Intel is losing ground in servers due to AMD, ARM and others

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According to analyst firm IDC, the global server market stalled in 2020’s Q3. Revenue rose 2.2% year-on-year to hit the $22.565 billion mark, but shipments shrank by 5,453, to 3,065,791, compared to the same time last year.

The firm says that non-x86 kit did well, with revenue growing by 10.4% to reach about $1.6 billion. However, the firm did not say which architectures led to this growth.

Fortunately, they did reveal that Arm-powered products grew 430.5% year-on-year. Granted, it’s a small base, but it should continue to grow. AMD experienced a good quarter as the servers it powers grew by 112.4%.

Dell is still King

Dell is still leading the market with a revenue of $3.758 billion and over half a million machines shipped out. The drop is only 0.6% for this company, with about 103 fewer shipments.

The HPE/New H3C Group is second best with $3.597 billion in revenue and 425,117 shipments. These new numbers show a 3.8% drop and a 7.5% drop, respectively. Cisco used to be prolific enough to rank in IDC reports, but it is no longer good enough.

It now belongs to the ‘Rest of Market’ category, where the combined forces of the smaller companies made a total of $4.4 billion in revenue and shipped a collective 511,000 servers.  

The bigger the client, the more money

Companies that ship directly to hyperscale users performed better than suppliers of the more conventional kits, collecting a total of $6.3 billion in revenue among them and sending out 911,000 machines.

China’s market expanded by 14.8%, which is why Inspur and Huawei both had considerable jumps in revenue and shipments.

EMEA dropped by 4.5% and Japan by 21.4%. The rest of the globe limped along with only about 1 to 3 points of growth.