Wednesday, December 12, 2018

IDC: Worldwide server market revenue surged 37.7% in Q3

Vendor revenue in the worldwide server market increased 37.7%, year over year to $23.4 billion during the third quarter of 2018 (3Q18) and worldwide server shipments increased 18.3% year over year to 3.2 million units, according to IDC Worldwide Quarterly Server Tracker. 

"The worldwide server market once again generated strong revenue and unit shipment growth due to an ongoing enterprise refresh cycle and continued demand from cloud service providers," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies at IDC. "Enterprise infrastructure requirements from resource intensive next-generation applications support increasingly rich configurations, ensuring average selling prices (ASPs) remain elevated against the year-ago quarter. At the same time, hyperscalers continue to upgrade and expand their datacenter capabilities."

Some highlights from IDC:

  • Demand for x86 servers increased 41.0% in 3Q18 to $21.8 billion in revenues. Non-x86 servers grew 3.9% year over year to $1.6 billion.
  • Volume server revenue increased by 40.2% to $20.0 billion, while midrange server revenue grew 39.4% to $2.0 billion. High-end systems grew 6.9% to $1.3 billion.
  • On a geographic basis, Asia/Pacific (excluding Japan) was the fastest growing region in 3Q18 with 46.5% year-over-year revenue growth. The United States grew 43.7% in the quarter while Europe, the Middle East and Africa (EMEA) grew 24.5%, Canada grew 20.0%, Japan grew 14.0%, and Latin America grew 7.7%. China saw its 3Q18 vendor revenues grow 67.1% year over year.

See also