Worldwide Server Market Revenue Grew 2.2% Year Over Year in the Third Quarter of 2020, According to IDC

FRAMINGHAM, Mass. — (BUSINESS WIRE) — December 9, 2020 — According to the International Data Corporation ( IDC) Worldwide Quarterly Server Tracker, vendor revenue in the worldwide server market grew 2.2% year over year to $22.6 billion during the third quarter of 2020 (3Q20). Worldwide server shipments declined 0.2% year over year to nearly 3.1 million units in 3Q20.

Volume server revenue was up 5.8% to $19.0 billion, while midrange server revenue declined 13.9% to $2.6 billion, and high-end servers declined by 12.6% to $937 million.

"Global demand for enterprise servers was a bit muted during the third quarter of 2020 although we did see areas of strong demand," said Paul Maguranis, senior research analyst, Infrastructure Platforms and Technologies at IDC. "From a regional perspective, server revenue within China grew 14.2% year over year. And worldwide revenues for servers running AMD CPUs were up 112.4% year over year while ARM-based servers grew revenues 430.5% year over year, albeit on a very small base of revenue."

Overall Server Market Standings, by Company

Dell Technologies and HPE/New H3C Group were tied* for the top position in the 3Q20 worldwide server market with 16.7% and 15.9% revenue share respectively. Inspur/Inspur Power Systems finished third with a 9.4% share of revenue. Lenovo was fourth with a 5.9% share and Huawei was fifth with a 4.9% share. The ODM Direct group of vendors accounted for 28.0% of total server revenue, up 8.4% year over year.

Top 5 Companies, Worldwide Server Vendor Revenue, Market Share, and Growth, Third Quarter of 2020 (Revenues are in US$ Millions)

Company

3Q20
Revenue

3Q20
Market
Share

3Q19
Revenue

3Q19
Market
Share

3Q20/3Q19
Revenue
Growth

T1. Dell Technologies*

$3,757.8

16.65

%

$3,779.1

17.12

%

-0.6

%

T1. HPE/New H3C Groupa*

$3,596.9

15.94

%

$3,737.9

16.93

%

-3.8

%

3. Inspur/Inspur Power Systemsb

$2,114.7

9.37

%

$1,973.3

8.94

%

7.2

%

4. Lenovo

$1,326.0

5.88

%

$1,189.8

5.39

%

11.4

%

5. Huawei

$1,098.9

4.87

%

$916.7

4.15

%

19.9

%

ODM Direct

$6,303.3

28.03

%

$5,816.0

26.34

%

8.4

%

Rest of Market

$4,367.9

19.36

%

$4,663.8

21.13

%

-6.3

%

Total

$22,565.6

100.00

%

$22,076.6

100.00

%

2.2

%

Source: IDC Worldwide Quarterly Server Tracker, December 8, 2020


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