There is a really strong demand for the hyperscale area in the United States, which is driving the growth we are seeing. Hyperscale is a term that describes the systems that use thousands of servers to provide power to cloud and big data infrastructures. Every form factor is in more demand too, including rack-optimized, blade, density-optimized, and tower servers.
Hewlett-Packard was the number one vendor in revenue and in volume, closely followed by Dell in the number two spot. Hewlett-Packard rack-optimized servers are in very high demand at the moment. Even though their server business is pretty small compared to everything else they offer, they experience a huge amount of revenue growth compared to this time last year.
Dell is kind of in the same boat. They had increased revenue and shipments but were not able to keep up with the rest of the market. Dell's share of revenue and shipments both slipped by just under 1 percentage point leaving them at 17.1% and 19%. They did, however, see revenue growth in rack-optimized products and density-optimized servers as well.
While HP and Dell led the market by both revenue and shipments, product mix led to some differences between the rest of the top five rankings by revenue and shipments. IBM had the third-largest server revenue, followed by Lenovo and Cisco Systems, while Lenovo was third by server shipments, ahead of Huawei Technologies and Inspur Electronics. Lenovo and IBM's numbers were also of course affected by Lenovo's acquisition of IBM's x86 server business.
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Cisco has a revenue growth of 44.4% from last year which is way above average. Their blade server business is also growing and getting more revenue from blade servers than every company on the list besides Hewlett-Packard.
It's good to see the server industry see growth. Cloud computing has driven business in other sectors of technology and the server industry was definitely in need of a pick-me-up.
Content originally published here