Dell makes huge gains in server market

Dell’s enterprise strategy is bearing fruit after the company grew server revenues by a fifth in the last quarter.

Dell makes huge gains in server market

Although it still holds the number four position in the market, Dell experienced the most robust growth of any leading vendor in Q2 with revenue increasing 20%, an encouraging statistic when placed next to the 6.4% and 8% growth of market leaders IBM and HP.

The server market in general is enjoying a purple patch, this being its fifth consecutive quarter of positive revenue growth and the highest Q2 server revenue since the market peaked in 2000.

Overall the market grew 6.3% to $13.1 billion, buoyed, according to analysts IDC, “by an improved refresh cycle and an expansion of new distributed computing workload deployments across the market.”

“The server market not only continues to experience solid growth, but revenue growth has accelerated over the past seven quarters. Although x86-based systems are once again the primary driver for overall market growth, continued growth in other market segments demonstrates that a single standardised infrastructure is not capable of meeting the full range of needs in today’s modern enterprise,” says Matt Eastwood, group vice president of Enterprise Platforms at IDC.

“Enterprise customers of all types continue to focus on driving business growth. This growth drives new computing demands, which increasingly require both scale-up consolidated systems and scale-out distributed configurations to meet very different workload needs in today’s enterprise.”

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