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Chinese server makers steal sales away from HP, Dell and others

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August 4, 2015

Market research firm Gartner says that Chinese server manufacturers such as Lenovo and even the Cloud are stealing sales away from HP, Dell and a few others. Even Taiwan OEMs are benefitting for now.

Gartner added that second quarter 2015 server shipments rose about eight percent year-on-year, but only Cisco benefitted from the rise, with the others seeing falling sales.

Just two market areas helped send server sales surging-– China and the public Cloud, with China taking twenty-six percent more, supplied by Chinese suppliers mostly.

It will be interesting to see what next year's numbers will be, but one thing is for sure: the race among various makers, especially in Asia is intensifying rapidly, and will probably continue to do so for the foreseeable future.

Little-known startup 'Inspur' had the biggest share of server sales in China, overtaking Dell.

Overall supplier shipment market shares were:

  • HP server ships sank 4 percent y-o-y
  • Lenovo/IBM market share declined to 7.9 percent from the 10.5 percent number a year ago
  • Cisco was up 11 percent, thought to be from enterprise sales against the other vendors
  • HP, Dell and IBM/Lenovo x86 server shipments were 4 percent down
  • Inspur's server shipments rose 51 per cent
  • Server shipments from Sugon rose 29 per cent
  • China_Vendor_Server_Ship_Shares_Q2cy2015
  • The server OEMs have not seen a Grantley-assisted uplift in sales, as QLogic's latest results testify.

    China takes in about 20 percent of total x86 server sales-- it was 11 to 12 percent in 2010.

    For their part, software-defined data centres are driving strong demand as well, and appear to be gaining somewhat in momentum.

    In the mean time, it will be interesting to watch the numbers from Supermicro when they come out at the end of the month. The company's numbers are expected to be up about 1.5 to 2 percent according to some analysts.

    Source: Gartner.

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