Menu
​“Aggressive channel pricing” impacts server sales, not Windows Server 2003 EOS hype

​“Aggressive channel pricing” impacts server sales, not Windows Server 2003 EOS hype

“To the surprise of most, a continued demand-based spike in unit shipment growth just didn’t happen the way people anticipated."

Sales leading up to and then immediately following the July 14, 2015 end-of-support deadline for Windows Server 2003 grew by 6.6 per cent year-on-year in the B2B channel, according to recently released data from The NPD Group’s Distributor Track and Reseller Tracking Services.

However, this increase appears to have been driven more by fairly significant average selling prices declines from June through August than the hype surrounding the end-of-support deadline.

To that end, there was a 6.2 per cent drop from June in ASP for servers during July and August.

“To the surprise of most, a continued demand-based spike in unit shipment growth - as a result of the hype of the Windows Server 2003 end-of-support deadline - just didn’t happen the way people anticipated,” says Michael Diamond, Director, Industry Analysis, Commercial Technology, The NPD Group.

“In fact, it appears that much of the sales volume in July and August was spurred by aggressive pricing in the channel.

“There are a number of factors that have coalesced to account for these less-than-projected results, including a switch by many firms to alternative systems.

“Some firms have moved to cloud computing, and others have opted to virtualise their infrastructures, leaving thousands of servers in a ‘comatose’ state.

“Still others are outsourcing more and more of their server-based operations, further segmenting the marketplace.”


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Cloudserverwindows server 2003NPD Research

Events

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments