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Downturn Ahead For Server Market

Enterprise server shipments are likely to slow significantly in coming months, according to a report by financial services outfit Morgan Stanley’s technology expert Katy Huberty.

She blames increasing virtualisation and the cloud for the server downturn, which comes after several years of 3-5 percent growth.

According to Huberty, growth for external storage systems dissipated last year as flash-based products and the cloud ate into business, a time when enterprise server shipments were still growing at 7pc year over year.

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