UPDATED 21:11 EDT / SEPTEMBER 12 2017

INFRA

It’s not much, but global server sales are actually rising

Chinese companies appear to be winning out against their U.S. rivals in the server market, if analyst firm Gartner Inc.’s second-quarter report is on the mark.

Gartner said global server revenue climbed 2.8 percent from a year ago, to $13.93 billion, with shipments rising by 2.4 percent, to 2.82 million units. Those statistics suggest that average price per box has also risen a bit.

Jeffrey Hewitt, research vice president at Gartner, attributed the growth to two main factors: “The first is strong regional performance in Asia Pacific because of data center infrastructure buildouts, mostly in China. The second is ongoing hyperscale data center growth.”

Although Hewlett Packard Enterprise Co. saw a decline of 9.4 percent in sales, it was the biggest server maker in terms of revenue, pulling in $3.35 billion. The company shipped 483,000 units in the quarter, representing a decline of 8.7 percent from a year ago.

Dell Technologies Inc. remained in second place with revenues of $2.77 billion, up 7 percent, on sales of 492,000, down 6.9 percent. IBM Corp. retained third place, though its revenues crashed by 21.5 percent to just $962.2 million. Cisco Systems Inc. meanwhile, held on to fourth spot with revenues of $866.4 million.

The best performer by far, however, was China’s Huawei Technologies Co. Ltd., which landed in fifth place with revenues of $845.5 million, a massive 57.8 percent increase from its performance one year ago. In terms of shipments, Huawei rose 26 percent to 176,400 units shipped.

gartner-server-market

Other Chinese firms lumped together in Gartner’s “Others” category also did well. Those server makers, which sell generic boxes directly to hyperscale Internet firms such as Google Inc. and Facebook Inc., saw revenues grow by 10 percent to $5.82 billion, which means they control a massive 40 percent slice of the overall market. Shipments from these companies were also up 13.6 percent, to 1.357 million units.

Image: WerbeFabrik/Pixabay

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