Vendor revenue in the worldwide server market declined 4.6 percent year over year to $14.6 billion in the fourth quarter of 2016, IDC’s Worldwide Quarterly Server Tracker report showed.
Hewlett Packard Enterprise (HPE) retained top position with 23.6% market share in vendor revenue for 4Q16, as revenue decreased 12.2 percent year over year to $3.5 billion.
HPE’s share and year-over-year growth rate includes revenues from the H3C joint venture in China that began in May of 2016. As a result, the reported HPE/New H3C Group combines server revenue for both companies globally.
Dell Technologies maintained its second position with 17.6 percent of vendor revenue for the quarter, while revenue increased 0.1 percent year over year to $2.6 billion.
Regaining third position, IBM controlled 12.3 percent of the market even while vendor revenue declined 17.1 percent year over year.
IDC said there was a statistical tie between Lenovo and Cisco for the fourth market position with 6.5 percent, and 6.3 percent revenue share, respectively.
Lenovo’s revenue declined 16.7 percent to $947 million, while Cisco declined 1.3 percent to $916 million.
IDC declares a statistical tie in the worldwide server market when there is a difference of one percent or less in the vendor revenue shares among two or more vendors.
For the first time since IDC began tracking the ODM Direct group of vendors in 2013, the revenue attributed to this group has declined year over year by 7.1% to 1.2 billion.
Furthermore, Dell Technologies and HPE were statistically tied for first place in overall unit shipments, with 20.9 percent and 20.4 percent share, respectively.
