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Domestic servers striving to lead info market
2007-08-06 15:05

By Yang Guomin

Since China's first server for minicom was born in 1993, the development of domestic servers has gone through a period of 14 years. At present, many domestic server brands, represented by the brand called Inspur, are rising increasingly. And such domestic servers firmly take up nearly 50 percent in the middle- and low-end market.

When the domestic informatization just emerged, foreign RISC (Reduced Instruction Set Computing) servers dominated the market. Their high prices were unaffordable for China's industries except for finance and telecommunication industries, which seriously hampered the development of the domestic informatization. To rapidly promote China's informatization, the domestic sever developers represented by Inspur Group developed a PC server based on X86 framework through the original technology accumulation, which ended foreign sever giants' monopoly in China for many years and made servers affordable and accessible in various industries. By opening up a huge and brand new market besides the RISC server market, this PC server has become the most widely used server product in Chinese market.

In 1996, Inspur Group took the responsibility of "the promotion and application for homemade servers" under the national "863 Project", which aimed to introduce and improve foreign advanced IT technology under China's actual demand in application. On this basis, Inspur Group continued to open up the field of high-end business. The group has assumed 8 national "863 Projects", has scored 28 software copyrights and 80 core inventions patented technology. And China's first commercial high-performance computing systems Tiansuo has been successfully developed by Inspur Group, which broken the foreign monopoly in the field of high-performance servers. Today, the Tiansuo servers have been widely applied in various industries, such as finance, taxation, telecommunications, energy, education and so on. According to authoritative statistics, Inspur Group has been the champion in domestic server sales for consecutive 11 years and kept No.1 in the sale of government sectors for 4 consecutive years.

In recent years, China's informatization has developed rapidly, network building and new applications has escalated, which provides a good opportunity for servers development. Looking at the world and the Asia-Pacific region, the growth in China's server market caught people's eyes. Statistics show that in recent years the global sales growth rate of servers has kept for about 14 percent, while China has maintained a growth rate of 19 percent.

The new applications in traditional industries are the new points of economic growth in the domestic server market. The obvious high demand occurred in the following aspects of government e-government applications except the "12 golden projects": the emergency command in health sectors, health surveillance, medical treatment, and security monitoring and management, earthquake monitoring, digital environmental protection, public safety, public utilities and so on. In addition, the new forces to promote server sales in the market also contain such fields as the shared culture project, tele-education for rural party members, agricultural informatization and vocational education, which are all launched by the state.

As the rapid development of the informatization, the cost of informatization construction is increasingly becoming the focus of attention in all sectors. According to authoritative statistics, if there are 800 million people online in China in 2020, China's informatization scale will be above three times of the present net scale of the United States up to then. If China follows the same path as the United States in the informatization development model, the total investment is inconceivable. So the development of domestic servers made an indelible contribution to promoting China's construction of low-cost informatization. Local brands provided customers with alternative choices of foreign brands through local technology, product innovation capabilities, which compelled the international brands to decrease the price and drive down the overall price level. The relevant report shows that 28,000 servers for personal computers were procured for domestic informatization construction while the total investment reached RMB 1.9 billion yuan and the average price per unit was about RMB 67,900 yuan in 1995. In comparison, 427,000 servers for personal computers were procured for domestic informatization construction while the total investment reached RMB 8.39 billion yuan and the average price per unit was about RMB 19,700 yuan in 2005. So the procurement cost per server in 2005 declined by 70 percent than that in 1995. Calculated under the procurement cost per server, the total procurement costs in 2005 actually were reduced by RMB 20 billion yuan.

Servers are relevant to the national information security and the layout of informatiztion industry. The development of domestic server brands safeguards firmly China's information security and is of importance in the economic and strategic development in the relevant fields.
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