Press Release

STAMFORD, Conn., August 21, 2008 View All Press Releases

Gartner Says Worldwide Server Shipments Grew 12 Percent While Revenue Grew Almost 6 Percent in Second Quarter of 2008

Worldwide server shipments for the second quarter of 2008 increased 12.2 percent over the same quarter last year, while worldwide server revenue for the same period climbed 5.7 percent according to Gartner, Inc. Worldwide server revenue totaled $13.8 billion for the second quarter, as worldwide servers shipments reached 2.3 million units.

"In spite of economic constraints in some markets like the United States, on a worldwide basis, servers continued to grow in the second quarter of the year,” said Jeffrey Hewitt, research vice president at Gartner. “The most significant driver in the quarter continued to be an upswing in x86 server replacements that started in the first quarter. This, coupled with Web data center build outs and growth in emerging markets, produced solid Q2 results.”

“RISC-Itanium Unix servers fell 7.9 percent in shipments but grew 9.4 percent in revenue indicating that higher-end systems were the hardware platforms that drove sales in this space,” Mr. Hewitt said.

IBM maintained the revenue lead in the worldwide server market for the quarter (see Table 1). It had solid increases in both its System p and System z brands which offset some revenue declines in its other brands. This produced a year-to-year revenue increase of 11.5 percent for the period and pushed IBM’s share up 1.6 percent. IBM’s overall revenue share lead over second-place HP was 3.6 percent for the quarter.

Dell and HP had revenue increases for the period. Fujitsu/Fujitsu Siemens and Sun both experienced revenue declines.

Table 1
Worldwide: Server Vendor Revenue Estimates, 2Q08 (U.S. Dollars)

Company

2Q08

Revenue

2Q08 Market Share (%)

2Q07

Revenue

2Q07 Market Share (%)

2Q07-2Q08 Growth (%)

IBM

4,315,049,933

31.2

3,870,937,408

29.6

11.5

Hewlett-Packard

3,811,555,998

27.6

3,703,108,934

28.4

2.9

Dell Inc.

1,795,295,686

13.0

1,561,405,756

12.0

15.0

Sun Microsystems

1,633,955,195

11.8

1,753,434,866

13.4

-6.8

Fujitsu/Fujitsu Siemens

492,821,856

3.6

493,498,046

3.8

-0.1

Other Vendors

1,761,944,639

12.8

1,678,799,374

12.9

5.0

Total

13,810,623,307

100.0

13,061,184,384

100.0

5.7

Source: Gartner (August 2008)

In server shipments, Hewlett-Packard grew 8.7 percent compared to the second quarter of 2007, and retained its worldwide server shipment lead. The share gap between it and second-place Dell decreased 3.4 percentage points for the quarter (see Table 2). HP finished the quarter with a 30.2 percent shipment share for the period. HP’s growth came from its ProLiant, HP Integrity and HP NonStop brands. HP pushed its blade server shipment share upward 3.6 percent to reach a total of 45.2 percent for the quarter.

Dell posted a 24.2 percent growth for the quarter. All the remaining global vendors, Fujitsu/Fujitsu Siemens, IBM and Sun all had shipment increases in the single digits for the period.

Table 2
Worldwide: Server Vendor Shipment Estimates, 2Q08 (Units)

Company

2Q08

Shipments

2Q08 Market Share (%)

2Q07

Shipments

2Q07 Market Share (%)

2Q07-2Q08 Growth (%)

Hewlett-Packard

706,724

30.2

650,371

31.2

8.7

Dell Inc.

577,163

24.7

464,650

22.3

24.2

IBM

308,835

13.2

295,088

14.1

4.7

Sun Microsystems

96,510

4.1

94,969

4.6

1.6

Fujitsu/Fujitsu Siemens

61,077

2.6

59,142

2.8

3.3

Other Vendors

590,732

25.2

522,442

25.0

13.1

Total

2,341,041

100.0

2,086,662

100.0

12.2

Source: Gartner (August 2008)

Additional information is available to subscribers of Gartner Dataquest’s Servers Quarterly Statistics Worldwide program. This program provides worldwide market size and share data by vendor revenue and unit shipments. Segments include: region, vendor, vendor brand, sub brand, CPU type, CPU group, Max CPU, platform, price band, operating systems and distribution channels.

 

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