The overall server market in India grew 0.3% on year to reach US$281.1 million in revenues in third-quarter 2020, thanks to demand from hyperscalers, according to IDC.

The x86 server market contribution had grown to 91.2% in terms of revenue, a growth of 5.9pp over last year's same quarter, said IDC. This contribution to the x86 market mainly came from professional services, telecommunications, and banking verticals.

In the professional services vertical, global hyperscaler spend was directed towards building infrastructure to support business continuity operations of end customers whereas telecommunication spend was seen towards building and modernizing their network. Banks continue to spend on compute, supporting the upsurge of digital transactions and ongoing digitalization projects, said IDC.

The x86 server market grew 7.3% on year to US$256.4 million in revenues in third-quarter 2020, with the growth largely coming from the custom-built server category with revenue growth of 18.3% on year, said IDC.

Hyperscalers were seen spending on infra to build capacity and expanding their datacenter footprint across various availability zones. The general-purpose server witnessed revenue growth of 4.5% due to the spending coming from very large customers across different industries.

The non-x86 server market declined by 40.1% on year to reach US$24.7 million in third-quarter 2020 revenues. IBM continued to dominate the market accounting for 74.4% of revenue share during the quarter with a revenue of US$18.4 million. Oracle came in second, followed by Hewlett Packard Enterprise (HPE) with revenue shares of 20.8% and 4.8% respectively.