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
ITU to build united front against technology fakersITU will host high-level talks in a bid to improve global coordination in the application of information and communication technologies (ICT) as part of strategies to combat counterfeit and substandard ICT devices. Read More
More Congo-Brazzaville women linking up with ICTsMore women are moving to learn to use ICTs in DRC, say ‘backyard’ teachers. Read More
Has the operating system become a modern day utility?As we make the shift to the cloud era, computing’s traditional building blocks, including the operating system, are increasingly abstracted away, says Red Hat. Read More
Congo Brazzaville’s BantuHub offers ICT relief to localsThe BantuHub ICT centre in Brazzaville is a real cure for techentrepreneurs, bloggers, start-ups and other technology-minded people seeking a quick and an effective relief for their ICT headaches. Read More
Innovative products and professional services give Schneider Electric and end users the edgeRecognising enterprises' need for a specialist partner, Schneider Electric has developed its professional services based on using technology to improve end users’ efficiencies and communications, while making current and new markets accessible to them in faster, more competitive ways. Read More
Brocade appoints new Senior Director of Technology, EMEAIndustry veteran Brian Levy will lead regional growth and operational excellence, further strengthening the Brocade leadership team. Read More
Electricity in Africa: is payment the problem?While prepaid meters go halfway to solving the problem, making payment points widely available for people to purchase prepaid electricity vouchers is just as important, says Nomanini. Read More
Overcoming the challenges of location independent computingAchieving true location-independent computing requires an application performance platform that maintains visibility no matter where or when the applications are located or accessed, says Riverbed. Read More
Vodacom: cloud computing is IT industry game changerVodacom Business Nigeria says cloud computing will address all issues relating to reduction in cost of operating business in the country, but it lamented that businesses in the country are still lagging behind, with only a third of them currently using cloud technology. Read More
FEATURED STORYMFarmer SMS redefines market access for Ugandan farmers
Ugandan smallholder farmers are benefitting from an ambitious innovative ICT mobile phone initiative that offers weather reports and up-to-date market information about changes in prices for agricultural commodities, thus granting them lucrative returns from their farming ventures.
BEST READ NEWS
IN DEPTHiProcure delivers inputs to farmers’ doorsteps using ICTs
An innovation dubbed iProcure is already being used by several agro input firms which are now relying on it to distribute their products to farmers.
COMPANY NEWSSchneider Electric signs exclusive off-grid solar distribution agreement with Zimbabwean firm
Schneider Electric has announced the signing of an exclusive agreement with Samansco, a Zimbabwean renewable energy, back-up power and appropriate technology company.SAP Innovation Helps The Global Fund Fight AIDS, TB and Malaria in Africa
Extending a longstanding partnership, SAP is a founding member of The Global Fund’s new Innovation Coalition to support disease prevention and treatment.