Aug 29, 2003 : IDC: Server Market Rebounded in Q3 2003

📅 August 29, 2003 - The end of a nine-quarter decline in the worldwide server systems market indicates that IT infrastructure spending could be on the rise, according to research firm IDC (idc.com).

The company said that server unit shipments during the third quarter of 2003 rose a dramatic 17.5% to more than 1.2 million units, "clearly demonstrating that average sales prices in the worldwide server market have continued to slide."
IDC said IBM reclaimed top spot fin the worldwide server systems market with 30.4% market share in factory revenue and 10% year on revenue growth, followed by HP. However, IDC said HP continued to lead in factory revenue in the Linux and server market segments. Sun and Dell followed in third and fourth spots respectively.
"The fact that this nine-quarter decline in worldwide server revenues has finally come to a halt could signal that IT managers are once again investing in IT infrastructure build-out on a worldwide basis," said Jean S. Bozman, research vice president of global enterprise server solutions at IDC. "Although it's too soon to declare a rebound in the server market, it looks like new IT buying patterns are overtaking old ones."
IDC said the growth reflects continued momentum in small and medium-sized business segments, as well as demand in departmental and workgroup environments in larger enterprises. The company also said it reflects the "slow but steady" replacement of servers purchased in the 1999 and 2000 timeframe during the industry's last boom.