Fujitsu 2010 Annual Report Download - page 55

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0
300
900
600
596.5
753.7
698.8
661.3
626.2
2009 2011 2012 20132010
GRAPH 2GRAPH 1
(Source: IDC The Worldwide Black Book Q1 2010)
(Americas: North and South America)
* Including intersegment sales
(Billions of U.S. dollars)
–150
0
600
450
150
300
363.4 293.8
365.2
469.9
442.3
3.7
1.9 2.0 0.6
–0.4
–2
8
6
4
2
0
2006 2008 2009 20102007
GRAPH 3 (Years ended March 31)
the influence of new businesses, such as
the spread of cloud computing and the
wider use of smartphones. Moreover,
these rapid changes in the market are
expected to redefine existing vendors’
market positions, stimulating M&A activity
among companies.
The hardware market is expected to
emerge from the slowdown of 2009
caused by cutbacks in corporate IT invest-
ment, and move toward overall recovery.
The server market overall is projected to
recover sharply from the 17.6% year-on-
year decline in 2009, to growth of 11.2%.
The high-end server market is also
expected to recover from the sharp 19.3%
decline in the previous year, but continue
to contract slightly. Strong growth is
anticipated in the low-end server market,
particularly for mid-range servers. The
customers with optimal solutions, while
also increasing sales of PC servers, x86,
storage and other platform products. We
will take further steps to expand our
datacenter business, particularly manage-
ment services for maintenance and opera-
tion of customers’ ICT resources. As part of
this effort, we will roll out a cloud com-
puting platform in the US during fiscal
2010 following its launch in Japan from
around October 2010. Fujitsu is also plan-
ning to broaden its offerings of related
services, including point-of-sale and self
check-out systems for retail industry
customers. We will continue to utilize
offshore assets in the United States and
Canada, but also mainly in India, the
Philippines, and Costa Rica, to further
enhance cost competitiveness. In South
America, Fujitsu’s main focus has been on
Brazil and the development of the
storage market is expected to recover
from the 6.6% contraction of 2009, with
growth of 5.6% anticipated for 2010.
Despite downward pressure on prices
from continued expansion of the net-
book* market, the PC market is expected
hardware business for the government,
finance and communication markets. As
we continue to deepen relationships with
customers, we will aim to expand into the
services business as well.
In North America’s communications
market, we are developing our optical
transmission business through subsidiary
Fujitsu Network Communications, and
have gained the top market share for
both SONET*1 devices (FLASHWAVE 4500
series), and Metro WDM*2 devices
(FLASHWAVE 7500).
In fiscal 2010, Fujitsu will enhance its
network quality to meet increased data
traffic. Moreover, since investment in
optical transmission systems is projected
to rise with the launch of commercial LTE*3
services, we plan to expand sales of Metro
WDM-compatible FLASHWAVE 7500, and
the advanced FLASHWAVE 9500 system
gGRAPH 1
to grow 3.8% in 2010, as declining ship-
ment volumes due to market deterioration
have bottomed out.
* Low-cost PCs with minimal functionality used primar-
ily for Internet and email access.
that integrates SONET, WDM, and packet
communication functions.
*1 SONET: Synchronous Optical Network. SONET is a
high-speed digital communication system utilizing
optical fiber.
*2 WDM: Wavelength Division Multiplexing. WDM is a
communications format that allows for multiple use
of optical fiber lines by utilizing different wavelengths
to transmit numerous signals simultaneously on a
single line. Metro WDM is a type of WDM for large
metropolitan areas.
*3 LTE: Long-Term Evolution. LTE is a next-generation
mobile communications format.
(Billions of yen) (%)
Net Sales* and Operating
Income Margin
IT Market Forecasts (Americas)Next-Generation Metro WDM Market
Share in North America (Revenue Basis)
(Source: Ovum-RHK, April 2010)
Company B
16.0%
Others
22.5%
Company A
17.0%
Company C
14.0%
Company D
7.7%
Fujitsu
22.8%
Net sales (left scale)
Operating income margin (right scale)
053
FUJITSU LIMITED Annual Report 2010
Initiatives by Region The Americas