The IDC report on server market for the 1st quarter of 2019 Dell, HP fall, Inspur is growing

DC released its quarterly report on the server market for Q1 2019. Total revenue for the market grew 4.4% year-on-year, but unit shipments declined 5.1%, meaning that 140,000 fewer servers were sold in Q1 2019 than last year.

Table 1. Revenue in annual terms

This is healthy growth, but by no means striking. Dell Technologies took the top spot, ahead of HPE by 13.5%. Cell Technologies ' revenue growth is about twice as fast as the market average, while Hewlett Packard Enterprise has almost no growth. HPE's performance is actually down from last year's quarter, adjusted for inflation, which IDC does not take into account.

Inspur grew by 36.4% compared to last year,which is the highest rate and eight times higher than the market average. Cisco was also above its average. Lenovo grew by 3.9%, which is close to the market growth rate.

Table 2. Shipments of servers in a numeric expression

Inspur is the only company to show a phenomenal 17% increase in shipments relative to the market, while the first two manufacturers, Dell and HPE, experienced a significant decline in sales. Attention is drawn to the dynamics of Huawei, whose decline was below the market.

It is possible that sales sank due to failures in the shipment of updated Intel Xeon Scalable server processors, announced in April this year, but much more interesting is the growth of shipments from Inspur. In numerical terms, this manufacturer came out for 5%, ahead of Lenovo and Huawei. In particular, the Apple data center works on Inspur equipment.

Ron Amadeo
06/06.2019