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IBM, HP dominate server market

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IBM squeaked by Hewlett-Packard to maintain its top position in worldwide server revenue during the first quarter this year, according to a new report.

Technology research firm Gartner said today, while both companies relied on an x86 server sales rebound from the fourth quarter of 2006, IBM enjoyed a 14.3 per cent boost of its high-end Unix servers from the same quarter last year.

Gartner Veep Jeffrey Hewitt said overall x86 server sales took a hit in the fourth quarter of 2006 due to lengthy sales cycles, following a period of rapid technology transition.

“As we had predicted, this constraint was less about virtualization and was only a temporary issue as evidenced by the fact that this part of the market returned to growth in the first quarter," Hewitt said.

Dell, Sun and Fujitsu rounded out the major players in server revenue during the first quarter.

  1. IBM: $3.83bn Q1 revenue, 29.8 per cent market share
  2. HP: $3.64bn Q1 revenue, 28.8 per cent market share
  3. Dell: $1.44bn Q1 revenue, 11.2 per cent market share
  4. Sun: $1.37bn Q1 revenue, 10.3 per cent market share
  5. Fujitsu: $698m Q1 revenue, 5.4 per cent market share

From the fourth quarter 2006, IBM's revenue increased 8.4 per cent; HP, 5.4 per cent; Dell, 10.3 per cent; Sun, 2.2 per cent; and Fujitsu suffered a 7.7 per cent market share loss.

Worldwide server revenue totaled 12.9 billion for the quarter, climbing 4.5 per cent over the same quarter last year.

HP remained on top in terms of server unit shipments, with almost 634,000 units sent out during the first quarter. The company took 30 per cent of market shipments, the largest slice of the pie its had since 2002.

Dell took second place with nearly 446,850 shipped, claiming 21.1 per cent of server shipments.

IBM remains in third with 295,175 units. Shipments slipped 1.1 per cent from last quarter. IBM's share during the quarter was 14 per cent.

Fujitsu shipped about 81,000 units for 3.8 per cent of the market, and Sun shipped 79.000 units for 3.7 per cent.

Worldwide server shipments for the first quarter of 2007 increased 6 per cent over the same quarter last year, totaling over 2.1 million units. ®

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Latest Comments

Mainframes used to just be called COMPUTERS !!

Some of us still remember a time before the PDP-8. When MINIcomputers arrived, mainframes then became known as MAINFRAMES to distinguish themselves from their smaller, departmental brethren.

When MICROcomputers arrrived, there was an 8-bit/ 16-bit / 32-bit breakdown, but nothing was called a SERVER until the early 80's and the early networking involved user PCs which became called CLIENTS in the early CLIENT-SERVER architectures. Prior to this period, TERMINALS talked to the computer, and there was no concept of a "client."

This is when APPLICATIONS began running on SERVERS (where previously they just did file and print duty.) Netware ran code as "loadable modules" but it was NT that really sealed the deal.

This well predates the ISeries and pSeries, and Zseries.

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Anonymous Coward

Mainframes are servers too!

If a mainframe isn't a server what is it? I pretty much think that they have always been called servers, and so have their iSeries and pSeries boxes.

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Servers, anyone ??

Excuse me ?? This is the SERVER market !!! How many people buy Apple SERVERS ??

Interesting that HP seems to SHIP more and IBM has greater revenue. I guess IBM charges more for their servers. Then again, I guess they call mainframes servers these days as well.

I'd sure like to see this broken out by platform.

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