The Taiwan Server System Industry, 1Q 2024

The Taiwan Server System Industry, 1Q 2024

In the fourth quarter of 2023, the shipment volume of Taiwan server systems, including both full system and barebones servers, increased by 10.7% compared to the previous quarter and 9.9% year-on-year, reaching 1.494 million units. Meanwhile, Taiwan board server shipments in the fourth quarter also grew by 7% compared to the previous quarter but decreased by 2.8% compared to the same period in 2022, totaling 1.463 million units. Despite server brands releasing new AI server products during the fourth quarter of 2023, these products had not yet seen significant volume production. Therefore, Taiwanese server manufacturers' AI server orders were still secured mainly by cloud service providers. This report provides an overview of shipment volume and value of Taiwanese full system, barebones, and board server industry as of the fourth quarter of 2023, along with shipment volume forecast as of 3Q 2024 and shipment value forecast as of 2Q 2024. Additionally, it examines the current development of AI servers and the influence of AI servers on the entire server industry.