Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: RealMuLan who wrote (44373)	1/23/1999
From: RealMuLan	Read Replies (2) \| Respond to of 132070

PC Server Market Growth Restrained But Rebound Expected For 1999, According to IDC Gap Narrows Between Compaq and HP Framingham, MA, January 18, 1999 -- A newly released PC Server Year-In-Review bulletin from International Data Corporation (IDC) estimates that the worldwide PC server market experienced restrained growth in 1998 with a year over year increase in revenue of just 8%. This modest increase demonstrates markedly slower growth than in both 1997 and 1996, with growth rates of 42% and 50% respectively. Amir Ahari, Senior Analyst for IDC's Commercial Systems and Servers program, says, "The revenue slowdown has been mostly caused by a drop in average sales value and a slowdown in high-end PC servers." He adds, "However, the rapid success of Dell is leading traditional indirect vendors to respond with two distribution offerings, build-to-order facilities and on-line web sales. Compaq re-launched its build-to-order program in the latter half of '98." Top 4 Vendors: Revenue and Market Share Compaq lost over 4 points of share from 1997 due to inventory overload in 1H98 and distractions from the Digital merger. Compaq is still the leading PC server vendor with worldwide revenues of $3.8 billion and 29% market share in 1998. HP had an impressive year, retaining the second spot with 36% revenue growth over 1997 to reach $1.7 billion in 1998 and capturing a 13% share of the market. HP committed significant resources throughout the year to better educate its channel partners. Dell made large strides with 76% growth over 1997 to reach a 13% market share. With $1.6 billion in revenue, Dell is the fastest growing PC server company in the top ten. Dell's success is due to sales over the web - where primarily volume consists of dual-capable servers. IBM increased its revenues by a modest 5% over 1997 largely due to overflowing channel inventory and a transition from the PC Server brand to Netfinity. IBM picks up the fourth spot with $1.5 billion in worldwide PC server factory revenue and market share of 12%. Although the PC server market underperformed in 1998 compared to previous years, the long term outlook remains favorable, as the Xeon processor will give an added boost to the overall market. IDC believes that other positive influences include increased sales of whitebox PC servers to small businesses and ISPs, consolidation among second-tier vendors, and a recovery to the Japanese market. In 1999, IDC expects an aggressive rebound to double digit growth in worldwide PC server factory revenue. For more information or to purchase this bulletin (#B18102), 1998 PC Server Year-In-Review, call Cheryl Toffel at 1-800-343-4952, ext. 4389. IDC's Web site (http://www.idc.com) contains additional company information, recent news releases, and offers full-text searching of the latest available research.

To: RealMuLan who wrote (44373)	1/23/1999 12:07:00 AM
From: RealMuLan	Read Replies (1) \| Respond to of 132070

IDC Reports 25.2 Percent Growth in Shipments of Server Operating Environments in 1998 Linux Drives Growth Significantly for Server Operating Environments FRAMINGHAM, Mass., January 18, 1999 -- Strong growth in shipments of server operating systems from 1997 to 1998 was fueled by increased shipments of Linux, Microsoft NT Server, Novell Netware, and Unix, according to International Data Corporation (IDC). The worldwide market for server operating systems, which IDC defines as server operating environments (SOEs), grew by 25.2 percent in 1998, compared to 15.3 percent growth for 1997. IDC's Server Operating Environments, 1998 in Review bulletin reports preliminary data for 1998 shipments on a worldwide basis. An annual report, with final IDC data will be published in spring, 1999. Linux shipments for such server tasks as Web-serving grew rapidly, although the revenues from those shipments were just $33 million worldwide. If Linux SOE sales were not included, shipments of all other SOEs would have grown at a rate of just 11.3%. "Microsoft NT Server and Linux were the fastest growing SOEs, in terms of units shipped," said Jean Bozman, research manager of IDC's Server Operating Environments service, who is based in Mountain View, California. "However, Unix continued to be the revenue leader, followed by NT Server and Novell NetWare." 1998 Highlights Microsoft's Windows NT Server grew at 27.2 percent, to 1.56 million units. Combined Unix SOE shipments grew at only 4.1 percent, somewhat slower than expected in 1998. Within the Unix category, HP-UX, SCO UnixWare, and Sun Solaris had strong growth, while the "other" category declined sharply. Novell Netware grew 13.6 percent to more than 1.0 million units. IBM's OS/2 server operating environment declined 40.5 percent. IBM is repositioning this platform for thin-client computing. Linux license shipments grew at a dramatic rate of 212.5 percent, accounting for more than 17 percent of all SOE units shipped. Here are several trends in Server Operating Environments to look for in 1999: IDC expects that there will be a period of last-minute Y2K preparations affecting sales of new SOEs. During this time, IT managers will devote more attention to Y2K repairs than to rollouts of new SOE products within their enterprise organizations. Pricing for all major SOE products will continue to be affected by volume discounts. Unix vendors are expected to "package" their SOE products with middleware, creating a series of "modular" products aimed at specific market segments. Some Unix vendors may also return to the practice of "bundling" their SOE products with sales of RISC-based server systems. Server consolidation will likely promote sales of Unix SOEs for larger servers, and may reduce sales of high-volume Unix SOE products in some market segments. Unix vendors are expected to focus more on Internet standards than on the Open Group's Unix 95/98 standards, as they seek to differentiate their server products from NT Server. NT is expected to have improved support for RAS and interoperability with Unix and NetWare SOEs, while NetWare 5 is expected to gain in the Web-serving space Microsoft and Sun will likely continue to set the pace for innovations in Internet- related operating system technology. The Server Operating Environments, 1998 in Review bulletin (IDC # B17876) can be purchased by contacting Cheryl Toffel at 800-343-4952 ext. 4389. For additional information about IDC's Server Operating Environment programs, contact Dawn Daggett at 508-935-4108 or at ddaggett@idc.com. idc.com

