Eastern ODMs take bite out of server market

hp_serversUnless you are HPE, everyone appears to be doing well out of the global server market,  but it seems that the Asian ODMs such as Quanta and Wistron are continuing to bite out a larger share of the global server market.

According to beancounters at Gartner’s the global server market grew 8.2 percent in shipments and 9.2 percent in revenues in the fourth quarter on an annual comparison.

Those outside the top five saw revenues beef up 18.9 percent to $4.75 billion and shipments increase 16 percent to 1.26 million in Q4.

Between them they have between 31.4 and 42.5 percent of the market in revenue and shipment terms, respectively.

Jeffrey Hewitt, research vice president at Gartner said that this demonstrates that the growth of hyperscale datacentres, like those of Facebook, Google and Microsoft, continues to be the leading contributor to physical server increases globally.

Meanwhile Market leader HPE’s shipments were hit by global weakness in Windows-based x86 servers, while its revenues were affected by a drop in RISC/Itanium Unix server sales.

HPE’s share of server revenues dropped from 27.9 to 25.2 percent however it is still  10 points ahead of closest rival Dell, which grew revenues 4.5 percent. IBM grew revenues 10.3 percent, Lenovo 2.9 percent and Cisco 20.2 percent.