Revenue growth prompts spike in EMEA server market revenues

The EMEA server market experienced its highest dollar revenue levels in Q4/07 since IDC started tracking quarterly consolidated server sales in EMEA in 1Q/00, the market watcher has reported

Boosted by a weakening of the dollar/euro exchange rate, server factory revenue grew by 3.6 per cent in annual comparison, to $5.46bn, while shipments rose 7.3 per cent, to more than 750,000, in 4Q/07 over 4Q/06 in EMEA.

This marks the sixth consecutive quarter of positive annual growth when measuring factory revenue performance in dollars, and comes on the back of a strong year. For the whole of 2007, market growth was robust, with factory revenue rising 5.6 per cent annually, to reach $17.86bn, and shipments growing 8.9 per cent to over $2.6m.

Virtualisation, along with systems management and automation, is driving IT investment in mid-sized companies as well as large enterprises. Multicore, virtualisation, and the uptake of blades, are all contributing to the strong uptake of volume servers, which are gaining favour with SME and MLE customers.

This market trend translated into a factory revenue share of 49.6 per cent of the total in EMEA in 4Q/07, and a growth of 6.5 per cent annually.

Though IBM managed to retain the top spot in the calendar quarter, Hewlett-Packard emerged as the top vendor in 2007, with strong growth of 12.3 per cent, managing to eclipse IBM for the first time on an annual basis since the acquisition of Compaq.

Fujitsu Siemens Computers enjoyed positive Primergy performance in southern Europe, and finished the full year with a 1.8 per cent revenue growth. Sun Microsystems saw revenue grow in the SPARC Enterprise area, and Dell had strong growth across all geographies, particularly in France and Spain.

Further information:

Image: IBM managed to retain the top spot in the calendar quarter consolidated server sales in EMEA region

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