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Stunted By Disruption

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August 2017

Globally the server market is going through a depression, but due to aggressive digital initiatives in India, FY 18 is expected to be a better year than FY 17

- Shrikanth G

Stunted By Disruption

According to Dataquest estimates the India x86 server market is pegged at ₹5,400 crore representing a very marginal sub 5% growth compared to last year. The units shipments oscillated quarter wise and Q4 FY 17 ( Q1 CY 17) can be termed as an uptick quarter with market seeing growth traction.

Going by IDC’s Asia Pacific excluding japan (APEj) Quarterly Server Tracker, Q1 2017, the overall server market in India witnessed a quarter-on-quarter (QoQ) increase of 14.2% in terms of revenue to reach $215.6 million in Q1 2017 as against $188.8 million in Q4 2016. The x86 server market accounted for 90.7% of the overall server revenue during Q1 2017 with growth being majorly driven by the spending of public cloud service providers for their data centers.

IDC further states that the public cloud uptake and digital transformation across banking and government verticals are driving the server market in India. The x86 server market in terms of revenue witnessed a year-over-year (YoY) growth of 3.9 percent to reach $195.6 million in Q1 2017 up from $188.2 million during Q1 2016.

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