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TrendForce: Global server shipments in 2023 will be revised down to 13.835 million units

According to the research report released by TrendForce Jibang WeChat ID, as the four major CSPs (Note: Cloud Service Providers) have successively reduced their purchases, OEMs such as Dell and HPE are also 2~4 During the month, the forecast for annual shipments was lowered, with a year-on-year decrease of 15% and 12% respectively. Coupled with the impact of the international situation and economic factors, the outlook for server demand is not good. The report estimates that global server shipments this year will be further revised down to 13.835 million units, a year-on-year decrease of 2.85%.

TrendForce said, “The server market in the first half of the year was not optimistic. In the first quarter, affected by the off-season effect and terminal inventory correction, the server shipments decreased by 15.9% quarter-on-quarter; It is estimated to be only 9.23%. In addition, in addition to the OEM’s reduction of shipments and the continuous adjustment of supply chain inventory, etc., which continue to affect server shipments, ESG issues enable CSPs to extend the service life of servers, thereby reducing purchases, and at the same time complying with corporate capital control Expenses, and OEMs increasing the support life of old platforms are also one of the reasons affecting the market.”

TrendForce said, “At the same time, ChatBOT, which is hotly discussed in the market this year, will indeed drive AI server shipments, and cloud service providers including Microsoft and Google are actively investing. The report predicts that the year-on-year growth of AI server shipments in 2023 will be, however since AI servers still account for less than 10% of the overall server shipments, it is not yet possible to reverse the overall server weakness.”

TrendForce said, “Overall, whether the server market can turn around this year depends on the speed of inventory removal. According to the current progress, the shortest is the second half of this year; the longest is the first half of 2024. At the same time, the progress of inventory removal is also It will affect the introduction schedule of the new platform, and reduce the willingness of the original factory to switch production and reduce prices of DDR5. According to the current market forecast, it is still not ruled out that the annual server shipments will continue to be revised down.”

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Threza Gabriel
Threza Gabrielhttps://www.techgoing.com
Threza Gabriel is a news writer at TechGoing. TechGoing is a global tech media to brings you the latest technology stories, including smartphones, electric vehicles, smart home devices, gaming, wearable gadgets, and all tech trending.

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