According to Gartner Q3 2014 EMEA server shipments total 525791 units with -4% Y-o-Y decline, even if revenues are up by 1.2% Y-o-Y to $2.9 billion, a positive after 10 consecutive quarters of revenue declines.
"The server shipment growth seen in Q2 2014 proved to be a short-lived phenomenon, and marginal revenue growth of 1.2% in Q3 2014 highlights the fragility of demand," the analyst remarks. "Despite many positive growth expectations for the EMEA server market-- such as an accelerated installed base refresh, cloud computing and digital business-- many of these projects will bear fruit over many years, rather than providing a short-term uptick in demand."
Gartner says many organisations are "struggling" to prioritise server projects in the face of broader initiatives such as networking and storage optimisation. This means short-term server spending might be limited, but on the long term server projects should grow back to importance.
On a geographical perspective only W. Europe shows revenue growth (4%), while revenues drop by -6% and -7% in E. Europe and MEA respectively as the two regions continue to exhibit short-term weakness due to macro-economic and geopolitical challenges in key markets.
EMEA x86 revenues are up by 6%, RISC/Itanium are down by -13.2% and the "Other CPU" segment is down by -39%.
In the vendor rankings HP continues to lead with 40.63% market share and 6.4% Y-o-Y revenue growth despite shipment declines of -8.2%. Dell follows as it beats IBM to 2nd place with 9.06% revenue growth, while IBM sees double-digit declines on both revenues and shipments as it continues divesting of its x86 product offering and restructures its RISC business.
Dell comes 4th with "consistent improvement" in sales, and Cisco caps the top 5 with impressive 32.41% and 9.48% Y-o-Y revenue and shipment growth.
Go Gartner Says EMEA Server Revenue Grew Despite Shipments Falling
