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Wiwynn, a cloud server subsidiary of Wistron, plans to strengthen its financial capability by listing its shares on Taiwan’s Emerging Stock Board in mid-November 2017 and on the over-the-counter market in 2018, making it the first Taiwan maker of white-box cloud servers to be listed on the local bourse, according to industry sources.
The move is expected to encourage Quanta Cloud Technology (QCT), a cloud server subsidiary of Quanta Computer, to follow suit to fuel its growth momentum with more financial resources, the sources said.
The global cloud server market is poised to enter an era of explosive growth, as the fast data transmission speed of 5G mobile networks scheduled for trial run in 2018 and commercial operation in 2020 is expected to create a diversity of new applications for autonomous vehicles, IoT (Internet of Things), smart cities and more, and in will trigger huge market demand for cloud servers and other datacenter equipment to process tremendous data.
Drastic change in global server market scenario
The global server market is changing drastically, in that the enterprise server sector long dominated by such brands as HPE, Dell and IBM is shrinking remarkably, while the cloud server sector is rising rapidly along with the growing demand for cloud services. This has enabled Wiwynn and QCT – now the two major Taiwan suppliers of white-box cloud servers – to enjoy phenomenal sales expansions.
Industry sources expect Wiwynn to see its profits for 2017 double from 2016, as it has tapped into Facebook’s supply chains of servers and storage systems, and has also secured orders from Microsoft for servers for its public cloud service platform Azure and for its next-generation datacenters.
The sources continued that QCT is moving to focus more on developing the server market for private clouds, instead of the traditional enterprise server market. The company is planning to double its server production capacity in Germany in 2018 to meet the growing orders from European cloud service providers for datacenter servers.
Wiwynn looks to list on Taiwan’s stock market in the near future.
Photo: Digitimes file photo
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