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Thin client sales dropped 6.9 percent in the last year

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March 29, 2016

Market research firm IDC says that thin client sales dropped 6.9 percent last year to just 5.08 million. There were 5.45 million devices shipped in 2014.

IDC says the drop is attributable to some economic factors rather than a loss of interest in thin clients or desktop virtualisation (VDI).

Lower public sector spending slowed demand for a product often associated with locking down desktops in ways deemed useful by organizations with unusual security requirements.

IDC also estimated that 2015 was probably going to be a difficult year for thin clients come what may, as recent buying and project cycles kind of ran out of fuel.

“But to be sure, overall awareness around VDI does continue to improve,” asserted Jay Chou, IDC's research manager for Enterprise Client Device Trackers.

“IDC does expect an improved outlook ahead, especially as companies begin to think about moving beyond Windows 7," he added.

Those remarks will of course bring some relief to VMware and Citrix. The former has made a big bet on VDI as a source of growth. For its part, Citrix has lots of VDI turf to defend as well and growth aspirations of its own.

Dell and HP will also take some consolation from IDC's predictions of a future thin client uptick.

IDC also found three rays of sunshine in the thin client market. The main one was sales in Asia, up about 10 percent in 2015.

The second was a turnaround for Ncomputing, which scored 12.8 percent shipment growth for last year.

The third positive news is Chinese vendor Centern's 15 percent shipment growth on the back of major financial project wins in China.

But maybe that's not such great news, though-- China's preference for domestic suppliers is growing, making Britain an even tougher market for the likes of Dell and HP to conquer.

Source: IDC Market Research.

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