HP leads HPC server market, global market to reach $14 billion by 2016: IDC

HP is the leading vendor in the high performance computing (HPC) technical server market with 30.5 percent in Q1 FY12, followed by IBM with 29 percent of overall market revenue share, according to a market study by IDC.

Dell grabbed the third spot in the HPC technical server market with 16 percent of global revenue.

The global factory revenue for the HPC technical server market grew 3.1 percent in Q1 FY12 to reach $2.4 billion, up from $2.3 billion in the same period of 2011. IDC expects the market to grow at a 7.3 percent compound annual growth rate (CAGR) to reach revenues of $14 billion by 2016.

Due to significant acceptance of these large systems, companies such as Cray, Fujitsu, and SGI have achieved strong Y-o-Y revenue gains in first quarter of 2012.

However, the study found that unit shipments of these servers declined by 0.5 percent at 28,747, as compared to a period year earlier.

IDC further revealed that the high-end Supercomputers segment of the HPC has achieved highest growth with $500,000 HPC system sold. The revenue of this segment grew 13.9 percent at $976 million in Q1 FY12.

The high-end Supercomputers segment accounted for 39.9 percent of worldwide HPC technical server revenue.

On the other hand the Divisional segment captured 12.7 percent of revenue, while the Departmental segment grabbed 35.3 percent of revenue, and the Workgroup segment contributed 12.2 percent to the total market revenue.

“HPC technical servers, especially Supercomputers, have been closely linked not only to scientific advances but also to industrial innovation and economic competitiveness. For this reason, nations and regions across the world are increasing their investments in supercomputing even in today’s challenging economic conditions,” said Earl Joseph, program vice president for Technical Computing at IDC.

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