HONG KONG: The Asia-Pacific (ex-Japan) market for computer servers fell by 18
per cent in the fourth quarter of 2001 with weak economic conditions plaguing
sales even in the comparatively healthy China market, according to preliminary
data released on Monday by a research firm.
The survey by Massachusetts-based International Data Corp found that sales of
high-end multiple-user computers in the region fell 18 per cent on a revenue
basis and 3.5 per cent by unit shipments compared with the same quarter a year
earlier.
IDC predicted a recovery for server sales in the region would slightly trail
that foreseen in the United States, with the Asia-Pacific region expected to see
improvement in the fourth quarter of 2002.
The total market for servers in the region stood at US$1.5 billion and
144,581 units during the fourth quarter, compared with US$1.8 billion and
149,875 units a year earlier, marking the third consecutive quarterly decline in
the region, according to IDC's preliminary numbers.
China, the biggest market for servers in the region at 33 per cent of
revenue, saw sales dip six per cent on a year-over-year basis in the quarter to
US$495 million, IDC said. For 2002, IDC predicts server sales in the region will
increase by about 3.5 per cent to US$5.9 billion from a preliminary total of
$5.7 billion in 2001.
In China, IDC predicted server sales would grow by 16 per cent in 2002 to
$2.1 billion from $1.8 billion in 2001. Across the region, "worsening
economic conditions led to a contraction in demand that forced server vendors to
take more aggressive measures to garner share," said Avneesh Saxena,
director of computing services at IDC.
He said demand from governments in most major Asian markets prevented even
worse conditions for server vendors in the region.