To: RealMuLan who wrote (44373)	1/23/1999 12:12:00 AM
From: RealMuLan	Read Replies (1) \| Respond to of 132070

Strong Unit Growth in Workstation Market in 1998 But Revenues Decline Slightly, According to IDC Framingham, MA, January 19, 1999 - A newly released bulletin from International Data Corporation (IDC) entitled The Workstation Market, 1998: The Year in Review estimates total 1998 workstation shipments grew 22% over 1997, reaching 2.3 million. However, market revenues declined by 3% over last year, leveling off at $14.7 billion. Hewlett-Packard was the overall leader in unit shipments (21%), followed by Dell (16%). Sun was the overall leader in revenue (23%), followed very closely by Hewlett-Packard (22%). The total workstation market includes both Unix (traditional) and Windows NT (personal) workstations. "The lower cost of high performance Intel-based Windows NT systems brought workstation capabilities to a much broader set of users than has historically been the case with Unix workstations. The result has been a significant increase in units ships, but a modest decline in overall workstation revenue," says Tom Copeland, Director for IDC's Workstation Research group. For the second year in a row, the traditional (Unix) workstation market declined in both shipments and revenue, by 6% and 16% respectively over the previous year. Total shipments were 599,110 and total revenue was $7.9 billion. IDC believes the decline in shipments is attributable to decreased investment in Unix workstations by companies in the U.S. and Europe and by the economic problems in Asia, particularly in Japan. The additional revenue decline resulted from lower average selling prices due to increase competition from Windows NT workstations. With consolidation in the Unix workstation market, Sun, HP and IBM are now the strongest players. Sun leads in market share in both shipments (52%) and revenue (43%), well ahead of second place Hewlett-Packard (16% in units and 23% in revenue). Windows NT-based workstation shipments ($1.7 million) grew by 36% over last year, and revenues ($6.8 billion) increased by 18% from last year. HP and Dell are in a virtual tie for first place in both units (22.8% and 22.3% respectively) and revenue (21.5% and 21.0%). The overall NT (personal) market data includes both branded NT workstations - those systems marketed explicitly as workstations - and non-branded workstations - high end desktops used as workstations. Branded NT workstations - those systems marketed explicitly as workstations - showed exceptionally strong growth (98%) in units (to 776,206) and 60% in revenue (to $3.6 billion). The strong growth in branded NT workstations indicates the increased focus by the major PC vendors on the workstation segment. Hewlett-Packard was the market share leader in both units (40%) and revenue (34%), followed by Dell with 19% share in both units and revenue. "With more branded NT workstations shipping than Unix workstations in 1998, NT is driving the growth in the workstation market. NT workstations have surpassed the start-up phase and have become mainstream in the workstation market," says Tom Copeland. Key Data Personal (Windows NT) workstation shipments grew by 36% over last year, and revenues increased by 18% from last year. HP and Dell are in a virtual tie for first place in both units and revenue. Unit shipments of branded personal workstations surged 98% from last year, and revenues rocketed to 60% over last year. For the first time ever, branded personal workstations outshipped Unix workstations. Branded NT workstations represent 56% of the total (NT and Unix) branded workstations shipped, but only 32% of the revenue. With a 10% shipment growth over last year, Sun was the only vendor to increase Unix shipments in 1998. Sun now accounts for over 50% of the traditional workstations shipped. HP leads in total workstation units shipped worldwide with a share of 21%. Sun and HP are in a virtual tie in workstation revenue worldwide with 23.1% and 22.5% share, respectively. Looking ahead, IDC expects that big companies with large installed bases of Unix workstations will begin to move NT systems into their core application areas in 1999 and 2000. IDC notes that the transfer will be an arduous process that will take several years to complete. Nonetheless, the positive influences of emerging markets and PC upsizing will continue to feed NT growth as well. For more information or to purchase this bulletin (#B17937), call Cheryl Toffel at 1-800-343-4952, ext. 4389. IDC's Web site (http://www.idc.com) contains additional company information, recent news releases, and offers full-text searching of the latest available research. idc.com