Server shipments continue to rise

HP and IBM vie for market dominance

Server shipments worldwide increased 7.6 per cent in the first quarter of 2008 compared with the first quarter of last year, while worldwide server revenue for the same period climbed 4.3 per cent, according to Gartner.

Worldwide server revenue climbed $13.6 billion for the quarter, as worldwide server shipments reached just below 2.3 million units.

"There were a number of dynamics that affected the market to produce an initial quarter of growth for 2008," said Jeffrey Hewitt, research vice president at Gartner.

"For example, x86 server replacements were on an upswing as the year commenced, we continued to see build outs of large Web data centres, and emerging-market growth forged ahead."

"RISC-Itanium Unix servers fell in shipments but showed a small amount of growth in revenue," Hewitt noted. "In this segment, shipments fell 8.4 per cent while revenue grew 3.7 per cent for the quarter."

Hewlett-Packard and IBM continued to vie for market leadership in the worldwide server market based on revenue. HP took the overall revenue share lead over IBM by a narrow 0.7 per cent.

Dell, Fujitsu/Fujitsu Siemens, and IBM had revenue growth for the period at 6.6 per cent, 4.9 per cent and 2.1 per cent respectively. Sun was the only global vendor not to have server revenue growth -- it had a slight decline at just under one per cent.

Len Rust is publisher of

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Len Rust

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