HP overtook IBM in worldwide server revenues in the first quarter on the strength of its ProLiant sales and IBM customers waiting for refreshes of that vendor's Power and mainframe offerings, according to Gartner and IDC. Overall, the global server market grew in both revenues and shipments, the analyst firms said.
Hewlett-Packard grabbed the worldwide market share lead from IBM
in the first quarter as sales globally continue to rebound, according to market
research firms IDC and Gartner.
Both firms said HP saw server revenues jump while IBM
figures slid in the quarter.
HP and IBM were both helped
by increasing demand for their respective x86 servers, but IBM
was hurt by businesses waiting for refresh cycles in its Power and mainframe
businesses. IBM officials introduced their first
in February as the company looked to ramp up its competition
in the $14 billion Unix server market against HP and Oracle's Sun business.
More announcements are expected from IBM
later this year in both its Power7 and System z mainframe businesses.
Gartner, which published its numbers May 25, had HP revenues
growing 15.9 percent over the same period last year, while IBM
saw a 2.1 percent decline. IDC had HP
revenues jumping 16.3 percent, and IBM's
falling 1.4 percent.
Both analyst firms had the global server market growing at a
healthy pace. According to Gartner, worldwide server shipments grew 23 percent
over the first quarter in 2009, and revenue jumped 6 percent. IDC,
which released its numbers May 26, tagged revenue growth at 4.6 percent, to
$10.4 billion, and shipments increasing 23 percent, the fastest year-over-year
quarterly shipment growth in more than five years.
"We've seen a return to growth on a worldwide level, but
the market has not yet returned to the historical quarterly highs that were
posted in 2008, and there were some interesting variations in that growth,"
Gartner analyst Jeffrey Hewitt said in a statement. "Emerging regions that
were expected to grow, such as Asia/Pacific, forged ahead, while some mature
markets, such as the U.S., produced better-than-expected results, as other
countries and regions had a 'mixed bag' of results."
The x86 segment again was the fastest growing, the analyst
firms said, jumping 25.3 percent in shipment and 32.1 percent in revenue,
according to Gartner.
"The market recovery has been led by sharply higher demand for
x86 servers around the world as SMB and enterprise customers aggressively
refresh their infrastructures," IDC
analyst Matt Eastwood said in a statement. "IDC
expects the recovery to extend to Unix and mainframe platforms in the second
half of 2010 as the technology refresh extends from volume- to value-oriented
systems with somewhat longer planning horizons. It's also important to note
that we are in the middle of one of the sharpest periods of market inflection
in a decade and we expect significant shifts in technology usage and market
shares to occur as the recovery continues."
The high-end Unix server market saw revenues decline-29
percent, according to IDC, 27 percent,
Gartner said-due in large part to businesses waiting for the Power7 refresh
from IBM, which began midquarter, and HP's
new Integrity system powered by Intel's
latest Itanium 9300 chips
Businesses also had to wait for more details regarding Oracle's
acquisition of Sun Microsystems
"Challenges remain in this segment as the longer sales cycles
that we see for these platforms are currently compounded by significant product
refreshes for both IBM and HP," Gartner
analyst Adrian O'Connell said in a statement. "The integration of Sun into
Oracle is an additional factor that complicates current levels of demand. We
expect demand in this segment to improve during 2010, but the vendors in this
segment will be facing increasing challenges from Windows and Linux platforms."