Gartner reports global Q4 2016 server revenues are down by -1.9% Y-o-Y, while shipments drop by -0.6% Y-o-Y. Overall 2016 also has a negative tone, with shipments remaining flat at 0.1% growth and revenues falling by -2.7%.
"There were some distinct factors that produced the final results for 2016," the analyst remarks. "Hyperscale data centers (e.g., Facebook, Google) grew and, at the same time, drove some significant server replacements. Enterprises grew at a lower rate as they continued to leverage server applications through virtualisation and in some cases, service providers in the cloud."
All regions other than Asia/Pacific see Q4 2016 declines, with MEA showing the largest revenue decline at -14.7%.
In the vendor rankings HPE leads the Q4 2016 server market in terms of revenues, even with -11% Y-o-Y decline. Dell follows with 1.8% revenue growth, making it the only vendor together with Huawei (88.4%) to see revenue growth during the quarter.
Dell leads in Q4 2016 server shipments with 19.1% market share and shipments reaching 562029 units, a 6.5% Y-o-Y increase. Second placing HPE sees shipments drop by -19.4% Y-o-Y, while Huawei grows the most at 64% Y-o-Y as it climbs up to third place.