Servers Gartner Dataquest Sees Growth for Asia/Pacific Server Industry in 2003

Gartner Dataquest Sees Growth for Asia/Pacific Server Industry in 2003




Gartner Dataquest’s latest estimates on server shipments for the Asia/Pacific region forecast a 9.9 percent increase for 2003.

Gartner Dataquest’s latest estimates on server shipments for the Asia/Pacific region forecast a 9.9 percent increase for 2003.

The research firm earlier this month predicted that 666,500 units that will ship next year, generating $5.6 billion in revenue. This represents a 3.5 percent increase from 2002.

If these results come to pass the growth rate in 2003 for the region will be slightly higher than it was in 2002.

Asia/Pacific Server Market Forecast Estimates

 

2001

2002

2003

2004

Unit Shipments (in 000s) 576.1 606.4 666.5 722.0
Year-Over-Year Growth (%) 6.6 5.3 9.9 8.3
End-User Spending (in Millions of $) 5,279.9 5,374.9 5,563.2 5688.8
Year-Over-Year Growth (%) 11.6 1.8 3.5 2.3

Source: Gartner Dataquest (December 2002)

“The Asia/Pacific region represents a small component of worldwide server revenue, but in the global market, growth is hard to come by, so IT vendors and service providers are becoming increasingly focused on this region,” said Matthew Boon, principal analyst for Gartner Dataquest’s Asia/Pacific Computing Platforms group.

“Investments have focused on such issues as server consolidation and blade server advantages by the multinationals, which has fueled the competitive nature of the Asia/Pacific server market and led to sustained growth in this segment,” added Jennifer Wu, principal analyst for Gartner Dataquest’s Asia/Pacific Computing Platforms group.

Gartner Dataquest analysts noted the various factors that will drive server growth in the region.

“Growth is being driven by strong demand from the Asia/Pacific finance sectors, especially banking, coupled with continued investment from many of the region’s governments as they seek to capitalize on the benefits of IT,” Boon said.

“While a number of disruptive technologies, including Linux and blade servers, will help drive volume server sales, a need for mature markets to consolidate systems will lead to significant investments in server and systems consolidation toward the second half of 2003,” Wu said.

Analysts added that the momentum around consolidation will help fuel revenue growth despite the declining average selling price of servers.

While many countries in the Asia/Pacific region will experience growth, most of the growth in the region will be attributed to markets in China and India.

Additional information is available in the Gartner Dataquest report “Asia/Pacific: Server Forecast, 2000-2006,” which provides detailed projections for the server industry in the region on a country-level basis based on shipments and revenue.

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