EMEA Not Favourable For Oracle Server Business

The EMEA server market saw double digit growth in the first quarter of 2011 but Oracle’s server business continued to decline.

According to the figures released by market research firm IDC, the server market in Europe, Middle East and Africa grew by 10.8 percent in the first quarter reaching $3.5 billion (£2.13 billion) mark.

Meanwhile, despite the growth in the market, Oracle saw is EMEA server revenue fall by almost 20 percent, generating $241 million. The slide in the sales resulted in the company’s EMEA market share fall to 6.9 percent from 9.5 percent one year ago.

Oracle accounted for 70 percent of sale of RISC Unix servers but bore the major brunt of the fall in sales.

Nathaniel Martinez, IDC research director in the Enterprise Server Group, said that entire RISC and UNIX market continues to be shaky has customers have decided to adopt a wait and see approach.

"The server market landscape is undergoing a transformation driven by increased demand for data centre optimisation to support virtualisation, automation and cloud strategies,” said Martinez.

“Cloud projects are set to profoundly change European server environments, as more customer sites adopt cloud-based infrastructures in 2011." he added.