FRAMINGHAM, MA – Vendor revenue in the worldwide server market grew 19.8% year-over-year to $24 billion during the second quarter, according to International Data Corp.
Worldwide server shipments grew 18.4% year-over-year to nearly 3.2 million units.
In terms of server class, volume server revenue was up 22.1% to $18.7 billion, while midrange server revenue declined 0.4% to about $3.3 billion, and high-end systems grew 44.1% to $1.9 billion.
"Global demand for enterprise servers was strong during the second quarter of 2020," said Paul Maguranis, senior research analyst, Infrastructure Platforms and Technologies at IDC. "We certainly see areas of reduced spending, but this was offset by investments made by large cloud builders and enterprises targeting solutions that support shifting infrastructure needs caused by the global pandemic. Investments in Asia/Pacific were also particularly strong, growing 31% year-over-year."
The worldwide server market ended the second quarter with a statistical tie between HPE/New H3C Group and Dell Technologies for the number one position. HPE/New H3C Group finished the quarter with market share of 14.9%, while Dell captured a 13.9% share of worldwide revenues. Inspur/Inspur Power Systems took third place with 10.5% share and 77% year-over-year growth. Lenovo and IBM tied for fourth with 6.1% and 6% share, respectively. The ODM Direct group of vendors accounted for 28.8% of total server revenue at $6.9 billion, with year-over-year growth of 63.4%, and delivered 34.4% of all units shipped during the quarter.
On a geographic basis, the Asia/Pacific region grew at a combined 31%. China outperformed the competitive set, growing 39.8% year-over-year, followed by Japan at 24.9%, and the rest of the region (Asia/Pacific excluding Japan and China) at 13.4%. The US also grew 25% year-over-year, while Canada declined 11.2%. Latin America was able to grow 15.6%, while Europe, the Middle East and Africa (EMEA) declined 5.8%.
Revenue generated from x86 servers increased 17.4% in the second quarter to $21.6 billion. Non-x86 servers grew revenues 47.4% year-over-year to about $2.4 billion.