Worldwide server revenue grew 17.8% in the fourth quarter of 2018

In Q4 2018, worldwide server revenue grew 17.8%, while shipments increased 8.5%, according to Gartner’s worldwide server market results.

Worldwide server shipments also grew 13.1% and server revenue increased 30.1% compared with full-year 2017.

“Hyperscale and service providers continued to increase their investments in their data centres (albeit at lower levels than at the start of 2017) to meet customers’ rising service demand, as well as enterprises’ services purchases from cloud providers,” said Kiyomi Yamada, senior principal analyst at Gartner. “To exploit data centre infrastructure market disruption, technology product managers for server providers should prepare for continued increases in server demand through 2019, although growth will be a slower pace than in 2018.”

“DRAM prices started to come down, increasing demand for memory-rich configurations to support emerging workloads such as artificial intelligence (AI) and analytics kept buoying server prices. Product managers should market higher memory content servers to take advantage of DRAM oversupplies.”

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According to Gartner, Dell EMC ended 2018 with a 20.2% market share, securing the top spot in the worldwide server market. Hewlett Packard Enterprise (HPE) followed in second place with 17.7% of the market.

Huawei experienced the strongest growth in the quarter, growing 45.9%.

In server shipments, Dell EMC maintained the top position in the fourth quarter of 2018 with a 16.7% market share. HPE secured the second spot with 12.2% of the market. Both Dell EMC and HPE experienced declines in server shipments, while Inspur Electronics experienced the strongest growth with a 24.6% increase in shipments in the fourth quarter of 2018.

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Andrew Ross

As a reporter with Information Age, Andrew Ross writes articles for technology leaders; helping them manage business critical issues both for today and in the future

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