IDC Expects Strong Demand for Technical Systems and Servers

FRAMINGHAM, MA — OCTOBER 30, 2000 — Demand for technical systems and servers is rising. According to IDC, worldwide shipments will increase at a compound annual growth rate (CAGR) of 13.5%, from about 60,000 in 1999 to more than 113,000 in 2004. Revenue will increase at a 9% CAGR, from $5.6 billion to $8.6 billion during the same time.

 

"The transition of the market to one dominated by large mainstream vendors and scalable RISC-based systems is complete," said Christopher Willard, research vice president for IDC's Workstations and High-Performance Systems program. "The new phase of the market, which places less emphasis on capability-oriented technology and more emphasis on solutions sales and vendor infrastructure, is now under way and well established."

According to IDC, high-performance technical systems revenue is spread evenly across most price bands, and growth will be relatively stable over the forecast period. All price bands, except the $10 million or more band, will grow. The $25,000-$49,999 band is forecast to grow the fastest, at a CAGR of almost 12%, from about $605 million in 1999 to more than $1 billion in 2004.

IDC says shipments in the departmental segment will grow the most, increasing at a CAGR of 14%, from about 55,000 in 1999 to more than 105,000 in 2004. The enterprise segment will experience the greatest revenue growth at nearly 11%, from about $527 million in 1999 to nearly $874 million in 2004.

Information like the above can be found in IDC's report Worldwide High-Performance Technical Computer Systems Forecast and Analysis, 1999-2004 (IDC #B22895). This report presents IDC's 1999-2004 forecast for technical high-performance systems. It is divided into the following market segments:

technical capability, technical enterprise, technical divisional, and technical departmental. Forecasts are provided by price band. Major trends and vendor strategies are discussed.

To purchase this report, contact Patrick Steeves at 1-800-343-4952, extension 6787, or at psteeves@idc.com.

About IDC

IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and ebusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world's leading IT suppliers, IT organizations, ebusiness companies and the financial community. Additional information can be found at www.idc.com.

IDC is a division of IDG, the world's leading IT media, research and exposition company.

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