Systems

IBM Takes Server Market Leadership

Steals number 1 spot from HP, according to Gartner

By Traian Teglet, Technology News Editor

7th of July 2008, 14:18 GMT

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According to the research and advisory firm Gartner, IBM has managed to take the lead in the server market. IBM's success marks the company's victory against competitor HP, which earlier this year was reported to have claimed the leadership precisely in the same segment of the market. These recent rankings are based on the revenues of several companies, meaning that the leading company - IBM, in this case - has recorded the highest number of units sold, as compared with its direct

competitors.

Gartner's Q1 results were initially published in May and showed that the worldwide server market registered a 4.3 percent increase in revenue, as compared with the same period last year. This means that people have become increasingly interested in and actually in need of these business-oriented products. As technology advances, server systems are required to take on various aspects of a company's technology-related tasks. Because their marked tendency of becoming cheaper than previous models, some server systems record an impressive boost in the number of units sold.

Just recently, the research firm was prompted to revise the initial numbers, to just 2.5 percent for the first quarter, after some new findings came to light. According to the updated data, IBM accounted for 29.4 percent of revenue in the first quarter of this year. The same statistics show that HP became the number two vendor, closely following IBM with a 28.3 percentage.

"Based on updated guidance and additional analysis of the data, we have revised the revenue statistics for the first quarter of 2008," said Jeffrey Hewitt, research vice president at Gartner. "We commented in the previous release that HP and IBM continue to vie for market leadership in the worldwide server market based on revenue. This is still the case, but the updated data shows that IBM maintained the number-one vendor position in worldwide server revenue in the first quarter of 2008," he added.

According to Gartner's research, IBM and HP are currently the two main competitors on the server market. These two systems' vendors have been disputing the leading position for quite some time now.

TAGS:

IBM | HP | server

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