TECH SUPPLIER Feb 2020 - Market Share - Doc # US45920719

Worldwide Server Market Shares, 3Q19: Demand for Enterprise Compute Is Near Historic Highs with a Shift Toward Smaller Form Factors

By: Paul MaguranisSenior Research Analyst, Infrastructure Systems, Platforms and Technologies, Sebastian LaganaResearch Manager, Infrastructure Systems, Platforms and Technologies Group, Greg MacateeResearch Analyst, Infrastructure Systems, Platforms and Technologies

Abstract

This IDC study provides a brief overview of the worldwide server market performance during the third quarter of 2019.

Vendor revenue in the worldwide server market declined 6.7% year over year (y/y) to $22.0 billion during the third quarter of 2019. Worldwide server shipments declined 3.0% year over year to just under 3.1 million units in 3Q19. In terms of server class, volume server revenue was down 4.0% to $17.9 billion, while midrange server revenue declined 14.3% to $3.0 billion and high-end systems contracted by 23.7% to $1.1 billion.

"While the server market did indeed decline last quarter, next-generation workloads and advanced server innovation (e.g., accelerated computing, storage-class memory, and next-generation I/O) keep demand for enterprise compute at near historic highs," said Paul Maguranis, senior research analyst, Infrastructure Platforms and Technologies at IDC. "In fact, 3Q19 represented the second-biggest quarter for global server unit shipments in more than 16 years, eclipsed only by 3Q18."


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