Dell, one of China's top computer suppliers, sees mainland companies poised to aggressively adopt more advanced, power-efficient servers as the central government's stimulus efforts begin to take hold later this year. The world's second-largest maker of personal computers last week introduced, against stiff competition from global rivals such as Hewlett-Packard and Lenovo Group, a new portfolio of advanced servers - machines used to manage a company's information and other digital resources - designed to help businesses cut costs and improve efficiency in its largest overseas market. China is also Asia's biggest server market. The country last year accounted for a dominant 42.8 per cent of server spending in the region excluding Japan, up from 40.6 per cent in 2007, according to market research firm International Data Corp. A hoped-for 'market upswing' could steadily manifest over the next several quarters, as government-backed infrastructure projects and system refresh by businesses in key industries drive demand, according to Milind Yedkar, the enterprise solutions marketing director at Dell Greater China. Mr Yedkar said adoption by existing mainland Dell customers of its new 11th generation PowerEdge servers 'would be closer to 50 per cent over the next two quarters', led by companies in the financial services, telecommunications and public sectors. The PowerEdge servers are touted to help enhance efficiency with its embedded systems-management software to simplify many common processes, such as diagnostics and configuration; thermal management system; and so-called virtualisation to automatically manage system usage and capacity. Mr Yedkar did not expect growth in demand from the export-based manufacturing sector, but noted that makers of goods for domestic consumption would want to upgrade. Unlike most markets in Asia, mainland investment in servers fell only 0.1 per cent amid the slowdown in the second half of last year. 'The modest, single-digit decline in server spending in the second half last year in China was expected after an astounding 30 per cent surge in the second half of 2007, which was underpinned by massive infrastructure build-out in the run-up to the Olympic Games,' said Rajnish Arora, IDC's director of Asia-Pacific enterprise servers and workstations research. According to IDC, Dell was the No4 vendor of servers in the region last year, with a 9.9 per cent share, behind Sun Microsystems, HP and market-leader International Business Machines Corp. Inspur remained the mainland's server market leader and Asia's No5 supplier, with a 1.4 per cent share. Mainland technology giant Lenovo is also offering advanced Intel Xeon 5500-powered servers, with its forthcoming ThinkServer RD210 and RD220 rack servers. 'Forward-looking businesses are using information technology to target unnecessary cost and complexity,' said Dell chairman and chief executive Michael Dell, commenting on the requirement during tough economic times. 'We've seen that many times before, including in the 1980s and following [the economic] softness in 2001.' Mr Dell said his company had seen steady orders since the middle of January. Dell grew 28 per cent in unit terms last year on the mainland, about 5 per cent of its global business.