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Last Updated : Mar 07, 2019 08:25 PM IST | Source: Moneycontrol.com

Global Server market continues to experience robust demand

According to IDC, vendor revenue in the worldwide server market increased 12.6 percent year-over-year.

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According to the International Data Corporation (IDCWorldwide Quarterly Server Tracker, vendor revenue in the worldwide server market increased 12.6 percent year over year to $23.6 billion during the fourth quarter of 2018 (Q4 FY18 ). Worldwide server shipments increased 5.0 percent year over year to just under 3.0 million units in Q4 FY18.

The overall server market continues to experience robust demand with Q4 FY18 marking the fifth consecutive quarter of double-digit revenue growth and its highest total revenue in a single quarter ever. Volume server revenue increased by 17.8 percent to $19.0 billion, while midrange server revenue grew 30.3 percent to $2.5 billion. High-end systems declined 28.3 percent to $2.1 billion.

"Reduced demand from hyperscale companies created downward pressure on worldwide server market growth rates during the quarter," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies at IDC. "This was offset by increased server sales to enterprise customers and higher average selling prices (ASPs). Enterprises are buying richly configured servers to support resource intensive workloads, resulting in higher ASPs and pushing revenue growth higher than growth from unit shipments."

On a geographic basis, Asia/Pacific (excluding Japan) was the fastest growing region in Q4 FY18 with 25.5 percent year-over-year revenue growth.

Tied for the number one position in the worldwide server market during Q4 FY18 were Dell and HPE/New H3C Group. IBM was the third-ranked server supplier during the quarter.
First Published on Mar 7, 2019 08:25 pm
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