Global Server Revenue Declines; HP Still Leads

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Global server revenue declined 4.5 percent year-on-year while shipments fell 4.2 percent in the first quarter of 2017, market research firm Gartner said on Wednesday.

“Although purchases in the hyperscale data centre segment have been increasing, the enterprise and SMB segments remain constrained as end users in these segments accommodate their increased application requirements through virtualization and consider Cloud alternatives,” said Jeffrey Hewitt, Research Vice President at Gartner.

Hewlett Packard Enterprise (HPE) continued to lead in the worldwide server market based on revenue. The company posted more than $3 billion in revenue for a total share of 24.1 percent for the first quarter.

Dell EMC maintained the second spot with 19 percent market share. IBM with 6.6 percent market share stood third.

While Cisco with 6.6 per cent market share stood fourth in the global server market, Lenovo with 5.8 percent share stood fifth.

Dell EMC was the only vendor in the top five to experience growth in the first quarter of 2017, the findings showed.

In server shipments, Dell EMC secured the top spot with 17.9 percent market share. The company had a slight increase of 0.5 percent growth over the first quarter of 2016.

Despite a decline of 16.7 percent, HPE secured the second spot with 16.8 percent of the market.