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Anaemic hyperscale orders hurt server makers in Q1

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Jeff Bautista
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Pump down the volume

A pause in hyper-scale deployments has triggered the first year-on-year decline in seven quarters for global server shipments and revenues.

In essence, Q1 2015 revenues were flattered by a major IBM System z upgrade – which sparked a big customer refresh.

IDC breaks down the rest of the global server market – about 32 per cent by revenue – into ODM Direct seven per cent share and revenues down 11 per cent and Others 24.9 per cent .

Others is where the giant cloud service providers live as well as fast growing Chinese server makers Inspur and Huawei.

This may be the reason for the nine per cent uptick in revenue growth in the quarter, despite the hyperscale sales sluggishness.

Despite Q1, hyperscale deployments are the future for most server makers.

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Jeff Bautista
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