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IBM increases server contracts to Taiwanese suppliers

Jan 17, 2006

The International Business Machines-owned PC-server research and development center in Taiwan has recently increased orders to the island's contract suppliers and recruited more local specialists.

Taiwanese contract suppliers including Quanta Computer, Wistron Corp. and Asustek Computer will work closely with Big Blue to tap the lucrative world server market, which is valued at tens of billions of U.S. dollar a year. Market researcher International Data Corp. (IDC) estimated the market to soar to seven million systems in 2007.

IBM's xSeries have emerged as the mainstream 32-bit servers in the market along with blade servers supplied by various suppliers including IBM itself.

Statistics released by the Ministry of Economic Affairs showed that IBM was already the third-largest foreign buyer of Taiwan-made information-technology products along with Sony and Apple simultaneously, trailing only Hewlett-Packard (HP) and Dell.

IBM opened the server research and development center around two years ago. Until the end of last year, the center had over 100 specialists. Although IBM now runs 15 server R&D centers across the world, the Taiwanese facility is the company's exclusive overseas tool developing xSeries products outside the United States territory.

source & copyright: CENS

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