The x86 server market accounts for 88.9 percent of the overall server market in terms of revenue
The overall server market in India witnessed a year-over-year (YoY) decline of 16.2 percent in terms of revenue to reach $298.0 million in Q1 2019 versus $355.8 million in Q1 2018, according to the latest IDC Asia/Pacific Quarterly Server Tracker, Q1 2019. The x86 server market accounts for 88.9 percent of the overall server market in terms of revenue. The contribution to x86 server market mostly came from the professional services vertical followed by manufacturing, banking, Government and telcos.
The deployment of x86 servers was largely seen in the traditional data center set up followed by private and public cloud. However, new-age applications, email/collaborative and CRM applications are the ones getting migrated to public cloud while the core applications show strong resistance and continue to run on traditional environment.
The x86 server market in terms of revenue declined YoY by 19.0 percent to reach $264.9 million in Q1 2019 from $327.3 million in Q1 2018. Professional services, manufacturing, communications and media, banking and education accounted for 82.0 percent of overall x86 server market revenue. Education vertical saw the highest Y/Y growth of 414.7 percent owing to a few large deals around high-performance computing (HPC) and National Supercomputing Mission (NSM) projects.
The non x86 server market increased YoY by 15.9 percent to reach $33.1 million revenue, in Q1 2019. IBM tops the market with a revenue share of 76.5 percent, followed by Oracle with share of 17.9 and HPE with 5.6 percent during Q1 2019. Banking remains top vertical with 45.8 percent revenue share followed by manufacturing and utilities with 22.0 percent, and 10.3 percent respectively, during Q1 2019.
“In the current scenario, Enterprises of all sizes are investing in their DC to make it more agile, scalable, flexible thereby making business applications highly available. So, optimizing operational cost will be critical for these enterprises as their architecture evolves and grow,” says Harshal Udatewar, Market Analyst, Server, IDC India.