Server brand vendors and ODMs are mainly purchasing their components in three business styles: buy and sell, direct sourcing and direct buying and Taiwan-based component makers are a key part of the server supply chain and have acquired an important position in the industry.
For key components such as the CPU and baseboard management controller (BMC), brand vendors usually assign a specific supplier, while suppliers of passive components can be decided by ODMs themselves, according to Digitimes Research's latest report about servers.
Other key server components include power ICs, connectors, hard disk drives (HDD), cooling modules, power supplies, chassis, PCBs and slide rails. Except for CPUs, power ICs and HDDs, Taiwan-based suppliers hold a significant influence in all of these component industries.
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