Virtualisation drives jump in APAC server sales: Gartner

By David Binning on May 31, 2011 3:50 PM
Filed under Hardware

Australian server revenues up 10 percent despite five percent fall in unit shipments.

Analyst group Gartner identified virtualisation as a key driver behind strong first quarter sales of servers reported for the Asia Pacific, although it wasn’t enough to reverse a relatively flat result for Australia.

“Enterprise spending on server consolidation using virtualization technology continued to be a key driving factor for server market growth in this region,” said Erica Gadjuli, principal research analyst at Gartner.

She added that positive economic sentiment helped to boost sales in the key verticals of financial services and the public sector throughout Asia Pacific. It was the sixth consecutive quarter of growth recorded for server shipments and revenues in the region. 

The Australian market was relatively flat, however, with first quarter shipments falling five percent, although revenues from server sales grew by 10 percent to $154 million. 

In contrast, the fastest growing country in the region was Singapore with a 68 percent jump in server revenue to $US million. The biggest market, China, grew 37 percent to reach a whopping $1.2 billion.

Korea also saw strong growth with its first quarter sales up 21 percent to $192 million, while Taiwan rose 31 percent to $ million. Hong Kong also performed strongly during the quarter with server revenues up 21 percent to $70.4 million, driven largely by increased spending on RISC and x86 servers.

Interestingly, while Hewlett Packard claimed the top spot for server shipments, IBM knocked it to second in terms of server revenues suggesting that big blue is having more success generating revenues out of value-added services.

See below for Gartner’s complete rankings for the top five vendors in Asia Pacific by revenue and unit shipments:

Table 1: Asia Pacific: Server Vendor Revenue Estimates, 1Q11 (U.S. Dollars Thousands)

Top 5 Vendors by Vendor Revenue - Asia Pacific

1Q11

1Q10

1Q11Market Share (%)

1Q10 Market Share (%)

Year-Over-Year Growth (%)

IBM

951,436

690,121

41.1%

38.6%

37.9%

HP

671,537

587,265

29.0%

32.9%

14.4%

Dell

287,624

227,607

12.4%

12.7%

26.4%

Oracle

146,291

98,908

6.3%

5.5%

47.9%

Dawning

35,324

18,655

1.5%

1.0%

89.4%

Others

            222,655

            165,314

9.6%

9.3%

34.7%

All Servers

2,314,865

1,787,871

100.0%

100.0%

29.5%

Source: Gartner (May 2011)

 

Table 2: Asia Pacific: Server Vendor Shipments Estimates, 1Q11 (Units)

Top 5 Vendors by Shipments - Asia Pacific

1Q11

1Q10

1Q11Market Share (%)

1Q10 Market Share (%)

Year-Over-Year Growth (%)

All Servers

461,502

382,230

100.0%

100.0%

20.7%

HP

138,417

118,444

30.0%

31.0%

16.9%

Dell

100,713

88,554

21.8%

23.2%

13.7%

IBM

92,593

76,576

20.1%

20.0%

20.9%

Lenovo

23,541

13,000

5.1%

3.4%

81.1%

Huawei Technologies Co., Ltd

17,200

12,672

3.7%

3.3%

35.7%

Others

             89,038

             72,984

19.3%

19.1%

22.0%

Source: Gartner (May 2011)

 
Follow us on Facebook and Twitter
 

Copyright © CRN Australia. All rights reserved.

Virtualisation drives jump in APAC server sales: Gartner
 
 
 
 
 
Top Stories
More hope for desktop PC market
Workstation shipments to jump, even though PCs down overall.
 
No easy fix to crisis in PC repair
The strife at NCSS and AWA is part of a structural problem.
 
Oracle's Larry Ellison steps down
Co-founder to move aside after 37 years.
 
Sign up to receive CRN email bulletins
   FOLLOW US...
Polls
My business strategy is to:

Latest Comments
CRN Magazine

Issue: 330 | August 2014

CRN Magazine looks in-depth at the emerging issues and developments for the channel, and provides insight, analysis and strategic information to help resellers better run their businesses.