Cloud server shipments to escalate

Personal computer sales face a turbulent 2012, but the outlook for servers for cloud computing is quite the opposite, IT News writes.

The numbers are still relatively low, but analyst firm IHS iSuppli has forecast that manufacturers will ship 875 000 low-cost, high-density blade servers this year, up 35% from the 647 000 units shipped in 2011.

According to All Things D, the rate of growth is expected to continue over the next three years, in the 20% to 30% range.

Cloud server sales will grow at a rate that is five times faster than the rate of growth for general-purpose servers, iSuppli says.

"Over the course of 2011, we've seen a steady uptick of venture investment into cloud-based software and services," Rackspace quotes CB Insights co-founder Jonathan Sherry as saying.

"In Q4, cloud-based companies comprised 26.5% of Internet deal volume and 34.5% of Internet investment dollars."