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Sales of Systems and Servers Soar in South Africa in 2003

New purchases of volume servers by the underserved SMB sector boosts sales, says IDC

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Prague, August 12, 2004 Shipments of computer systems and servers in South Africa jumped by more than 34.2% in volume in 2003. According to a new IDC study, value rose a more modest 6.9% last year, as small and medium-sized businesses invested heavily in volume servers, causing a market shift from mid- to entry-level machines. Despite South Africa's sluggish economy, IDC expects the IT markets to exhibit significant growth in 2004, which should boost sales of systems and servers.

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Volume servers accounted for more than 95% of shipments in South Africa in 2003. According to IDC's study, South Africa Commercial Systems and Servers 2004-2008 Forecast and 2003 Vendor Shares, both the volume and high-end server segments expanded last year, though the volume segment represented just 36% of total value, approximately the same as the high-end. By contrast, unit growth in the midrange was flat. "This was largely due to the migration towards x86 machines," says Philip Korinek, Research Analyst, IDC CEMA. "This reflects higher demand for low-end servers among SMBs but also among corporations, some of which are deploying more low-end machines due to falling prices and increased computing power."

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Server Software. You may not separate component parts of the Server Software for use on more than one (1) Server. Assuming that you have obtained the appropriate number of PLs, you may use Windows Server 2003, Standard Edition, with up to four (4) processors on a Server at any one time and you may use Windows Server 2003, Enterprise Edition, with up to eight (8) processors on a Server at any one time.

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The South African systems and server market was dominated by a handful of vendors last year. While four vendors accounted for nearly 82% of shipment volume, three managed to capture more than 84% of shipment value. HP took first in both volume and value, with Dell taking second in volume and IBM taking second in value. "The market is very competitive, but this doesn't mean there isn't room for other vendors," says Korinek. "There were more than 15 active players on the South African server market last year. As the domestic economy continues to rebound, we expect the SMB sector will up its investment in servers, though they will be looking for high functionality at low prices, which favors vendors with a strong portfolio of low-end machines."

for important disclosures. No Payments for 90 Days On purchases over $250 with Bill Me Later! left right Product Detail Reviews ?Microsoft offers flexible, effective options for licensing the Windows Server 2003 family of products. Similar to previous Windows Server licensing models, one server license is required for each copy of the server software installed. In addition, a Windows Server 2003 Client Access License (CAL) is required for each user or device (or combination of both) that accesses or uses the server software.

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IDC's South Africa Commercial Systems and Servers 2004-2008 Forecast and 2003 Vendor Shares (IDC#ZC05L) reviews, analyzes, and forecasts the market for computer systems, servers, and workstations in South Africa. It provides data by vendor, processor technology, and operating system, with information further divided into 10 price bands. In addition to detailed forecasts of market size through 2008, it aims to answer key questions: What are the defining characteristics of the commercial systems and server market in South Africa? How will current and future economic conditions affect development? What are the areas of highest penetration and growth potential within the server market by operating system, price band, and CPU type? How is the global rivalry between Microsoft and Unix being played out in the South African market? Where does Linux stand? Can vendors of proprietary environments capture new applications and growth on their platforms? What application segments are driving growth and what platforms are best positioned to gain in this evolving market? Who is gaining share in the South African server market? Where are the greatest opportunities for future growth? monitor
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For more information, please contact Marketa Kudrnova (+420 221 423 140; mkudrnova@idc.com) if in the Czech Republic or Slovakia. From anywhere else, please contact Tatiana Hinova (+420 221 423 140; thinova@idc.com). infosys
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