According to IDC, EMEA server revenues are up by 2% Y-o-Y in Q2 2019, even as global revenues are down by -11.9% Y-o-Y to just over $20 billion. Global shipments also on the decline, as they drop by -9.3% Y-o-Y to 2.7 million units.
Such decline-- at least on a global level-- is the first since Q4 2016, and affects all segments of the server market. For instance, volume server revenues are down by -11.7% Y-o-Y to $16.3bn, while midrange server revenues see a -4.6% Y-o-Y drop to $2.4bn. High end system revenues total $1.3bn, a -20.8% Y-o-Y decline.
"Q2 2019 saw the server market's first contraction in 9 quarters, albeit against a very difficult compare from 1 year ago when the server market realised unprecedented growth," IDC says. "Irrespective of the difficult compare, factors impacting the market include a slowdown in purchasing from cloud providers and hyperscale customers, an off-cycle in the cyclical non-x86 market, as well as a slowdown from enterprises due to existing capacity slack and macroeconomic uncertainty."
Sharing the top position in the Q2 2019 vendor rankings are Dell and HPE/New H3C Group, with respective revenue share of 19% and 18%. Dell revenues are down by -13% Y-o-Y, while HP/New H3C Group declined by -3.6%. Taking 3rd place is Inspur/Power System, with revenues growing by 32.3% Y-o-Y. Lenovo and IBm tie for 4th place, with respective revenue share of 6.1% and 5.9%. Lenovo sees revenues contract by -21.8% Y-o-Y, while IMB revenues are down by -27.4%. The ODM Direct group of vendors accounts for 21.1% of total revenues, even as it declines by -22.9% to $4.23bn.
Dell leads in terms of global Q2 2019 shipments, taking over 17.8% share.