Gartner Says Server Shipments in EMEA Grew 9 Percent in the Second Quarter of 2006

Egham, U.K., , August 25, 2006 — Europe, Middle East and Africa (EMEA) server shipments in the second quarter of 2006 increased 9 percent over the same quarter last year, while server revenue declined by 0.1 percent, according to Gartner, Inc. Server revenue totaled $3.9 billion for the quarter and server shipments reached 585 thousand units in EMEA.

“The two server categories that showed the strongest shipment growth were x86 and blade servers, which grew 10.4 percent and 61.4 percent respectively,” said Adrian O'Connell, principal research analyst at Gartner. “RISC-Itanium servers had a difficult quarter with shipments decreasing 3.1 percent and revenue dropping 5.1 percent.”

Geographically, Eastern Europe saw its server revenue increase by 1 percent, while server revenue in Western Europe grew at under 0.5 percent. With revenue declining by 6 percent, the Middle East & Africa region was the weakest performer in the second quarter of 2006.

Based on server shipments, Hewlett-Packard was the No.1 vendor with shipments reaching 223.8 thousand units. “This quarter has been a very interesting one with some head to head battles taking place at both ends of the market. Since last quarter, IBM took the second position from Dell, with just over 1,000 units separating the two vendors. Sun also reduced its shipments gap with Fujitsu Siemens getting closer to the fourth position,” said Mr O’Connell.

Hewlett- Packard declined 0.1 percent in revenue share year on year, but retained its leading position in the market with a 32 percent market share of the total EMEA server revenue market. IBM remained in second position narrowing the gap between itself and Hewlett-Packard. IBM’s server revenue increased in the second quarter of 2006 by 1.7 percent compared to the same period last year. “Dell and Sun had the highest server revenue growth this quarter,” added Mr O’Connell.

Table 1
EMEA: Server Vendor Revenue Estimates for Second Quarter of 2006 (U.S. Dollars)

Company	2Q06  Revenue	2Q06 Market Share (%)	2Q05 Revenue	2Q05 Market Share (%)	2Q05-2Q06 Growth (%)
Hewlett-Packard	1,262,159,584	32.3	1,263,009,304	32.3	-0.1
IBM	1,161,149,610	29.7	1,142,022,630	29.2	1.7
Sun Microsystems	556,892,410	14.2	513,274,058	13.1	8.5
Dell, Inc.	334,120,909	8.5	300,065,950	7.7	11.3
Fujitsu/Fujitsu Siemens	253,952,200	6.5	297,965,851	7.6	-14.8
Other Vendors	342,627,529	8.8	398,004,654	10.2	-13.9
Total	3,910,902,242	100.0	3,914,342,447	100.0	-0.1

Source: Gartner Dataquest (August 2006)

Table 2
EMEA: Server Vendor Shipments Estimates for Second Quarter of 2006 (Units)

Company	2Q06 Shipments	2Q06 Market Share (%)	2Q05 Shipments	2Q05 Market Share (%)	2Q05-2Q06 Growth (%)
Hewlett-Packard	223,872	38.2	193,849	36.1	15.5
IBM	101,551	17.3	96,165	17.9	5.6
Dell Inc	100,400	17.1	93,400	17.4	7.5
Fujitsu/Fujitsu Siemens	33,575	5.7	31,875	5.9	5.3
Sun Microsystems	30,139	5.1	30,537	5.7	-1/3
Other Vendors	95,916	16.4	91,141	17.0	5.2
Total	585,453	100.0	536,967	100.0	9.0

Source: Gartner Dataquest (August 2006)

Contacts:


Laurence Goasduff
Gartner
+ 44 1784 267 195
laurence.goasduff@gartner.com

Carina Forsling
Gartner
+46 8 624 6324
carina.forsling@gartner.com


About Gartner:
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