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HP, Foxconn partner to target cloud service providers

HP and Foxconn are partnering to design and manufacture servers optimised for cloud service providers

HP and Chinese manufacturing giant announced a joint venture this week that will see both companies work together to develop cloud-optimised servers specifically for service providers. The move comes as the enterprise server market continues to decline.

Branded servers decline but white-box servers rise on cloud adoption

White-box server sales increased by 94 per cent this year, and accounted for 7.2 per cent of all server shipments

Branded server sales declined 3 per cent in the last quarter, the fourth consecutive quarterly decline according to new data published by research and analysis firm IDC. But while server revenues for big players like IBM, Oracle and Cisco continue to decline, increased adoption of cloud services could accelerate the rise of original design manufacturers (ODM) as cloud service providers seek lower cost avenues for achieving scale.

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