Global spending on servers during 2004 is likely to grow by 5 percent,
rising to US$53 billion, according to a new report from IDC.
Demand for servers rose late last year, and that momentum is likely to
continue, the research company said in a report released Wednesday. As prices
fell, the number of servers sold in the past three quarters grew by 20 percent
compared with the same period last year, IDC said.
"There continues to be very strong growth in the x86 industry standard server
market--particularly for Windows- and Linux-based solutions," said a statement
Melenovsky, director of research for IDC's Global Enterprise Server
Solutions division. "Growth has been strong for everything from standalone
systems in small offices to several-hundred-node clusters in enterprise data
IDC predicts that the server market will grow at a compound annual growth
rate of 3.8 percent to be worth US$60.8 billion in 2008. In particular, the market
servers will grow quickly, generating US$9 billion in annual revenue by 2008
and representing 29 percent of server units shipped.
Linux-based servers will account for 29 percent of unit shipments and about
US$9.7 billion in revenue, IDC said. Windows-based servers are projected to lead,
though. They'll account for 60 percent of all server shipments and revenue of
The United States will continue to lead in terms of market share, followed by
Western Europe and the Asia-Pacific region, excluding Japan, the company
IDC said strong growth is likely in Central and Eastern Europe, as well as
the Asia-Pacific region. These regions are expected to see compound annual
growth rates of over 6.5 percent.