February 2007 28

Server sales on the rise

http://www.whatpc.co.uk/vnunet/news/2184244/server-sales-break-dotcom-boom

Server sales reached $52.3bn in 2006, the highest level of overall sales since the market peaked in 2000, according to new data from analyst firm IDC.

The new sales record is different from the buying spree on which companies embarked at the turn of the millennium, when they loaded up on low-cost industry standard servers.

The IDC report indicated that revenue growth in mid-range and high-end servers outpaced growth of volume systems for the first time in 10 years.

Very cool, server sales seem to be doing well, the newer energy efficient servers from Dell/Sun and the other vendors has helped as have the demand for blade servers.  I suspect that some virtualization and consolidation projects are also contributing to demand for servers as companies try to purchase and supply their IT more efficiently and effectively.

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