multichoice Ghana launches 18 resource centresMultichoice Ghana Limited has rolled out 18 Multichoice Resource Centers in 18 senior high schools across the country. Read More
Matching market with satellite servicesQ-KON examines where satellite fits into the market and what services are best for satellite technologies. Read More
FEATURED STORYGaming app introduces investors to trading
A new virtual stock market app is equipping would-be investors with the skills they need to trade.
BEST READ NEWS
IN DEPTHCorporate cyber security threats of the year
91% of organisations polled suffered a cyber-attack at least once in the past year, says Kaspersky Lab in its security review of 2013.
COMPANY NEWSSamsung, 49M embark on consumer educational drive
Samsung Electronics South Africa has announced a national consumer education campaign in support of the 49M initiative, offering practical actions to save energy in daily life.MTN launches new positioning campaign for enterprise market
MTN Group today unveiled a new Pan-African brand positioning media campaign for MTN Business, its enterprise business unit.