Close
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Menu
Search
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Applications
    • Applications
    • Cloud
    • Networking
    • Storage

    Cisco, Fujitsu See Server Shipments Grow in Weak Q1, Gartner and IDC Say

    By
    Jeff Burt
    -
    May 31, 2012
    Share
    Facebook
    Twitter
    Linkedin

      Cisco Systems and Fujitsu were among the few bright spots in a worldwide server market that saw shipments increase slightly in the first quarter while revenues fell, according to market research firms IDC and Gartner.

      Analysts from both firms pointed to anticipated upgrades in x86 systems€”based on Intel€™s new Xeon E5 processors, launched in March€”as a key contributing factor in the quarterly numbers, with businesses holding off on purchases until the new servers became available. In addition, the strong server numbers from 2011 made the numbers in the first quarter this year look especially weak in comparison, they said.

      “The server market worked through a transitional period in the first quarter of 2012 as suppliers prepared to introduce numerous critically important x86 server offerings,€ Matt Eastwood, group vice president and general manager of enterprise platforms at IDC, said in a statement. €œAt the same time, difficult year-over-year compares helped distort some results across other segments of the market.”

      For the quarter, IDC said in a May 30 report that global server revenues fell 2.4 percent, to $11.8 billion€”marking the second consecutive quarter of revenue decline€”while shipments rose 2.7 percent, to 2 million units. Gartner€™s numbers were similar, with revenues falling 1.8 percent, to $12.4 billion, and shipments growing 1.5 percent, to 2.3 billion units.

      In shipments, the top three vendors€”Hewlett-Packard, Dell and IBM€”all saw declines in comparison with the first quarter in 2011, according to IDC. However, both Fujitsu€”at No. 4€”and fifth-place Cisco saw shipments increase, with Cisco€™s shipments jumping 70.9 percent, from 23,690 units to 40,498, according to Gartner. Cisco joined the server crowd in 2009, when it launched the Unified Computing System (UCS), a converged data center solution that includes not only Cisco networking technology, but also Cisco-branded servers.

      Cisco executives in March unveiled UCS 3.0€”including new servers powered by Intel€™s Xeon E5-2600 chips€”and said that the company had more than 11,000 UCS customers and a revenue run rate of $1.3 billion.

      Regarding revenues, IDC and Gartner said the top four vendors€”HP, IBM, Dell and Oracle€”saw declines in the quarter. Only Fujitsu, at No. 5, had revenue growth, jumping 7.3 percent. Gartner had Fujitsu€™s revenue growth at 4.5 percent. Gartner analysts said HP saw revenue declines in both its x86-based ProLiant and Itanium-based Integrity lines.

      According to Kuba Stolarski, research manager for enterprise servers at IDC, the ongoing debate between HP and Oracle over the fate of Itanium€”Intel€™s high-end non-x86 platform that powers HP€™s high-end Integrity and NonStop systems€”played a role.

      “The Unix server refresh has largely ended as the Unix server market is in decline again, driven by workload consolidation and migration to competing platforms,” Stolarski said in a statement. “Recent heightened awareness of the future of Itanium is also pressing down on customer demand for non-x86 servers, and price competition is helping to drive down revenues in this segment. IDC expects the Unix server market to stabilize over the next few years and remain a smaller, specialized segment of the overall server market.”

      Despite the market anticipation of Intel€™s Xeon E5-2600 processors, Gartner and IDC both said the x86 server segment saw some growth in both revenues and shipments.

      Jeff Burt
      Jeffrey Burt has been with eWEEK since 2000, covering an array of areas that includes servers, networking, PCs, processors, converged infrastructure, unified communications and the Internet of things.

      MOST POPULAR ARTICLES

      Android

      Samsung Galaxy XCover Pro: Durability for Tough...

      Chris Preimesberger - December 5, 2020 0
      Have you ever dropped your phone, winced and felt the pain as it hit the sidewalk? Either the screen splintered like a windshield being...
      Read more
      Cloud

      Why Data Security Will Face Even Harsher...

      Chris Preimesberger - December 1, 2020 0
      Who would know more about details of the hacking process than an actual former career hacker? And who wants to understand all they can...
      Read more
      Cybersecurity

      How Veritas Is Shining a Light Into...

      eWEEK EDITORS - September 25, 2020 0
      Protecting data has always been one of the most important tasks in all of IT, yet as more companies become data companies at the...
      Read more
      Big Data and Analytics

      How NVIDIA A100 Station Brings Data Center...

      Zeus Kerravala - November 18, 2020 0
      There’s little debate that graphics processor unit manufacturer NVIDIA is the de facto standard when it comes to providing silicon to power machine learning...
      Read more
      Apple

      Why iPhone 12 Pro Makes Sense for...

      Wayne Rash - November 26, 2020 0
      If you’ve been watching the Apple commercials for the past three weeks, you already know what the company thinks will happen if you buy...
      Read more

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2021 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×