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HPE sells twice as many enterprise servers as its old rival Dell

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November 21, 2016

We just learned today that HPE is selling almost twice as many enterprise servers than its oldest competitor, Dell.

According to the publication The Next Platform, servers are the key component of HPC systems, and therefore the sale of servers into the HPC segment is a good omen for the company.

In the first half of this year, HPC centres of all shapes and sizes bought about $5.2 billion of units, with about $1.6 billion of that being allocated for supercomputers, which in the IDC categorization of systems are for servers that cost in excess of $500,000 each.

IDC has produced supercomputer market shipping statistics for the first half of 2016 and its table of revenue share by vendor confirms that HPE is at the top of the list:

  • HPE – $446,081,000
  • Wuxi – $300,000,000
  • Dell – $224,170,000
  • Lenovo – $142,725,000
  • Cray – $130,840,000
  • IBM – $110,657,000
  • Fujitsu – $51,119,000
  • SGI – $34,262,000
  • Bull – $19,485,000
  • NEC – $17,000,000
  • Other – $114,750,000
  • Grand Total – $1,602,259,000
  • If we add SGI revenues to HPE’s we simply get $480,343,000, which makes HPE more than twice as large as Dell in that segment.

    IDC’s overall global server supplier revenue market share numbers also reveal that HPE is comfortably ahead of Dell.

    In the second 2016 quarter, HPE had a 25.4 percent market share with $3.4 billion in sales. Dell was second with $2.6 billion in sales and a 19.3 percent market share. No other supplier was in the double-figure market share percentage area, however.

    Between those two firms, HPE and Dell dominate global server sales, but the overall ODM sector is growing faster (13 percent year over year) than HPE and Dell.

    And what about Cisco? Well IDC says Cisco had a 6.4 percent revenue share but it shrank at 0.7 percent in that quarter.

    Somehow this dimming company has not lived up to its earlier promise with its UCS servers, and it needs to rediscover its server momentum. Some IT server market observers still doubt that Cisco will ever be in the top three vendors, however. Time will tell.

    Source: IDC Market Research.


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