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Updated: Active IT spending drives ‘vibrant’ server sales in Asia Pac, Garner claims

Updated: Active IT spending drives ‘vibrant’ server sales in Asia Pac, Garner claims

Virtualisation projects in mature countries help drive average selling prices up

HP continued to dominate the Asia-Pacific server market based on unit shipments with 29.7 per cent share, while IBM led the charge in terms of revenue due to strong mainframe sales, according to the latest market data from Gartner.

Asia-Pacific server shipments grew 13.4 per cent year-on-year in the third quarter of 2010, while revenue expanded 25.7 per cent year-on-year, Gartner notes.

While server shipments in Australia only grew 2.9 per cent year-on-year, vendor revenue was up strongly by 37.3 per cent thanks to a surge in mainframe investment, Gartner principal research analyst, Erica Gadjuli, said.

Gadjuli said active IT spending across various market segments led to vibrant server demand in most of Asia-Pacific’s major countries such as Korea (up 21 per cent in shipments and 24.3 per cent in revenue), China (up 18 per cent in shipments and 26.7 per cent in revenue), Hong Kong (up 18.9 per cent in shipments and 37.2 per cent in revenue) and Singapore (up 41.4 per cent in shipments and 27.7 per cent in revenue).

Investment in mainframes helped to drive robust revenue growth in Asia-Pacific during the period along with continued strength in the x86 segment, which has consistently grown in double digits for four consecutive quarters, she said.

Increased adoption of blades and richer configurations of rack-based servers helped to push the average selling price up during the quarter.

“Virtualisation projects in mature countries helped drive average selling prices up, however they slightly dampened server shipment demand,” Gadjuli said in a statement. “Meanwhile, awareness, acceptance and investment of virtualisation in emerging countries continued to improve.”

Looking locally, Gartner analyst, Phil Sargeant, said Australia didn't see as much growth as the overall Asia-Pacific market for two main reasons: a mature refresh cycle and greater adoption of virtualisation.

"Organisations have already refreshed their technology and been acquiring new equipment over the past few years. Australia is also far more advanced with respect to virtualisation - and this has a big impact on servers in terms of increased efficiency."


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Tags HPserversIBMAsia-Pacificvirtualisation

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