IBM server market share dips to 23.6%, HP ups to 25.4% in second quarter

IBM server market share has decreased to 23.6 percent in Q2 2014 from 27 percent in Q2 2013, while its rival HP enhanced share to 25.4 percent from 25 percent, said IDC.

IDC Worldwide Quarterly Server Tracker said Dell server market share dipped to 16.6 percent from 18.2 percent.

Oracle server market share increased marginally to 5.9 percent from 5.8 percent.

Cisco server market share increased to 5.8 percent from 4.4 percent, said IDC.

Server market share chart by IDC

Factory revenue in the worldwide server market increased 2.5 percent to $12.6 billion in the second quarter of 2014.

Server unit shipments enhanced 1.2 percent to 2.2 million units.

IDC noted investments in hyperscale datacenter capacity were largely offset by consolidation, which continued to be a strategic focus for many large and small customers.

IDC report on server vendors

HP’s 4 percent revenue growth included improving demand for x86-based ProLiant servers and continued weakness in Itanium-based Integrity server revenue.

Demand for IBM’s Power -based systems declined sharply in advance of a significant technology refresh.

Dell worked to re-align its PowerEdge server business with its solutions selling strategy.

Server revenue market share chart by IDC

Additionally, IDC expects this refresh cycle will continue well into 2015 and be accelerated by Microsoft’s announcement that it is ending support for Windows Server 2003 coupled with Intel’s release of the Grantley Xeon EP and a significant number of related server platform announcements.

There will be early stage enterprise investment in 3rd Platform workloads that leverage Webscale architectures typically seen in hyperscale environments. IDC said these workloads will drive additional interest in software-defined environments that will further enhance the need for servers.

Baburajan K
[email protected]