The global computer-server industry is witnessing a once-in-decade sweet spot of sales growth, boosted by a rare alignment of economic recovery, big technological advances and soaring data-handling needs.
Servers, the heart of computer networks, are seldom regarded as at the racy end of the information technology sector. But after a difficult 2009, server manufacturers are suddenly seeing strong growth with customers reinvesting in ageing IT infrastructures as recessionary conditions recede.
JPMorgan analysts recently more than doubled their estimates for server revenue growth in 2010 from 6.2 per cent to 14.3 per cent – “a unique phenomenon in IT hardware”.
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