Servers market grows 23% in 2010, set for 8.29% increase in 1Q11

- Tuesday, June 7, 2011

Servers market grows 23% in 2010, set for 8.29% increase in 1Q11

Chile's servers market ended 2010 with a 16.2% growth in terms of units and 23% in value, according to a study by technology consultancy IDC.

During the fourth quarter last year, the market grew 33.4% in units and 25.6% in value - attributed, among other things, to a stable local economy with investments picking up once again after the earthquake last year, new server virtualization projects, and a favorable exchange rate, according to external storage and servers market analyst at IDC Matías Fuentes.

Critical mission platforms also showed good results, with a 40% jump in value thanks to technological revamp trends and the increased offer of lower-priced midrange equipment.

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Among the verticals that fueled this growth, the study highlights the financial, commerce and manufacturing segments, which grew 169%, 27.6% and 21.7% in value, respectively, compared to 2009.

The services segment, driven by data centers, also vamped up IT investments to increase the offer of hosted applications and cloud computing.

2011 OUTLOOK

IDC has a positive forecast for the next few months based on macroeconomic grounds, the increase value of copper - the country's main export - and its impact on exchange rate, and the rising number of critical mission and x86 servers in the market to improve productivity and reduce operational costs.

Even though the first quarter has traditionally been a weak period due to the southern hemisphere summer vacation season, this year it is expected to perform better due to government investments that had been postponed last year.

For the first quarter this year, IDC forecasts a 15.8% increase in robust servers, and as for x86 servers, the consultancy expects an 8.29% boost in value and 13.7% in units.