May 31st, 2018 by Adam Armstrong
IDC Releases Its 1Q18 Worldwide Server Tracker; Dell EMC Keeps Top Spot
International Data Corporation (IDC) ran its quarterly Worldwide Server Tracker for the first quarter of this year. It is looking to be a good year to be a server vendor with the numbers looking up. Dell EMC is having a particularly good go, expanding their lead, in both revenue and units shipped, in the server market.
The server market is still strengthening, now for its third consecutive quarter. Total vendor revenue whet up 38.6% year over year to $18.8 billion. Shipments are also up, 2.7 million units this quarter or up 20.7% from this time last year. Volume server revenue was up 40.9% to $15.9 billion, while midrange server revenue grew 34% to $1.7 billion. High-end systems grew 20.1% to $1.2 billion.
This marks the highest first quarter revenue on record. The market has changed, adding strong demands for servers for cloud service providers, software-defined infrastructure, deployments of next-generation workloads, not to mention the need for refreshing and taking advantage of the new CPUs. The average selling price for the servers is up as well as component parts go up and the servers themselves become more complex and richer in configuration.
As stated, Dell EMC is expanding its top spot (though it is technically, statistically tied with HPE on revenue). Dell EMC now makes up 19.1% of the total market revenue with 50.6% growth in revenue year over year. For units shipped, Dell EMC is also in the lead with 20.6% market share after seeing 18.9% growth from this time last year. Dell EMC has shipped over half a million units this quarter.