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Gigabyte wins Dell contract renewal

by on03 May 2010

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All your servers are belong to us


Tinman Dell
has renewed his contract with Gigabyte to provide his servers. The outfit's contract with Dell was set to expire and there were dark rumours that Dell might look for someone else. This would be bad for Gigabyte particularly as the server market is growing like topsie..

Gigabyte internally also hopes to bring its server business's revenues contribution from the current 10-15 per cent to 20-30 percent. Gigabyte was originally a server manufacturing partner for Google, but the company later lost the orders to Quanta. Currently, the motherboard business still accounts for 65 per cent of Gigabyte' revenues, graphics cards about 10 per cent, servers and storage 10-15 per cent and the rest from other gizmos.

Digitimes
reported that Gigabyte shipped about 18 million motherboards in 2009 and expects to ship more than 17 million units in 2010. The company also shipped 300,000 notebooks in 2009 and expects the volume will reach 500,000 units in 2010. All is not well in Gigabyte land. The outfit's handsets and notebook divisions are not able to turn a profit, and the company has already stepped out of manufacturing motherboards for China's white-box netbook vendors as demand has dropped significantly.

Gigabyte has released a series of AMD 800 chipsets-based motherboards with the company's exclusive Auto Unlock technology.
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