Gartner: datacenter growth negatively impacts server market

 

Gartner: Datacenter growth negatively impacts server market

According to Gartner, the data center system segment is expected to grow 0.3 percent in 2017. While this is up from negative growth in 2016, the segment is experiencing a slowdown in the server market. “We are seeing a shift in who is buying servers and who they are buying them from,” said John-David Lovelock, research vice president at Gartner.

“Enterprises are moving away from buying servers from the traditional vendors and instead renting server power in the cloud from companies such as Amazon, Google and Microsoft. This has created a reduction in spending on servers which is impacting the overall data center system segment.”

 

At the same time, more and more IT organizations are investigating migration of legacy applications to the cloud.

As Asysco customer Amalgamated Financial Group says: “Hurricane Sandy made us realize our vulnerability, due to the storm we did not have power for almost a week, this meant we were out of business for a week. We knew we needed a cost-effective strategy to solve our business continuity & disaster recovery shortfalls. That is when the Cloud project became reality. Asysco helped us to move to Azure. Now, we are in a secure environment, we don’t have to worry about any installations of patches and updates and we have 24/7-365 availability.”