Sales of computer servers in the Asia Pacific region excluding Japan were up 30% year-on-year in the quarter to September 30, according to figures from International Data Corp. The region’s fastest-growing market, recording 88% growth, was South Korea followed by mainland China. A strong turnaround in most economies coupled with delayed Y2K spending helped grow server revenue in the third-quarter of 1999,

said Avneesh Saxena, server manager at IDC Asia-Pacific. We expect to see some slowdown in the fourth quarter of 1999 as some customers postpone their non-Y2K purchases until after the millennium, he said.

The rebound enabled Korea to regain its pre-crisis position as the largest server market in the region while delayed spending continued in recession-hit countries such as Indonesia, Thailand and Malaysia, the IDC report said.

China dropped to second position after two good quarters in the first half of the year had made it the fastest growing market. Australia and Taiwan took third and fourth spots. Both the Australian and Taiwanese server markets showed signs of slowing down due to a decline in purchases by banks and large corporations, the report said. The top five server vendors were IBM, Hewlett-Packard, Compaq Computer, Sun Microsystems and Dell Computer.