Click on the reports to see the whole spiel but here are my key takeaways from their crunching of second quarter server revenues and unit shipments.
- Total worldwide server revenue flagged. The aggregate revenue across vendors was off 6.2 percent to $11.9 billion year over year, IDC said
- HP took it on the chin. Gartner said HP server revenue worldwide was off 17.5 percent to about $3.01 billion from $3.75 billion year over year and unit shipments off 13.6 percent to 586,857 from 678,963.
- Cisco soared. Albeit from a small base since Cisco(s csco) is newish to the market. Revenue rose 42.6 percent to $537 million from $376 million, IDC said.
- Dell showed growth. Dell(s dell) revenue was up 10.3 percent for the period to $2.2 billion from $2 billion, IDC said.
- “Other” remains the category to watch: This group includes companies like Wistron and Quanta, which make what are often described as no-name or white-box servers. Gartner had revenue for that group up 7.9 percent and unit shipments up 14.4 percent. IDC was less impressed — its numbers showed revenue for “other” makers was off 4.2 percent.
My guess is these numbers show that compute workloads are converging in big, cloudy data centers, which often specify their own server designs and buy them from contract manufacturers. That puts the hurt on the big-brand guys. It also means that fewer companies are buying servers for their own server rooms on their usual 3-5 year replacement cycles. And that spells continuing trouble for the vendors who lived off that cycle.