Data is as good as flesh and blood in today’s world. With technology scaling to new heights, there is a stupendous amount of data exchanged everyday. Managing, organizing and providing uninterrupted secured data is a real challenge to large enterprises. Biggies in the server market like HP, Dell, IBM and Lenovo are building mega data servers that provide state-of-the-art architecture to their clients to sustain big data.
According to the 2015 report of Gartner, Worldwide server sales rose by 7.2 percent in the second quarter of 2015 compared with the same quarter in 2014 to pass 2.6 billion units. As per the report, HP topped as the market leader with $3.4 billion in revenue based on its 25.2 percent share of the market. Dell fell into the second place with $2.3 billion in revenue and a market share of 17.4 percent, IBM is in third place with $1.8bn in revenue and a market share of 13.7 percent. But in contrast to all of them was Lenovo who saw a major growth of 526.5 percent, raising its market share from 1.2 percent in 2014 to seven percent in the second quarter. This generated $949 million in revenue.
Lenovo previously was more focused on the PC market but it has slowly widened its spectrum into the servers foray. Lenovo did a $2.3 billion acquisition of IBM’s x86 server business in 2014, which was one of the reasons for the fall of IBM’s growth by 34.3 percent.
Lenovo is not just acquiring servers, but it is also adding ambidexterity to its servers with the help of Data Centre Group that is getting more financial resources to upgrade its hardware and software series.
Gartner’s research VP said the server sales slowed in year-on-year growth compared with the annual growth which was seen in the first quarter of 2015. He said the reason for this was currency exchange rate changes. He analyzed that many organizations were using up their budgets earlier in the year than waiting up to their third or fourth quarter as that could reduce their currency due to changes in the market which would in turn reduce their purchasing power.
The EMEA region where server sales seem to be most prominent, Dell and Lenovo ruled the region with a sales growth of 6.9 percent and 1.941 percent respectively.